The Birmingham age-herald., 1903-08-07
STOCK MARKET HAS
 EFFECTIVE RALLY
Day Closed With an Animated
 Buying Movement
THE GLOOM IS DISTILLED
Early Weakness Was Not Universal, Many Stocks Showing Good Resis-
 ance and Reflecting De- 1 termined Support.

New York. August 6-wan street emerged today from it's gloom, which still clouded the situation during the early hours of the trading in stocks and an eff fective rally in prices was produced. The fay closed with an animated buying move ment in progress, and with prices in the active list from one to over three points above last night During the period of early weakness there were numerous de- clnes of from one to two points, breaking through previous low levels for the year. The early weakness was not universal, many stocks showing good resistance and reheeting determined support by means of confident buying on the part of the mar ket managers for the stocks. There was acute weakness after the opening, which centered upon Missouri Pacific, Atchison and Baltimore and Ohio. This seemed to be a continuance of yesterdays liquida- ton, and the closing out of collateral in loans The weak spots in the market, of which the above stocks were the most notable, kept the tone unsettled and ner- vous. The eagerness shown for the an- nouncement, which was made in a con splcuous manner, that all sheets had safe Iy passed the stock exchange clearing house and the evident relief after the an- nouncement was made showed clearly that fears had been felt that further failures would result from the strained condition of affairs. After the clearing house sheets had gone through there was relaxation in the selling pressure and indications that liquidation of an immediate urgent character had spent its force The sta bilty of parts of the market which were supported by large banking interests. ar rested rapid shrinkage In collateral, whioh aroused such acute uneasiness yesterday The market gradually strengthened during the latter part of the day and became quite buoyant at the last. 1t may be ac- cepted as matter of course that covering of short contracts by professional traders played an important part in the recovery as this class of operators would not desist from putting out short sales as long as the decline in prices continued. The mere fact of the turn in the tide of the market also gave rise to a flood of rumors in- tended to explain the change in sentiment
 The favorite rumor was that a coalition had been formed among the most power full capitalists in the country to buy all stocks that were offered and to lend free ly to the distressed interests in the mar ket This rumor presented so pleasing a prospect that everybody who gave cred snce to it was disposed to buy stocks to ihe extent of his ability. The professional traders short of the market, were, of course, foremost in this eagerness. As a matter of fact, there is reason to believe that an exchange of views on the situa- tion among important capitalists has dis closed an agreement of opinion as to the advisability of avoiding the further sell lf1r9 mt of p11 lat tol oc fDr ac CCflA la But the lenders In the stock market showed considerable variation in the poli- sy pursued in this matter as was dis closed by further closing out of collateral this morning. There was as little in the news of the day to account for the rally as there has been for the recent heavy decline. Liquidation in grain and cotton was supposed to be induced to some ex- ent by the threatening situation in Wall street and the rise in the call loan rate to per cent this afternoon was said to be due in part to the cancellation of some loans in cotton. The movement in call money did not effect the late strength In stocks. The trade reports on iron and steel gave prominence to the difficulty of financing new undertakings on account of the money and securities market sit- uation, and cited cases of postponement of deliveries and even cancellation of or aers. Passenger rate disturbances fin the west and northwest are said to be threat ening There were continued large offer ings of loan bills in the exchange mar ket but these were viewed as rehecting some pressure for funds which could not be satisfied in the domestic market. The further obligations thus incurred are also considered not to strengthen the situation. The great relief felt that no further cas- ualties occurred in the stock exchange circle and carried all other con- alterations before it and resulted in the violent rebound in prices.
 Speculative bonds made violent recovers in sympathy with stock The general bond market was irregular. Total sales, par value, $5100.0o0.
 United States bonds were all unchanged on the last call.