The Birmingham age-herald. [volume] (Birmingham, Ala.) 1902-1950, 1902-09-25
STORMY DAY IN
STOCK MARKET
Closing Was Quiet But With
Undertone Unsettled
MANY CHANGES IN PRICES
Opening Break In Prices Was Caused
BY Announcement of Operation On
President RooseveIt-Later
News Was Measuring.
MANY CHANGES IN PRICES

New York, September 24-After a.
stormy day on the stock market the
closing was quiet but with the undertone
still slightly unsettled. 1t was q day of
violent fluctuations and of many changes
IN the course Of prices. Twice there was
dangerous break with threatened de-
moralization and twice there was an eff
fective recovery. Just at the last there
was some large selling by holders who
seemed DESTROYS of taking advantage of
the vigorous rally In force and who
seemed yet to harbor doubts whether the
storms of forced liquidation had spent
their force. But there undoubtedly was
very general sentiment at the close that
the position of the banks had been eff
feetually strengthened and that the vio-
lent loan contraction might be hoped to
have reached its limit for the present
The news of the sighting of the steam
ship having on board consignment Of
nearly $1,5O0,O00 gold, was a strong senti-
mental influence on the market as was
the sharp break in sterling. The opening
break in prices, which ran from l to 3
points for the active leaders, was aggre-
gated by the unexpected news of Presi-
dent Roosevelt's disability. The reports
given out from the Presidents train
served to reassure fears on that score.
There was a suspicion also that yester-
days late heavy liquidation had been due
to some advance information of the oper-
alton on the President. The consequence
was that prices recovered pretty general
during tn first hour.
The OppniOp "a 10 for call loans WAS an
nounced at is per cent and after mo-
mentary reaction to Is per cent the rate
scared to Is per cent. Stocks were then
unloaded in enormous volume with the
demand apparently reduced to nothing.
There was a heavy slump of prices
throughout which carried prices of many
leading stocks from 3 to 5 points below
last nights level before any effective re-
distance was shown to the decline. The
banks were cutting down accommoda-
tions on call to brokerage firms and
proceeding with the drastic measures
which were inaugurated yesterday for
reeuperating their reserves.
Assurances were heard from all sides
that abundant resources were available
for all regular business purposes, but
nothing further was heard of the sooth-
ing assurance that there was no danger
of money flurries. The great speculative
combinations which have taken out loans
and bought stocks on margin on this as
surance for some time past had nothing
to do but to sell out their stock and re-
pay the loans. Various estimates are
current of the extent of these loans for
speculative purposes and the closeness
of the combination amongst the speeula-
tive interests which have acted together
is not clearly defined, but 1t is believed
that transactions to the extent of S6O,-
100000 have been subjected to centralized
~ lat rrn mn n O
which was undertaken. The action OF
banks this week marked the abandon
ment of the hope that had been entertain
ed that measures of relief by the treas
ury department and the automatic relief
of gold imports would save the situation
through the crop moving period.
Talk was renewed today of an inten-
ton on the part of the secretary to in
crease government deposits with the
banks up to the market value of the gov
eminent bonds for security, but no Off
cial sanction could be secured for this
report This discussion though was an
effective factor In the late rally In the
market Meantime customs collections
have changed the early gain by the banks
this week into a loss of over half mil
lion to the sub-treasury. There was de-
posted today at that institution S45O,OOO
for transfer to Chicago and 100000 for
New Orleans.
An effective agency in the rally was
the changed attitude of the brokers for
a speculative combination. which sold
thousands of shares yesterday but which
turned to the buying side at the low
level today. Their operations were CEN
tered in the Gould stocks and resulted in
carrying Western Union rs and Manhat-
tan 22s over last nights level. The small
ness of the net changes generally marked
the effectiveness of the second recovery
in the markt.
Bonds suffered quite severely IN the
liquidation, but rallied vigorously in sym
patty with stocks. Total sales, par value
$6170,O00
United States 2s declined = and the
old As advanced a per cent on the last
call.