New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1903-10-20
BONDS.
THE DAYS OPERATIONS IN STOCKS.

The course of values in yesterdays market
~as extremely disappointing to the advocates OF
higher prices Opening quotations were wei
under Saturdays close. while throughout The
greater part Of the day the tendency was
toward a lower level. maximum declines run
ming from i 10 points with final losses al
most as heavy. Various causes contributed 10
the DAVIS weakness. At the opening prices were
affected by the lower range for American secu-
rites in London and by the appearance Of heavy
selling in the local market for foreign account,
the latter amounting in the day TO upward OF
1900 shares soon after the initial dealings
II was announced that the Maryland Trust
Co-npanv Of Baltimore, had failed, and subse-
cuently news came that another trust company
81 that city had been forced to the wall These
failures naturally created uneasiness in specu-
native circles on the theory that New-l ork IN
,erests might be involved; also on the theory
that financial troubles outside New-York would
eventually be followed by disturbance Of sim
lsr character among local institutions. Ideas
of this sort. however. were not shared by the
banking interests. and it was pointed out by
conservative people that sales Of good invest
,nent issues because Of the failure OF TWO balu-
more trust companies Of no great Importance
were absolutely uncalled for and wholly IN
warranted The decline in values was not &C
companied by heavy genuine liquidation. the
oh 81
interest being increased, il was estimated. by
over 100000 shares. There was also much sell
snr Of the wash variety. and the total deal
,nes Of over 100000 shares did not, therefore
rerresent that amount OF legitimate business.
The advance Friday and Saturday led many
people TO believe that the bear campaign had
run its course. but the movement of values
yesterday created new opinions regarding the
market Il admitted. however. that there
was no good reason in general conditions affect
ing the investment value Of securities for sacri-
hcing sound holdings. The absence of public
support and the indications that forced Hquida-
ton was rot yet completed. Of course induced
bear aggressiveness and encouraged the most
pessirnistic predictions IN speculative circles
garding the future OF the stock market II is
absurd to sell stocks. because epeculators argue
that the financial and business situation is
about TO go into collapse from which recovery
will be impossible. and fortunately not many
conservative investors Of this country are
throwing their securities on the market. Many
"big" men and institutions that have become
involved IN the promotion Of concerns the
shares Of which are indigestibie have been
compelled to sell their investment holdings, but
stocks thus sold have been well absorbed, and
when the time comes for real bull movement
the local Exchange il VIII be found that the
supply OF securities available for speculative
purposes will be extremely limited
The professional element found in the decision
OF the Pennsylvania Railroad 10 postpone some
of its improvement work reason for selling
Pennsylvania and all railroad shares on the
theory that railway traffic is falling off at a
rate that makes necessary a check 10 railroad
Improvements. II the railroads believe that
traffic in the next year viii be light they will
show a most conservative policy in cutting
down the outlay improvement account and
their action ought 10 be bull, rather than a
bear argument. Declines yesterday wiped out
much OF last weeks Improvement. notably in
Arnalgamated. Atchison, the railway equipment
shares Baltimore and Ohio, Erie. Pennsylvania
ST Paul. Union Pacific Missouri Pacific and
United States Steel issues Bear traders We're
particularly active in Baltimore and Ohio. and
as a result Of their operations the stock lost
q points AS conditions affecting the actual
worth OF securities have no effect at present on
stock market values. II is useless TO explain the
property and the reasons why its securities are
cheap at present prices. II is worth repeating
however. that current Wall Street conditions
which are chiefly due TO the overprornotion OF
the last few years, win not plunge The country
into bankruptcy or put the Stock Exchange
out OF business There is no reason 10 eznec. a
falling of in the dividends on prime invest
rnents as a result Il current stock market de-
clines Wall Street however has lost It's sarseg
and baashees are about to cevour it,