The sun. [volume] (New York [N.Y.]) 1833-1916, 1903-08-09
STOCK PRICES SMASHED ANEW
KEENE REPORTEDTO BE RATDTN6
UNION PACIFIC.
Canadian Pacific wouldn't Yield and Re
ports Arose, which We're Not Believed.
That a Corner Had Been COntriyed
Bank Loans Largely Increased.

Stock prices went to pieces again in Wall
Street yesterday. The selling began with
the opening OF business. There was saw
age raiding of the market by the bears
and liquidation set in once more in volume.
Something akin to decentralization was ex-
hibited after the appearance OF the weekly
bank statement, which showed decrease
In cash and large increase In loans. The
market closed with heavy losses shown by
all the leading stocks and with apparently
the only support coming from scattered
buying on the part of bears to cover their
short contracts A great smash in the
price of the shares of the Union Pacific
Railroad was one of the features OF the
market 1t appeared as If a tremendous
drive by the bear party had been made
against these shares. They fell to $50
81 points under the closing price OF Friday
though rallying 2I points in the final ten
minutes OF the trading.
Many rumors attended the smash in the
Union Pacific shares The most interest
ing was one which asserted that James II.
Keene had again entered the market as an
active factor and that he and his friends
we're raiding the stock. No confirmation
OF this rumor was obtainable. A repre-
sentative of the Union Pacific interests,
who was asked for an explanation OF the
weakness Of the shares, said that he thought
they had been attacked by IAN interest
which has been inimical to the company
for several years. but would not make
more definite statement.
ty>s h<a attn l1nlNn
cific, what probably attracted more atten-
ton In Wall Street than anything else was
the strength with which the shares OF the
Canadian Pacific Railway Company were
held in the market There was savage
raid upon these shares on Friday, which at
one time carried them TO price points
under Thursday closing figures II looked
Yesterday as if further abortive attempt
had been made to break their price. AS it
was, however. Canadian Pacific stock closed
at net advance of one-quarter of per
cent. 1t was the only active stock in the
list that did not close at heavy recession,
and it was apparent that there had been
strong support. 1t loaned on the Stock
Exchange at premium for its use on Mon
day, which got as high as three-eighths Of
1
were forced to pay $3.50 for the use Of
100 shares for delivery on Monday. There
were rumors that very heavy short in
terest exists in Canadian Pacific, and these
rumors ever went to the extent OF alleging
that the conditions existed for possible
corner" in the stock. Certain brokerage
firms sent out notices to other firms that
had borrowed Canadian Pacific stock from
them that they wanted the stock returned
on Monday. One of the firms sending
out such notices was j. s. Bache Il Co. A
representative of that firm said:
ave represent Montreal and Berlin
interests and have been large lenders of
Canadian Pacific. 1t ia true that we to-day
called for the return on Monday OF some
of the stock We have loaned. We are not,
however, in any concerted movement to
call in Canadian Pacific stock and We do
not look for squeeze in the stock"
In usually well-informed Wall Street
in the Canadian Pacific shares was ridi-
culed. 1t was pointed out that the out
standing common stock of the Canadian
Pacific company amounts to 845. 900 shares
a pretty big total 10 run successful corner
in. There were various estimates made in
Wall Street as to the size of the short in
terest in the stock. The largest estimate
was that il amounted TO between $4,000
and 100, 900 shares, while other estimates
placed il under $4,000 shares, 1t was sug-
gested that the calling in by some firms
OF the stock that they had been lending
quite likely merely represented an effort
on their part to get the premium for the
Use of the stock to somewhat higher rate,
and that the stock called in would then be
loaned again at the higher premium.