The Birmingham age-herald., 1903-01-12
SOME CONFUSION
 IN STOCK MARKET Persistent Liquidation in Read ing Had UnSettIing Effect SHOW OF STRENGTH MADE U. S. Steel Stocks Were Moderately Helped By Statement of the Extra ordinary Earnings of the Year.
 Bonds In Better Demand.
SHOW OF STRENGTH MADE

New York. January 10.-There was eVi- dance of some confusion of sentiment in the movement of prices of stocks today. rba nersistent liquidation in Reading had an unsettling effect. The strength of Atchison was in strong contrast me nurchase of 10000 shares of this stock within the firrt few minutes of trading lifted it strongly and raised stimulat- ing effect elsewhere. There was some show of positive strength also in New York Central and Pennsylvania on the ground tha. the Reading deal will serve to harmonize and strengthen the whole trunk line system. Amalgamated Copper reflected the rally in the metal market after sharp reaction. Elsewhere the market was inclined to be dull and huc- tuations were narrow until the appear hnce of the bank statement. The cash item was a disappointment. -n place Of the predicted increase of $9,00O0 900 to $ll,- 0OO,O00 the weeks gain amounted to only S4,740,1O The only plausible explenation to account for this discrepancy was that the heavy inflow of cash into Chicago the latter part of the week had been arrested there and not forwarded to New York
 
 was inclined to harden and discounts again advance in London. The market closed weak. The only explanation of the movement in Athison was the un- co..frmed rumors of a plan of accom- bination with the Rock Island
 The stock market, after backing ana filing to some extent during the early part of the week burst into great anl- nation and buoyanoy after the middle +l, l.rao fr1r Of rate was the preliminary to the move ment and the disclosure of the Reading deal was the special indictment to the speculation. The course of the money warket on Monday was prompt to con firm the confidence of those who looked for an early return to ease and who bought stocks last week with that con- fdence .nimpaired by the maintenance of stiff rates in the call loan market During Mondays session one large hrm marked down it's rate for outstanding loans to 6 per cent and the whole mar ket was quick to follow. The rate fell below that figure during the week factor of further assurance over the money situation was the continued soft ness of the foreign exchange market which continued a downward course with floods of money returning to the channels of the London market.
 Domestic money situation. The known large balance of credit outstanding abroad remaining to be liquidated and the supposition that they were largely extended during the latter part of De- cember gave ground for some fears that the January relation of the local money market might be followed by heavy out ward movement of gold. The recovery in foreign exchange and the hardening of the London market during the latter part of the week has attracted some renewed attention to the subject, but serious re- gard to 1t has been prevented by the ex- citement of the speculative movement. The announcement of the dissolution of the bankers protective pool which had subscribed $5O,000000 for the protection of the money market against possible emergency was in effect proclamation that the necessity for it's existence had passed. This action and the large lending in the money market by some of the banks in the pool was also regarded as an intimation that the attitude of disapproval of efforts to advance prices had been modified by the large financial interests. With the money situation effectually cleared up there have been revival of all sorts of rumors of deals and the speculative idea toward this development has undergone a marked alteration. For some time the rumor of a new project or combination promising a large issue of new securities has had a chilling effect on speculation. The obvious reason is the general feeling that the securities mar ket has become glutted with new issues which had apparently outrun the avail able floating supply of capital in the country The difficulties of syndicates in protecting large holdings of unmarket- able securities of this class is held to largely account for the money deficiency in the stock market during the autumn.
 The United States steel stocks were moderately helped by the statements of the extraordinary earnings of the year. The taking up of the proposed antitrust measure in congress, was the cause of some depression here and there In the market, but it was slight and was not general among the industrials.
 Bonds was in better demand, but most 1y for those of lower grade
 United States 2s and old As advanced A per cent and the new 4s coupon 1 per cent, as compared with the closing of last week.