The sun. [volume] (New York [N.Y.]) 1833-1916, 1902-11-09
FINANCIAL AND COMMERCIAL.
SATURDAY, Nov. &

Inc Violent bredk III prices IN the security
market was generally and probably cor
rectly attributed 70 the heavy and wha,
seemed to be the enforced liquidation in the
. United States Steel stocks and 20 the cir
culation Of certain unpleasant rumors 90
which reference will hereafter be- made
The decline was not, ~ hdo been the case
on very many occasions recently, due TO
professional selling or "A bear raid. beoau-e
most of These pro.e ssiunal operators have,
within tho lat two or three days, changed
iteir position on the market. ard while
expressing themselves as hearish ~ Tar
~ the ultimate resul, of fuctuat Ions WAS
concerned. have held that n temporary
rally In price. was due. 1u-days nova
mcnt. therefore, found these traders. or
great many Of them. long of stocks rather
han short ut them. much to their disgust
The United state. Steel issues, by reason
Of the enormous public holdings of them
for Investment and speculation, and OF The
concentrated support hat has been in
variab!y extended Ia them ia periods e
market weakness. occupy what u IN many
ways TIA. most rIomu"ut place on the list
Of securi' ie- dealt IN on the stock Exchange
to-day. Price fluctuations in tiIe4a shares
Lave usually heea email ard the decided
decline in them, therefore. which to-day
took place could 40, tail e. influence the
general list urfavorahlv. Little buying
power seemed 20 h" exhibited N the market
save that which cam" from rhor' covering
Much Of the selling was nj a Semi-drmora-
wed order, such. TO- in-'a'<N'. a. that
which hrok" the high priced Delaware and
Isckawanrd sharcs 10 points a. COM
rar.d with tho las ale. aud dropped Della
ware and Hudson from 1875 TO iGos.. al
though 'he especial weakness Of the coal
stocks was pcruius due - ia" prevalent
rumnr OF "a reduction nsh" Delaware and
Hudson dividend The selling in the Steel
,,ock- seemed To- converge on the preferred
-harhs, which AZ one tim" sold az A ;, a
compared viii, ~. The closing price yest.r-
dav. -. Paul. Norfolk and Western.
baltimore and Ohio, Reading. southern
Tactic and al the uctiy" -tockS declined
tom To- uOin',.
80 cause for the weakness IN me Steel
~ 1cs- W.s assigned other than, q, stated.
~ n"c",si'atrd liquidation. The condition
ni he iron and steel lnlsine-- con,nue ono
Of extreme prosperity, only shaded toy owl
,i.ucc Of oNorproduC,inu In certain OF the
higher grades Of iron and steel Tanuiact-
IRE. ard Of Increasing competition in these
lines The conservative policy which has
IN the past been the proud mainstay of the
Tinted States Steel Corporation will I'M
doubleday continue Ia guide its manage.
ment in future: and talk Of trade war
between the corporation and the indcper-
lent steel producer such. for instance. as
that which j. now in progress between
the American Sugar Refining Corpsny
an it, co'upntitOrs silly The corpora
zion will undoubtedly feel hound, however,
TO protect its customers against any price
bv rival concerns: and the rp,luc-
tion> in prices Of lin plate and other prod
'ict- OF the corporation that have rn-
Gently occurred are manies'ly for this
iaIrpo-c There NAV he fear among some
'imorous holders Of Steel stocls that anti
trust LEGISLATION and tariff revision schemes
affecting their interests may
De- pushed al the uext session 81 CONGRESS,
but these fears hardly seem we'll founded
Other caus.s contributing 10 to-dav'a
i-Cine wer". perhaps, the announcement
ri another reduction in the pric, Of certain
r3des of r"fned SUGAR. the revival OF
'Iunor> concerning railroad troubles on
Il" railroad systems maotin9 in Chicago.
'he RECOGNITION hv the Street Of the virtual
bv the cont rolling interests
# the Southern Pacific Company Of tho
plan Of paving for tho improvements now
being mad" upon their property by means
Il bond is-ue rather than bv means of
current earnings. and the formal r'voca-
zion bv the Sacrstarv Of the Treasury Of
tnc permission GRANTED few weeks ago
20 natinral banks acting rs dapositories
Of public money 90 -ubs,itut Stat. and
raiNi"ipol bonds and other securities as
collateral for IA" deposit ot additional
'rpv"rpnapt money with them. A.. since
: ha last Government bond purchases. IL
l., generally recognized that no mora Gov.
"rnment bonds can 10 obtained hv the
bauks for such collateral security. the
S'cretarv'S ori"r means. in substance.
: hat internal revenue collections and III
'ov'rv"l"ut recainl- must hereafter Ia
r'7"'d directly in IA" Treasury. The SUBJ
Fr'aSirv'- credit balance in its account
witt the banks to-day of 1929, "a probably
marked the beginning of this process
The weekly bank statement was also ac-
counted unfavor9hle. ALTHOUGH il probab!v
did no mora than correct tho misleading
STAT a1nrnt issued last woak The Slrplus
rA.,rve- decreased 81 4s8. $50 aud tho cash
l,si b. IN" banks decreased 81. $50 800. As
against a decrease ~ 81. ~. Ool a~tim,ted
ve-tariov. A gratifying circ.m 'ancp of
no dav was the new that tho iinpnris
at tai, mort for tho week were but sl0.-
G17.3l) ay1irSt st?,St1.ii? last week. II
! Ia ba hoOad. tor the relief il will cause
IN the foreign exchange market, that this
= atemHut marks the beginning of a de-
crease in our huge lmporta'ion- OF foreign
IN nrrhaUiiS'.
Another matter very disJuieting 10
? culators for the rise was KNOWLEDGE
OF tho fact that several Of the banks in
the city which are in ros,ion to loan
IN" larres, amounts Of money have agreed
among them-clv"s not TO mako any more
Vino loans al less than o per cent.
Observation OF Wall ~ rect affairs is very
superficial ini"ed that has not grasped
IA" meaning of various recent quot ations
nu the curb or outside market or has
failed 20 become impressed with the fact
That one of IA" most potent forces Producing
the uueasinoSa, ds'rl,t and depression
tow tel in tho local financial community
Las bccn the failure, actual or feared. of
some Of the schemes OF syndicate under
writing hat have recently been PROPOSED
The securities PM ont 10y many 81 these
- "a ~ .4l ~