The Saint Paul globe. (St. Paul, Minn.) 1896-1905, 1903-04-14
HEAVY FALL IN STOCKS
RESULT OF THE NORTHERN Sc.
CURITIES DECISION
Much of the Day Given Up to Drastic
Observation-Disclosures Rallies. Then
Falls Back and Closes at Near the
Lowest Point.

NEW YORK. April 13.-All other is
| sues were obscured in today's stock
| market by the consideration of the de-
| cision against the legality of the
! Northern Securities company. Appar-
emily the speculative community had
| worked itself into an assurance that
/ the decision might not vitality affect
| the standing of the company. or at any
| rate that the intrinsic value of the
| constituent elements of the company
! would be unimpaired under the deci-
| sion. As the London Stock Exchange
| remained closed today, the local mar
| ket opened again without any oppor-
tunity of impressions from that quar-
ter
/ The result was an extremely fever
| lSh and unsettled tone in the early
| transactions, but determined support
was manifest and was effective in
| checking the first decline. In fact some
| prominent stocks started upwards
| from the opening. This appearance of
! resisting power caused alarm amongst
! the bears for fear that the effect of
| the decision had been exhausted in the
| sharp selling movement of last Thurs
| day. The ample time given since
| then to mature plans for the protec-
| ton of the market and for the passing
| of the impulsive period of alarm add
| ed to the timidity of the bears and
| their operations were all on the buying
side at first.
Prices CrumbIe.
AS soon as the course of the North
! ern Securities stock in the curb mar
| ket became known. however, prices
! on the Exchange began to crumble.
| With the exception of short intervals,
| due to occasional bear covering. the
most of the day was given up to dras-
! tic liquidation. The market rallied
! late in the final hour on the taking OF
| profits by room shorts. but the selling
was renewed at the high level, and
| prices turned downwards again, clos
| ing only a fraction above the lowest.
! The days decline ranged all the way
| from to points for the leading ac-
| tive stocks and extended to nearly 20
| points In some exceptional cases.
Wells-Fargo dropped 10 1-2. Great
! Northern preferred. Lackawanna and
| American Express 10, ST. Louis & San
! Francisco ga, Reading ga, Balti-
more q Ohio and New Haven 5.
TO enumerate in detail the losses be-
| low this figure would fill a needless
amount of space. Special weakness
was perceptible In stocks involved in
! prospective plans for merger or which
are supposed to be vulnerable to legal
process under Thursdays judicial de-
cision. The large declines in the
| Gould group, ST Louis & San Fran
cisco, Union Pacific, the railroads
! available for the expected Southern
! Securities company, the anthracite
! coalers and Pennsylvania and it's as
! sociate companies We're traceable to
| the anxiety aroused by this decision.
Depressed by Northern Securities.
Northern Securities itself, which
! closed on Thursday after the publica-
ton of the decision at 1913 II, made
! c-e-tr Il
| Just before the close, with the last
! price at "a ga. The course of this
stock neutraliZed all the reassurinE
| expressions which had been busily,
| circulated by many important inter-
| ests in the financial world since Thurs
! day. 1t could not be learned that the
! banks were making any discrimination
| against loans in which this stock. fig
ureS as collateral. There was no pres
sure in fact by the banks to reduce
outstanding loans. and money on call
could be had from per cent DOWN
wards throughout the day.
Stock brokers, however were max
ing urgent calls for additional mar
gins, and the violent decline in prices
brought calls from the banks for addf-
tional collateral on loans. There was
large forced liquidation in conse-
quence of successive drops in prices
1t was clear from the action of the
l.
tertained Of the length to which the
Northern Securities decision can be
applied in upSetting all possible ar
rangements for avoidance of the de-
structive cutting and competition,
and in obstructing the process of com
bination of capital and the resulting
economics.
Some Favorable Developments.
The favorable developments since
Thursday, such as the extraordinary
favorable government report on the
winter wheat crop. gross earnings of
railways for the first week in April
and the $22,0OO,O0O increase in March
exports of domestic products were to-
tally ignored in the prevailing disor-
der due to the Northern Securities
case.
Another drive against prices was
made on the curb" just before the
close. Northern Securities sold down
to "a on further offerings by Stock
EXCHANGE brokers, and closed at "a ga
| @95. Steel bonds sold off to 49, de-
cl1ned of 2 per cent, and the preferred
stock of the international Mercantile
| ana Maritime company changed hands
| in large lots at "a 1-2, decline of
| l-S from last weeks closing price.
Later this same stock was freely Of
Tered at "a, with no Sales On the
| Stock Exchange the market was fe-
verish and heavy. but closing prices
were slightly above the lowest
The bond market shared in the
weakness of stocks. Total sales. par
value, $2,915,000. United States bonds
| We're all unchanged on the last call.
The sales of stocks on the Stock Ex-
change today, 1,289,316 shares, were
| the second largest of the year, the high
record to date being 1,546,030 on JAM 9.
This is the fifth day this year that
! full days trading has exceeded 1000
600 shares, the first being on Jan. 6.
when they amounted to 1,156 ,669
| shares; the third, Jan. 8; the fourth.
| IOO6,45O, on March 10. and the fifth
| tndau