The news & observer. [volume] (Raleigh, N.C.) 1894-current, 1903-08-06
THESE TWO FIRMS FAIL
A Panic is Ayerted by Prompt Supporting 0i-
ders.--Yeslerday's Shrinkage Alone Ag-
gregates Many Millions Of
Dollars.
(By the Associated Press.)

New York, August 5.-Two more Stock
Exchange failures. making total OF SIN
in the last eleven business days. were re-
corded today when Sharp & Bryan and
Hurlbutt. Hatch C Company, announced
their inability to meet their obligations.
Neither failure occasioned the slightest
surprise; in fact, both had been discount
ed for q week or more.
The failure of Sharp & Bryan came dur
ing the morning session shortly after the
market had recovered from its demoraiiz-
ed opening.
That of Hurlbutt, Hatch & Company,
was announced in the afternoon. just as
prices throughout the list were tumbhng
lower than at any time before.
The days business can best be summar-
lied by the statement that fully two-thlrds
of the active list touched the lowest re-
cord reached during the present move
ment, which had its inception last Sep
tember.
At the close of the day some OF the sold
interests-and it is significant that these
interests have been "out of the market
for weeks past, save here and there, when
support was most necessary-spoke re-as-
suringly. They declared that the financial
atmosphere was being clarified, but for all
that Wall Street as a whole could see no
silver lining in the clouds, much less 4
golden one.
Other failures were confidently predicted
and the names of several important firms
were mentioned as among those III finan-
cial straits.
A sharp break in sterling exchange DUR
ing the day was coupled with the sugges-
tion that at least one international bank
ing house had been making desperate et-
forts to borrow money abroad. Officers
of leading local banks and trust companies
declined to discuss the situation except
to express confidence as to the sound con-
dition of the financial institutions The
day began ominously. Opening prices on
the exchange were decidedly lower all
through the list, but the break was check
ed by supporting orders In fact, veter-
an observers were heard to declare that
but for this support a panic would GER
tainly eave occurred.
The Sharp and Bryan failure made lit
tie impression on values, but towards noon
the list receded. the decline including most
all the standard shares, the market then
becoming dull except during the last hour
and half, when stocks were again thrown
over ruthlessly and the closing was weak
and extremely feverish.
Todays shrinkage alone aggregates
many millions of dollars.
Countless "stop loss" orders were caught
in the selling avalanche, and it is prob
able that hundreds of weak accounts were
closed in utter disregard of the losses sus-
tanned by their owners.
The list of stocks that touched their
lowest level includes Atchison, Baltimore
and Ohio, Chesapeake and Ohio, Chicago
and Alton. common and preferred, Chicago
Great Western and the debentures and
second preferred. Chicago, Milwaukee and
st. Paul. Chicago and Northwestern,
common and preferred, Delaware and Hud-
son, Colorado and Southern, first and Sc
cond preferred, Great Northern preferred,
Evansville and Terre Haute preferred,
Long Island, Louisville and Nashville,
Kansas and Texas, Missouri Pacific, New
York, Ontario and Western, Rock Island,
common and preferred. st. Louis South
western, common and preferred, Southern
Railway common and preferred, Texas and