The Wichita daily eagle. [volume] (Wichita, Kan.) 1890-1906, 1903-07-25
FAILURES
IN STOCKS
Suppressed Uneasiness and
Apprehension Exist.
BEARS RUSHED TO COVER
Then Comes a Rebound and
Are Exciting Times.

New York, July 24.-The announcement
late today o nthe stock exchange OF the
failure of Talbot ]. Taylor & Co, and
W. T. Stow & Co.. followed a day of sup
pressed uneasiness and apprehension. The
bears rushed TO cover their short con-
tracts on the selling induced by the news
OF the failures. and a violent rebound
followed. so that large part of the day.
losses were retrieved and the market
closed with exciting buying ON rising
scale Of proices. Some OF the leading
active stocks closed the day with net
gains OF a poit or more This compas ed
with declines below last nights level
AT the period of greatest weakness OF
to 81 for the active market leaders
Amongst the specialties there were more
severe losses. due in some cases, as the
event proved. to special commitments or
the embarrassed firms In these stocks
An example was the Mexican Central
securities. in which the firm of W. T.
Stow & Co, Were Interested. The fail
ure resulted in drop of "a in Mexican
Central from 1SA to IL There were quite
a large number OF low priced railroad
stocks in which similar downward
plunges, although not so extnsive, served
to arouse fears of coming failures The
situation would be al arge commitment
in some stocks with the stock already
acquired figuring largely as collateral for
loans and with the funds employed in
the market support and manipulation OF
the price. Bankers and money lenders
have been keenly on the scent OF such
conditions back of the money they have
out on loan and have grown more and
more exacting in regard to collateral on
such loans and more solicitious to have
them closed out with the shrinkage in
security values and the undermining Of
confidence. The failure OF Talbot J. Tay-
lor & Co.. is inevitably associated with
the name of James r. Keene. although
his name does not appear in the partner
ship Of the firm
But family connection and the well
known fact that the firm for him will
connect the failure in the public appre-
hension with the large stock market
operations which he has conducted. The
market management of the United States
Steel stocks during the period of their
fotation and the conduct of a pool in
Southern Pacific stock will be looked
upon as having an outcome in the fall
ures. The Southern Pacific pool was
credited with holding at one time some
800 900 shares of Southern Pacific stock
and its challenge of control OF the Union
Pacific party in the property and its at
tempt TO force the payment Of dividends
on the stock are matters of recent no
toriety and with the sequel still pending
in the court. Aside from the expecta-
ton of the failures. the realization of
the fears and the revulsion OF feeling
reflected in the rush OF the shorts TO
cover with the bad news out there was
no influences perceptable IN the market.
News of cooler weather In the corn belt
counteracted the effect Of yesterdays re-
ports of hot winds and the liquidation
in progress in the days cotton was view
ed with satisfaction. The weeks move
ment of currency indicates a cash gain
by the local banks of upwards Of $500.
GO and news was received of the ship
ment of another 81 900 in gold from
Australia TO San Francisco. The de-
scTiption OF the market resolves itself
into list of price changes. Rumors
were numerous all day Of financial en-
barassments. and the field Of these ru-
mors was by no means confined 70 the
stock exchange or TO New York City.
but ranged the country over. The heavy
selling of Amalgamated Copper was ac-
companied by very specific rumors of
money troubles. which were not sustain
tiated.
Bonds were weak in sympathy with
stocks. Total sales par value $3.50
United States bonds unchanged on last
call