The Birmingham age-herald., 1903-08-20
SHARP BACKSET IN.
 PRICES DEVELOPED
Reactionary Forces Prevail in
 the Stuck Market
ANAL GAMATED TAXES FALL
Concerted Selling All Through the List Causes Fear of Bear Organization. T. c. G |. Is Affected By
 the Days Weakness.

New York, August 19.-The reaetonary forces developed in yesterdays late stock market became proponderanr in today's market and caused sharp backset in prices. It was evident that the underly- ing cause of the reaction was that the re- bound had been too fast and had gone too far. So far as could be perceived the outside causes which were advanced to account for the decline were the effect rather than the cause of il. The dominant influences on prices were in the market itself. Yesterdays heavy proit-taking left the market in a weaker technical position.
 The concerted selling all through the list caused the belief that a large bear party had been organized among the profes- sional traders to contest the advance. In some quarters it was suspected that the choice of well recognized bear operators to conduct the selling was a ruse to cover proht-taking sales of those long of stocks. as the appearance of bear selling is. the most likely to invite support of stocks by their market managers. The kind of SUD- port and protection for prices which have been in evidence since the trend definitely turned upwards was not seen today, and the fall in prices was uncontested. The speculative public at large was left to conjecture whether the powerful capital lsts, whose leadership they have supposed they were following had sold out their stocks and retired from the market, or whether they had become dissatisfied with the rapidity of the advance and the character of their following, and had de- termined to continue a reaction for the purpose of shaking off a weak and un- desirable following of weak traders. The reaction did in fact, uncover large num- bers of stop loss orders and wiped out narrow margins of smaller spectators who have been attracted by the rebound.
 London was q seller of stocks on a large scale evidently in the nature of profit-taking. That there were large ad- ditions to the short interest as a eonse- quence of the days selling, an important place must be given to the question raised whether the rejection of the Panama Canal treaty by the Colombian senate is to be regarded as final. Yesterdays news of the rejection was made much of by the bulls as relieving the change market of the need for supplying means for remit tance on the canal payments and leaving the treasury department free to use measures of relief for the money market Buyers on this factor were naturally dis appointed by today's revived view of the caral treaty outlook. Much attention was devoted to a circumstantial report that the legislative leaders who are looked to to frame financial Legislation have been unable to agree, and that any currency reform measure at the coming extra ses- sion or regular session of congress Is improbable.
 The selling was much concentrated, single commission house disposing of many thousand shares during the day The personality of the firm and its past employment by one of the great financial groups caused considerable significance to be attached to this selling The fur ther reduction in prices of southern pig iron had its greatest effect on Tennessee Coal, but the iron and steel stocks all shared in the days weakness.
 The concentrated selling referred to largely converged Amalgamated Copper and Rock Island was a leader in the reaction. The low temperature in the corn belt and the necessity of early warm weather to insure the crop from frost were dwet upon, and there was a considerable covering movement at the beginning of the last hour put the bears made fresh onslaught and forced a weak closing at the lowest of the day. Declines in the active list ran from 1 to points.
 Some early strength in the bond mar ket gave way to heaviness In sympathy with stocks.
 Total sales, par value, $1, ,952, 900.
 United States bonds were unchanged.