The Wichita daily eagle. [volume] (Wichita, Kan.) 1890-1906, 1903-07-16
Low RECORD
OF VALUES
Stock Liquidations Continue
in Wall Street.
URGENT NEED FOR MONEY
That Is the Chief Argument
of the Bears.

New York, July 15.-The violent liquiia-
ton of stocks and bonds continued on the
stock exchange today. establishing gen.
eraI low record of values for the year.
The money exigencies of the New York
Central, which was the particular de-
velopment upon which the selling move
ment started, has widened so as 10 take
in the railroad world quite generally.
Yesterdays late announcement that the
Chicago, Burlington and Quincy had Dor
rowed 50 0eO. 900 for period extending over
into next. March on a per cent basis.
was supplemented today by the official
announcement that the Union Pacific
company had negotiated its notes TO the
extent of SIC. 90 for a year and half.
also practically on a per cent basis.
The authoritive news of the day regard
ing money requirements OF the great
railroad corporations was supplemented
by countless rumors OF all degrees OF
credibility, pointing TO urgent money
needs on the part of the railroad world
in general and individual capitalists in
particular. and alleging that great sac
rifices were necessary To be made to Sc
cure funds in hand. The effect Of this
condition was TO provide field day for
the bears in the stock market. This ele-
ment of the stock brokers was diligent in
pursuing their advantage all day long
and the extent Of their operations on
the short side left an effective requirement
for stocks towards the end OF the day.
4heh e. sad
a strong rally in the market. which wiped
out the earlier losses in some cases.
notably in St Paul, New York Central
Reaching and Norfolk and Western The
days losses in the active list were not
greater at any time than are frequently
shown during an active movement, the
ranges running generally within las
points. But in the active list and especi-
ally amongst stocks regarded as of
high investment grade there were some
drastic cuts in market values. In many
cases these compared with long standing
quotations made on all sales and result
ing IN marketing Of comparatively small
blocks of stock. The inference is plain
that these represent a sort of revision of
book values, while tn assumption is war
ranted that such sales are made to sup
ply urgent money requirements There Is
a possibility also Of the attraction of
the present rates in the open money mar
ket inducing the selling Of securities to
employ funds in that way. This is the
natural process by which prices of secur-
| tiles adjust themselves 10 the level of
| the money market. That money is at
present in active demand at high rates
ic 70.
siderable period is a just inference from
all the existing phenomena in the money
| market and the stock market
News from various points Of projects
| Of combination Of gas. electric light and
trolley companies show sources for addi-
-lonal demands for money Some Of the
| declines in high grade investment stocks
today ran all ne way from TO 20
points and induced such stocks as Cen
eral Electric. Westinghouse Electric, the
New York and st. Louis Nashville. Chat
! tanooga. St. Louis, Lackawanna, Della
ware and Hudson. Pittsburg. Cleveland
| Cincinnati and ST. Louis. United Sttaes
Express. ST. Paul preferred. Brooklyn
Union Gas. Buffalo. Rochester and Pitts
burg. Long Island. etc.
! In the active list Pennsylvania. New
! York Central and the Pacihcs and United
States Steel stocks were most heavily
sold. There was enormous short cover
ings at different times during the day.
/ the breaking out Of depression at new
points being used 10 cover 10 advantage
where declines had already occurred.
The routine news Of the day. outside
/ Of the money situation. was entirely ig-
nored The closing was rather irregular.
owing 10 some fresh recessions just at
1 the last.
/ The bond market reflected the pressure
1 of liquidation rather more than hereto
fore and there were declines Of 1Gih
1 points in many favorite bonds OF what
might be called q secondary grade. Losses
among the speculative issues reached as
/ high as 3, or ~ In some cases. Total
sales. par value $3.7s0cel. United States
1 bonds were all unchanged OF the last call
Closing quotations Of stocks were as
J folloWe.