The sun. [volume] (New York [N.Y.]) 1833-1916, 1903-06-12
FINANCIAL AND COMMERCIAL.
THURSDAY, June II.

In the stock market HS N1ht "ihSh ~ CIV a''o"
at the close Of the market yesterday after
noon. With hardly an exception the heads
OF the great banking and commission
houses, very many OF the large operators
and all those experienced in Wall street
matters whose minds were free to take an
impartial view Of what was going on, de-
clared themselves OF the opinion that the
decline in prices had been carried altogether
too far and that the selling OF stocks had
assumed a form OF mania "a violent as
that which charact erized the furious buy
ing movement last summer. 1t was gen.
orally recognized and deplored by these
critics that a race Of stock gamblers had
recently been called into existence In this
country who were by turns short" and
"long" OF the market to an extent hitherto
unknown in our financial history. Last
summer nearly all of these spectators were
buying stocks with as little thought. APP
parently, as to the reasonableness OF their
operations or the influence Of their conduct
upon the business world as II they had been
throwing gold pieces by the bushel on the
table at Monte Carlo. The same spectators,
none of them now as rich rs formerly, but
still playing their game with the old fervor,
are or were UP to yesterday selling stocks
as madly as a little while ago they bought
them. just as last year there was some basis
for their operations in the splendid bust
ness and agricultural conditions existing,
30 Of late there has been some reason for
a speculation for the fall in the obvious
reimbursement of values that was necee-
sary after the past antics and in the ex-
ceedingly cautious attitude regarding the
security market adopted by the general
public. But this spring, just as last year,
the speculation has been tremendously
overdone. Men whose names are entirely
unknown in good quarters in the financial
district have had and still have outstand-
ing lines OF short stock varying from 10000
to 10000 shares apiece. Up to to-day
these men have been suco essful in lower
ing prices. They have spread broad
cast stories which we're without particle
Of foundation. that commercial disasters
were impending. that commission and
banking houses were in trouble, and by
lar tactics, aided by the influence Of floods
and labor troubles whose harmful charac-
ter was hugely exaggerated. have managed
to create good deal Of public distrust
and uneasinees and to cause great deal
OF genuine liquidation
Whether after to-day's events these
daring operators will abandon the field
abruptly, as is often their wont. every one
endeavoring to save himself as best he can;
whether they will endeavor to retire slowly,
making occasional sallies in their rear for
the purpose Of covering their retreat, or
whether or not they may be still power
full enough to depress prices lower than they
have yet been seen, is OF course, beyond
prophecy. But it certainly looked to-day
as II the bear campaign had ended A
rumor was current that the great banking
interests had, at conference last night.
determined to make a concerted resistance
to further assaults on the market. and,
indeed. to attempt to overthrow the bear
party entirely. The rumor was untrue;
but the fact is that the most powerful
people In the financial district did consider
the advisability yesterday of issuing a
statement over their own names formally
stamping as untrue the stories that
have been circulated as to the embarrassed
condition of firms and prominent in
dividuals and generally reassuring the
public regarding the situation. 1t was
finally decided not to issue such a state
ment for fear that its character would
be misunderstood in foreign capitals. As
stated in this column yesterday, however.
houses here having the most influential
connections abroad did send long cables
to their correspondents in reply to in
quiries, which had the effect. unquestion-
ably. Of clearing much msapprehension
in the minds of the recipients as to the con-
dition Of affairs in this country. To these
cables, undoubt eddy. was due the strength
Of American securities in the foreign mar
kets to-day.
The real reasons, however, Of the turn in
the speculative tide that was to-day wit
messed were, first, the long-looked-for
appearance OF buying in volume by in
vestore, large and small, who, in nearly all
inst ances, paid for their stocks outright
and took them out of the market. Such
buyers we're not, Of course. inclined to fol-
low the market to-day as 1t advanced, but
they naturally left orders with their brokers
to be filled II quotations again receded to
yesterdays figures, Nearly oil of the COM
mission houses reported that they did
larger investment business yesterday than
at any time for years. The matter was
sufficient to brighten some OF the more
wary bears esterday. and while they still
kept up their shouting, they covered their
short contracts rapidly. Much the larger
share, however, OF the short interest still
remains unprot ed and found its market
entirely taken away from it to-day by he
rush OF buying orders from every quart or
of this country and of the world. The
second factor in the days upturn was
consideration OF the Government report
Of crop conditions for June. showing
that the largest wheat crop ever
gathered in our country would. accord
ing to present indications. he harvest ed
this year. In spite Of all the damage done
to winter wheat by the floods and wet
weather the indications now are for winter
wheat crop 100, 900 900 bushels greater than
was ever gathered before, and as the crop
Is within less than a month Of harvest the
chances are overwhelming that no further
appreciate damage will be done For
six weeks past one Of the chief forces used
in depressing the market has been stories
OF crop damage. It now develops that
the stock market has. az it often does,
been crossing bridges before II comes to
them, and that no far as the wheat crop
is concerned its attitude has been unjusti-
fed, A very large export business in wheat
o,l <~orv un Iope m -ja urop tho pvoduruo