The Salt Lake herald. [volume] (Salt Lake City [Utah]) 1870-1909, 1903-03-29
ONSLAUGHT BY
THE BEAR PARTY
Fierce Speculative Storm Swept
Over Wall Street
QUlETEO DOWN AT THE CLOSE
UPS AND DOWNS OF THE MAR
KET DURING THE WEEK

New York March 2S.-The stock mar
ket was swept by "a speculative gale
during the later hours of the session OF
today of which the quiet closing and
small net changes in prices give little
indication. The bear party made fierce
onslaught on prices after au unsteady
opening and succeeded IN dlslodging
some heavy blocks of stock which were
in vulnerable position by reason of calls
for additional margins and by stop-loss
orders placed below the market The
unexpected increase i'm reserves disclosed
by the bank statement caused anxiety
on the part Of the bears and they bought
10 cover in an urgent manner, causing
ID violent rally ia prices There was q
notable quoting down after the plhcl-
pal demand from the bears udQ pecA
satisfied and the market waVered again
but closed about steady, although peloW
the TOP prices on the rally.
There was as little specific news 20
explain the selling as there was yes
terday. and IL seemed % ne pdseu ulioh
discOuragement over the general apatny
OF the speculation and the many uls-
appointments of hopes of rise IN prices
There was some show of support ln sew
York Central and Pennsylvania, ana llt
greatest weakness shifted 10 the IdtlllS7
and st. Paul Manhattan was support o
and there was some strength among lue
c0alers based upOn the reports OF net
earnings for February OF EedulhB alie
Leheh and i.ehiEh Valley following thL1
FOR Erie which was published }cslcIut.9
The only explanation offered lof tie
higher reserves shown by the banks I'D
tile face Of an apparent decrease. Juobcu
by the known movements OF money W.
the working OF the average system yL
computation. A daily increase lh CASA
81 ~ OF
ly average. The passing Of the -ApIH
] period Is looked 90 for some IeAcL
from the demand for money an9 hqul-
dation effected in stocks yesterday ana
today is also expected 20 clear the STU
alton to some extent
Review Of the Week.
The speculative outlook has been
clouded this week by the money siJua-
ton. present and prospective ana the re-
stock market, followed by urgent hqul-
dalton. In a few special stocks tneIe
has been active speculation based on M
dividual causes. The violent DIeah la
the copper market In London mas httd
an unsettling effect on the recent eA-
tensive speculation in copper STOCKS dh
over the world and about rejected TIA
a sharp reaction ln Amalgamated cop-
per on the stock exchange, win "a SYM
pathetic effect on the whole llsl. inc
decline in that stock found a large long
account I'M a vulnerable position and some
heavy speculative liquidation was the
consequence. Some support was iQrlh-
coming when the copper market IN l-Ju-
don recovered. The reception ACCORDED
the new Pennsylvania stock issue was
not encouraging 10 those VINO nave
hoped for a stimulatns erect on specd-
lation from the declaration OF supscIlp-
With the market prices of the stock
at about 40 the right 20 subscribe 20
new stock at 40 10 tho extent OF one
I third OF present HOLDINGS offers SUB
3 stantial benefit to stockholders. But the
prospect OF an increase in the. market
supply Of the stock by one-thlrd ana the
l formidable money requirement involved
I I'm the subscriptions 20 the new STOCK mas
/ resulted IN active realization In PennSyl j.
Vania. The subscriptions to the pc"
! stock will require the use OF some $50
COO 900 OF which half viii be payable ID
4 June. One-quaTteT In October and the re-
/ naming quarter in June OF next year
] The effect on the stock market OF TINS
proposition is very significant with a
/ feeling Of anxiety over the very lar Be
! offerings OF new capital issues ln lhe
! market. There seems TO have been some
] buying of subscription rights 10 the new
1 stock against the sales of the old stock
! on the exchange, but the fact remains
/ that efforts were urgent to lind Qulok
/ market for the large supply OF new
/ stock impending. or 20 find resources for
]
] holders. Other socks which have been
/ held at a high level I'm the expectation
/ OF benefits 10 accrue by new stock sub
/ scripuon rights have been IN the back
/ the new demands for increases of wages
! intensifies the fear that the resulting
/ advance In operating expenses VIII az
/ feet the rate Of profits 70 stockhold-
ers.
Earnings Of Railroads.
The reports Of gross earnings Of rail-
| roads for February do not show sui
/ ficient increase as a result of higher
! freight rates 20 relieve this apprehen-
I Sion With these returns IN hand LITTLE
! effect Is produced by the large increase
/ In gross earnings reported by the rail
/ roads and by the reports of unprecedented
! volume OF traffic and congestion oil
/ freight from various quarters. NariOu:
/ projects for outlay for terminal Improve
/ ments and additional equipment lnvoiv
ing further absorption of capital are thl
/ sequence of this condition Attention Is
! attracted by complaints of the practicd
breakdown OF motive power on SOmt
/ railroads as being responsible IN part fol
/ the blockade of freight Such condition
gives rise 20 the fear that some OF tht
| striking economies OF opera ton Whlcl
I have been effected of late years by rail
/ roads have been at the expense of heavy
| strain upon the motive power TO enable
/ its efficiency TO be properly maintained
The drain upon New York bank rates has
continued during the week The sub
treasury has continued TO absorb larg'
amounts and 10000 was shipped q
BuenOs Ayres.
The London market has been disturbe,
like our own by the stringency of money
and the requirement I'm prospect for tn
$3.50, 900 TransVaal loan. The decision
/ Of the secretary OF the treasury 20 re
fund SlW0W000 Of shOrt-term govern
meut 8 and 4 per cent bonds into conso
. per cents caused monetary recover.
of "A point in a few prominent stocks D
the market, but the pressure to sell a
the advance was greater than ever. Tn
basis FOR additional note circulation pro
Vided by the new supply Of per cent
seems not to be taken account of by tn
financial world. as the additional clrcula
ton is not available for banking reserve
| and provides no basis Tor expansion o
I credits. The cash payment or the pre-
MUM on the refunded bonds would iu
I deed increase the cash supply, but IN
amount is so moderate and its diverse
I ment likely TO be so slow as 10 appeal ll'
] Tie TO the present discouraged seuumer
I in Wall street over money affairs. TN
contest between the Hartman and Keen
holdings In Southern Pacific has been
I allegiance during the week. but the WOrk
| ing out of the struggle is still 90 be me
! and the prospect serves 90 help the I'd
/ preston of operations in the market. I'm
decision Of the government S suit agaln'
l the Northern Securities company by
United States judge IS an event oyer
hanging the market although am appe,
TO the supreme court is taken Tor granite,
The undertaking reports Of prosperou
trade conditions seem to be entirety witt
out influence upon sentiment The OpeI
ing Of navigation on the lakes ia locke
forward 20 hopefully 90 helD unlock Oh
accumulation of grain az interior center
and start 10 abroad. with resulting r'
| lease OF funds tied up i'm hOldins charge
and "a repleuishment of the supply
! | foreign exchange.
, / The market for bonds has been dull an
/ the movement of prices Irregular Jni
ed States old Is advanced lla per cent am