The Montgomery advertiser., 1903-09-27
WALL STREET REVIEW
MAREET KEPT UNSETTLED AND
 FEvERISH.
Sign of Renewed Urgent Liquidation is Apparent, as is . Disposition to Support on .
 Break.

urgent Anu preckpiLAte Cu8x0GxGr which fnfeQt-
 ened the situation Thursday and which was
 checked by yesterdays protective measures
 taken by the great banking interests The
 course of the London market this afternoon
 for supporting purposes would be for sale
 again at any favorable market opportunity
 This had the effect of discouraging the profes-
 sional operators who were planning for a turn
 out their short accounts yesterday The market
 also developed evidences of support on declines
 The obvious purpose is to bring about con
 dition of greater stability, pending the working
 out of the financial situation. disorderiy
 break in prices is dreaded for the panicky con ditions which 1t might bring about but the
 feeling continues generally that there is liuui- dation still to be effected. It is also consid- cred undesirable to undertake any campaign for an advance in face of the money require
 ments for the crops. The bank statement was
 regarded as satisfactory, especially in the loan contraction of upwards of S5, 1000 900 refecting the good progress made in the necessary pro- cess of liquidation. Hopes entertained that
 this process will begin to be effectiev in re-
 storing the impeachment of credit which has
 oevrhung the market like cloud, and infected all minds with distrust and apprehension.
 The most notable selling pressure today
 In the United States Steel securities, Balti-
 more and Ohio and the Fractions. United
 States Steel fell to yesterdays low record and
 the preferred to within A of 1t, while the
 bonds made new low record at 70k. Tho
 weakness fin these securities continued to have
 a large sentimental effect elsewhere in the list.
 The selling which developed on the favorable
 bank statement was also evidence of the con-
 tinuedw purpose of probable necessity to sell
 stocks on every available opportunity The
 market closed unsettled and irregular. The
 dull and saggfng tendency of prices during the
 early part of the week gave way to acute
 weakness and semi-demoraliZation later, giv-
 ing the market on Thursday evening much the appearance 1t had fin July. The serious break
 in prices induced some support later by the
 larger financial interests. The urgment and continuous liquidation was not explained by any developments in the business or financial
 world. and a number of incidents which were
 favorable in their character totally ig- nored The news from the various crops and the price movement of the great agricultural staples were convincing of the growing as surance of safe harvesting of a sufficient sup ply to afford a good exportable surplus. The harvests of the year have been looked upon for many months vital point In the problem of the working out of the involve ments in which capital and enterprise had become entangled. This news was taken ad- vantage of to market stocks. The offer of the of the Treasury to redeem at once the Government 5s with the six months in terest to maturity was accepted as a practi- cal guarantee against stringency fin the fall money markets. But, instead of melting any buying of stocks 1t was used as a symptom of some underlying danger unknown to the gen. eral public which 1t was sought to avert. There was large movement of currency to Ne wOrleans for the movement of the cotton crop. This was regarded gratifying from a and industrial standpoint, the early or that crop tnsuring an increased supply for manufacturing purposes and a re- plenshment of exchange bills to increase our demands on foreign money markets. The freer movement of grain in the West was satisfae tory for the same reason. although 1t serves to turn the tide of the currency moevment in that direction. ailroad earnings and the statis- tics of railroad traffic showed high level of activity and prosperity there. These aparent incentives to buy stocks were without the slightest effect and the demand for stocks was paralyZed. On the contrary every of an unfavorable character was given close attention and was decisive in shap- ing the speculative sentiment. The most effec- tive of these developments was the recedng tendency of the iron and steel market and it's effectiveness was reinforced by the reports of closing down of mills at various points, by meetings of iron producers to discuss means for curtailing production and by ruinors of all degrees of credibifity of cancellation of or ders and train loads of iron products crowding the rails and refused for delivery The specu- lative opinion in Wall Street seemed to have settled down to a conviction that industrial reaction and an economic crisis was fore shadowed by these indications. These gloomy forebodings find no endorsement from trade au- thorities in the iron and steel trade, nor in any other trade. Reaction is admitted, but the admissions are accompanied by assurances that the normal demand for products is ,In- disturbed and awaiting supply at normal price level which had been exceeded in the boom period. These assurances over the trade situation were supplemented by attempts to ex plain the steady stream of liquidation as the
 
 general business. No extension in enter prises which have-Rroved failure after tying up volumes of capital is the principal cause assigned for the liquidation. The failure to save the Consolidated Lake Superior Company from bankruptcy is the most important case in point. That an enterprise in which $50 oo0, poo was made in actual outlay was unable to raise S5. ooo. 900 10 avail itself of profitable business, was accepted a commentary a condition probably existing in other quarters. Much of the liquidation was supposed to be an outcome of this collapse and of other enter prises suffering from a similar starvation of capital It is believed also that many mar yined accounts which were tided over the Sum mer weakness in the stock market on Condi ton that they would be liquidated at the first favorable opportunity have been forced to sale. Some of the collateral taken over by banks and others from firms is also said to have come lpon the market. But 1t is evident, notwith- standing reassuring statements, profound dis trust and apprehension have taken hold of the speculative mind.
 Bonds have declined in sympathy with stocks. United States new As advanced K, the 5s |. he old registered 2. The 2s declined | F per ,ent. as compared with the closing call of last