The Birmingham age-herald., 1903-07-30
CONSERVATISM IN
 THE STOCK MARKET
Moderate Upward Pace Is Not Maintained Throughout
LITTLE SUSTAINING POWER
Spirit of Waiting to See How Far 'n- dustrIal Affairs VIII Respond to Movement In Price of
 Securities.

New York. July 29.-Operations in the again today, and the leaps and bounds of the first recovery from the long de- pression gave place to a more creeping process. Even this moderate upward pace was not maintained, and there was fre- quent hesitation and reaction. The news of rains in the southwest and the result Ing weakness in the grain market was a benefit to the stock market, as a close eye is kept on all news bearing upon the con- dition of the corr crop. There was no ev- idence of renewed liquidation of the forced character that has cost the mar ket so dear for some time past, but the demand for stocks, nevertheless, showed signs of satisfaction. and the selling, though light. was sufficient to force prices backwards again.
 There is an element amongst stock buy CTS which refrains consistently from en- tering the market until conclusive evil dence that the turn has definitely come. It is made up in part of speculative shorts for a long turn. and in part of in vestment buyers who dread to hold stocks through decline, in distinction from that class called "bargain hunters" which takes stock from well-informed convictions of their value, and holds them regardless of the market price. The demand from this element seems to have been exhausted quickly. The bargain hunting element, of course. declines to follow any advance in prices. The reeov- cry has reached sufficient dimensions to induce some profit-tak1ng also by the speculative buyers for a short turn who were so fortunate as to ger Tn at last weeks low prices.
 It is an inevitable consequence of such a period of liquidation with little He- straining power in the market that a strong class of holders should have been able to hold through the weakest point by agreement between themselves and their creditors, in order to save needless sacrifice to both by forced liquidation on collateral The result is a considerable amount of credits extended with a stipu- lation for liquidation at the first good op- portunity. A rising market at this time meets a considerable pressure on such contingent liquidation It is a fact that many commission houses which have 0fBaQeQ lUaDlllIY OH lHt part Ol tiitllNS to respond to margin calls have put out short contracts on the decline as pro- tection, and have been covering these short contracts on the recovery. There is also a demand of small limitations.
 Aside from the technical considerations of the market there remains a conserva- tive spirit of waiting to perceive how far the business and industrial affairs of the country will respond to the pos sible index afforded by the recent move ment of securities prices. The opinions of prominent bankers on the situation im- parted yesterday to the Associated Press, made an impression upon the financial district and probably the tone of warn Ing adopted by one influential banker, that the commercial and inductrial inter ests of the country may have to undergo later an experience of liquidation like that through which Wall street has just been passing. There was distinct relax ation in the time money market today. Loans carrying over the end of the year were offered with freedom at 51s per cent. Cash is accommodating at this center from various sources and it is expected that the next bank statement will at least re- fleet the heavy liquidation in loan contraction. The wide movements in to- days market were confined to specialties under the influence of special causes. The days net changes are not important, the earlier gains having been rather mora than wiped out by the reaction. The Atchisons were conspicuously pressed for sale.
 Inactive investment bonds were market ed at some wide concessions. The market generally was irregular
 Total sales par value g, 900.
 United tSates bonds unchanged on call