The sun. [volume] (New York [N.Y.]) 1833-1916, 1903-05-29
FINANCIAL AND COMMERCIAL.
THuRsDAY, May 20.

Of short selling, pure and SIMPLE wnlcn
has been brought 10 bear upon II any time
during the period Of the declining move
ment in prices and no unprecedented
observer can deny that the market with
stood the test splendidly. In one active
stock. indeed. there was evidence OF genuine
and fairly large liquidation, and there was
undoubtedly more or less selling Of stocks
during the day by weak or frightened
holders. Nevertheless. the quantity OF
stock thus disposed Of was uncomfortable
in comparison with that sold speculatively
for the decline, The bear operators, who
comprise a large share of the professional
traders doing business for their own &C.
count on the floor OF the exchange. made
careful plans before the opening OF the
exchange this morning to break the market.
The tactics adopted in addition to the usual
cross sales" with each other were those
known as selling around the ROOM that
is, in offering for sale at continually lower
prices one stock after another in the entire
general list Of securities with the idea OF
making az low records az possible and Civ
ing the market an appearance OF great and
general weakness. That the days bust
ness was chiefly OF this description was
shown by the fact that the fall IN
quotations was not continuous and rapid.
as it would have been il the large number
OF reported transactions had represented
the progress Of real liquidation, but was
broken by sharp rallies whenever the
'bear" pressure was for any reason re-
moved In the last half hour, when the
manipulation for the fall ceased and those
H. dan, ,,ol
to secure their profits, prices jumped up
ward so vigorously and quickly that the
greater part of the days decline was re-
covered The significance OF the fact
that the advance occurred upon a volume
OF transactions very small as compared
with those that had been found necessary
to depress prices previously. was not lost,
moreover. upon all attentive watchers of
the market. The fact was ascertained, in
other words, that stocks were scarce and
that their price rose much more easily
than it declined.
The strongest proof, however. OF the
character OF the days business was that
afforded by the action OF leading stocks
like st, Paul, Pennsylvania and New York
Central. whose weakness has in the last
two months been the most prominent
feature Of the market There is no doubt
whatever that large quantity Of these in
vestment issues. particularly the one first
named, were thrown upon the market in the
latter part Of last week and on Monday
by certain holders who found the act nee
essary. We're this necessity still Dress
ing, these stocks would have been the
weakest to-day instead Of the strongest,
They we're attacked as furously as any
others. but instead Of retreating they
resisted the assault firmly and their
price rose so rapidly in the closing hour
that net declines in them for the day were
small. The most determined assault made
upon any quarter of the market was
directed against Rock Island common. and
the attempt was made to convey the i'm
preston that the selling was not for short
account, but represented liquidation by
large interests identified with the Rock
Island management But, as with the
other stocks, Rock Island recovered the
greater part Of its decline and did so with
a rapidity which pointed very clearly to
the true nature OF the sales Of it that had
been going on. The enc stock in which
real liquidation did occur was probably
Amalgamated Copper 1t has been per-
fectly well understood in Wall Street that
the recent advance in the price of Amalga.
mated Copper to IS. although perhaps just
flied in a measure by the larger revenues
which in common with all other companies,
the Amalgamated Companyis now enjoying,
was not the work of the controlling in
terests in the company, but that Of outside
spectators. The fall in the Amalgamated
Copper shares to-day was generally be-
lieved to be caused by the winding up of
this pool. Three stocks that were particu-
arly strong were the Fries. Missouri Pacific
and United States Steel. common and pre-
terred. The buying of the Steel stocks
was believed to be for the account Of the
most powerful single Spectator in the
financial community who, 1t is under stood
is now distinctively bullish in his views
concerning the stock market. The strength
of Missouri Pacific was perhaps due
TO anticipation Of the forthcoming state
ment of the company's very large
increase in net earnings for April; perhaps
It was due to the conviction now slowly
spreading in Wall Street that the destinies
OF the Missouri Pacific system are now
largely controlled by our country's richest
capitalist.
The days budget OF news comprised
little Of importance outside Of the develop
ments in connection with the National Rail-
way Of Mexico. which were fully discussed
in yesterdays SUN and the announce
ment OF the terms OF the reorganization OF
the United States Shipbuilding Company
In one way the last -named event was well
come In Wall Street. for it means. probably,
that the bankruptcy Of the company has
been averted. The revelation, however,
Of the downright falsehoods contained in
the prospectus Of the company as issued
a year ago and by means Of which announce
ment investors were induced to buy the
securities, and also of the gross
fraud perpetrated upon the governors
Of the Stock Exchange and upon the public
in emitting from the application for per-
mission to list the company's securities
upon the Stock Exchange statement Of the
fact that there were underlying mortgage
bonds upon the Bethlehem Steel and Iron
Company to the extent OF SO, 900 OOO, was
the subject of some very plain language
in the financial community to-day wher-
ever the matter was talked Of.
New York stock Exchange Oaiss, May rs.