The daily morning journal and courier., 1902-09-24

ing signs of disorder. There were a
 few pauses in the activity of the sell
 ing, but whenever the bears commenced
 to bid for stocks in the fear that they
 were over extending their short ac-
 count, it proved so easy to get stocks
 that the offering down of prices was
 quickly renewed, with constant un-
 covering of fresh stop loss orders which
 tumbled stocks upon the market in
 heavy volume. The closing was furi-
 ously active and with prices still pursu-
 ing a rapidly downward course. The
 growing difficulty of borrowing money
 to carry speculative holdings of stocks
 on margin was the root of the trouble. Yesterdays moderate calling of loans
 by the banks instead of relieving the trouble, seemed to aggravate it. The disturbance of the money market was due in some part to the operation of the forces of relief, which were through new and unaccustomed channels. Thus
 the high rate for money resulting from
 yesterdays loan contraction offered an inviting opportunity for all who had available deposits in the banks to draw
 out their deposits and replace them on loan in the stock market. This was
 done alike by depositors with private accounts and by the large banks of the s,,+ yr,hs Sap0cif with New York banks. These deposits withdrawn from the banks had to be
 replaced by heavy calling of loans put out by the banks. This shifting pro- cess was largely responsible for the continual flurries in money. But the sentiment in the street was decidedly,
 upset by the conviction that no relief is immediately available for the string ent supply of money. The drop in New York exchange at Chicago from par to 20 cents discount reflected the increas- ing pressure upon this centre for funds,
 notwithstanding the higher level of l money rates. It was noticeable also that the sterling exchange rate failed to yield to any material extent. The l jump in the prices of wheat and cotton
 has checked the export buying and the making of exchange. Private discount ! in London rose above the bank rate to- day and it is generally expected that the bank rate will be advanced to f per cent. on Thursday and such other obstacles interposed to the movement of gold to New York as are possible. The confidence in values which has been so consistently maintained received a de- cided setback in face of this combina- ton of circumstances. At least one
 powerful speculative combination l- quidated accounts to the extent of be- tween 5OOO0 and 100000 shares of va
 rious stocks, most largely of Missouri
 Pacific. One of the most important
 mainstays of the recent market was
 thus withdrawn.
 An opening lift of points in St. Paul was the only important attempt to con- test the declining tendency from the start. Last prices show that the most important stocks are from 2 to over 3 points lower than they were last night. The downward impulse to stocks caused some additional weight to be given to the reports of disorders in the coal re- zion, unfavorable crop reports, both for
 grain and cotton and the strained rela-
 tions between Great Britain and Vene-
 zuela. But the money situation over whelmed all other considerations.
 Bonds were active and weak Total
 sales par value $5,545,000
 United States twos coupon and the
 threes advanced IA per cent. and the
 twos registered declined 1-2 per cent. on
 the last call.