The Indianapolis journal. [volume] (Indianapolis [Ind.]) 1867-1904, 1901-04-09
ALMOSTDEMOR ALIZATlON
sPASM OF LIQUIDATION IN STOCKS,
WITH ACUTE FINANCIAL COLO.
Prices Go to Pieces i'm Nearly All the
Active Sccurities-LOcal Trade
i'm Unsatisfactory Shape.

AT New York yesterday money on call
was firm at S1k@6 per cent; last loan, 31s
per cent.
Prime mercantile paper, 3kG4ih per cent
Sterling exchange was weaker, with ac-
tual business in bankers bills at $4S77s for
demand and s4.s49sa4.s4a4 for sixty days;
posted rates. siS5la and s4.S91z; commercial
bills, s4.s4a4S4ls.
Silver certificates were 5SG59c; bar sill
yer. 5S1sc; Mexican dollars, 4Sc.
The call loan rate proved again to be
the solar plexus of the stock market. as
1t has done on many occasions before. The
construction of the money supply and the
advance I'm the rate for call money pre-
cipitated such a spasm of liquidation
threw the stock market into a condition
bordering on Generalization. What hap
pened yesterday in the stock market is
what. according to the common agreement
of all classes of observers, was bound to
happen in due course of time. Neverthe-
less, is the wont of stock market hap
penings, the days events came as a sur
prise. Even the wild and excited market
oil last week, which was an ominous symp-
tom. left the bulls unprepared for the days
developments. Tips for rise in many
the opening yesterday morning. and the
explanation was offered that Thursdays
furry in call loan rates was due to manip-
ulation by the bears. But the instant the
market opened it became evident that the
developments since Thursday had induced
a widespread determination to sell stocks
Another palpable fact was that some of
the most powerful operators in the market
had already sold their holdings and taken
profits during the wild excitement of last
week and were compactly organized on
the bear side of the market this morning.
Perceiving the highly vulnerable condition
OF the market, owing to the over-eXtension
of long accounts thinly margined and
backed by weak resources, the bears fell
upon the market with great fierceness and
cut a wide breach in prices at the first on
slaught- The wide extent of the first de-
ciineS, which were made by successive
crops OF to 2l2 points between sales, in
vited quick proft-taking by the bears, ard
the violent rallies which enSued encOur-
aged the bulls TO make some stand against
the reduction, hoping that the furry was
temporary and the market prepared to
renew the advance. This was the only
period of the day when there was any show
of positive strength, and Sugar, PEOPLES
Gas, Texas Pacific and number of less
important stocks were marked UP sharply
over last Thursdays level. The strength
was short-lived. however, and after the
demand from the bears had been satisfied.
many of the banks began calling loans.
This brought a fresh supply of liquida-
ton on the market and invited fresh at
tack by the bears. The selling became
precipitate as the fall i'm prices wiped out
margins and uncovered stop-loss orders,
and the unlucky bulls jettisoned greal
bales OF stock with the hope of relieving
their load and saving other holdings from
the shipwreck. The only important de-
mand at any time came from the shorts
and the occasional spasmodical rallies were
not held in any case. The fall reached an
extreme Ss4 In Rock Island, 6Ir in Della
ware a Hudson. 5i2 in Amalgamated Cop
per, oi4 in Colorado Fuel. preferred, and
from to points in practically all the
active stocks the list. The Changers,
Pacifics, Southwesterns. Southerns, coaler.,,
Trunk lines and high priced specialties
were most acutely affected. Sterling ex-
change eased off slightly in response to
the higher money rate. but the conviction
was not altered that a large additional
sum of gold will be exported To meet TIE.
requirements of the London money market
ket
business in bonds was relatively less ac-
tive than that in stocks, and the movement
of prices was irregular Total sales az nar
value were $4,000 United States re
funding twos advanced X and new fours
Il per cent. on the last call.
Following are the days share sales and
the closing bid prices: