The Savannah morning news., 1901-07-13
STOCKS AND BONDS.
The Market Slumps, But Reacts
sharply Towards Close.

New York, July .1s-To-days stock
market was submitted to another drastic
process of liquidation, which caused
some severe losses in the prices of stocks
In the late afternoon there was a sub
stantial rally which wiped out important
proportions of the extreme declines. The
late recovery was extremely cratic and
was unsteadily held. The closing was ir-
regular, but with prices near the top on
the recovery.
There seemed to be no cause TO induce
the continuance of the selling movement
beyond those of a technical nature The
bears were the active factor in breaking
prices, but the spectators long OF stocks
stood passive, without any resistance In
the shape of buying to support the mar
ket. The consequence was that on each
successive raid by the bears stop loss or
ders were uncovered and speculative mar
gins wiped out, forcing the brokers to
sell out their customers to save losses for
themselves. The banks continued keenly
alert to the course of prices and their
continual demands for additional collat-
eral as the fall in prices encroached upon
the margin Of valuati as collateral COM
pared with the market valuation, forced
additional liquidation on the Exchange.
There were selling also through COM
mission houses from all parts but the
class of holders which is discouraged by
the mere fact of decline and which
sells out on their prospect of getting
stocks back at a lower figure Rebuying
by this class of holders added to the
demand from the shorts helped the late
rally. The news from the corn belt show
ed no improvement in the view of stock
operators, and 1t was the opening quota
tions for corn which toppled over prices
Of stocks after some progress had been
made toward recovery in the early deal
ings. The terms of the announced set
Element OF the Western freight disturb
ance were also considered unsatisfactory.
owing to the continued detection OF one
of the minor roads in the territory The
divergence of news between the. confer
ees on the labor dispute in the steel
trade was the subject of continued appre-
hension.
The fact that assurances we're given
yesterday that an official statement would
probably be made before the end of the
week of the terms Of the Northern Pa
ciic settlement caused disappointment
over the non-appearance OF such O state
ment to-day and caused some recurrence
of uneasiness lest renewed discord should
develop in that quarter. Under the food
Of selling orders thrown upon the mar
ket by the influence OF the various dis
couraging factors there were declines be-
low last nights level in Wabash pre-
ferred points, Union Pacific ~, Atch-
ison so, Atchison preferred. 5h, st. Paul
81, Iowa Central preferred 81, Rock ISL
and and Delaware and Hudson 5, Chi
cago and Alton and Texas and Pacific
~ and 81. Louis and San Francisco 4.
Ak.AN On ~ ltfH
railroads were decidedly the greatest suf-
ferers, but that the weakness was very
general is indicated by such losses as
Delaware and Hudson g. Lackawannn
~. New York Central 4, Pennsylvania 3,
Chesapeake and Ohio 3ls, Baltimore and
Ohio 3as, Consolidated Gas 81. General
Electric ~, Colorado Fuel Of. United
States Steel 3k and a general decline, en-
braclng the most prominent stocks run
ming from to points.
The late rally, which materially modi-
fed these declines, was primarily due to
the oversold condition OF the market, the
bears having operated on the short side
with great boldness throughout the week.
The prospect OF q favorable bank state
ment was also factor. Apparently the
banks have received from the interior
something over 100000 on balance, while
the outgo 10 the treasury, including the
gold shipment OF No,VD ana szzOVO oe-
posted for transfer to the interior.
amounts 10 sl.6is.OOO There should be a
net gain 10 the banks. therefore. OF az
least 81, 10000 on the week. New York
exchange az Chicago was quoted at ~
cents premium and the sub-treasurY's
daily debit balance Of the clearing house
IL augmenting considerably. promising
some contribution 10 the money market
next week. No doubt u felt that the
very large liquidation during the week
In the stock market has resulted In con-
traotiuR the loan account. and thus re-
ducing the reserve liabilities.
The railroad bond market was only
moderately active ana weak. in sympathy
With stocks. Total sales, par value, fs.-
lOO0 United States new ~ declined Y
ana the old ~ ana 81 advanced = per
cent on fhe last call.
Total sales Of stocks today were i0lf..
40 shares, luciu1ing Atchison, i21 l0
AtehiboD preferred. fosG. cbicaRo AMI
Alton. 10oi Chicago ana Greet Western.