The Indianapolis journal. [volume] (Indianapolis [Ind.]) 1867-1904, 1903-05-26
NEW LOW PRICE LEVEL
FORCED IN STOCKS By A DAY OF
VERY DRASTIC LIQUIDATION.
Persistent Early Support by Big Bank
ing Interests Only Temporarily OF
Effect-Monetary Conditions.

NEW YORK, May 25.-The stock market
was subjected to further drastic lquida-
ton to-day. carrying prices by broad
margin to a new low level for the year.
The tide OF selling was at one time pretty
effectually. checked and prices established
at a substantial recovery from the low
point by the determined support Of i'm
portant banking interests and their per-
sistent bidding up of prices through the
stream Of liquidation. But the pressure
became more severe than ever after the
buying demand was seen to have been
entirely withdrawn at the higher level,
and prices plunged abruptly from the
highest to the lowest point of the day.
There were some feverish rallies due to
buying to take quick profits by the room
shorts but the close was unsettled and
unsteady and not much above the low
point.
There was no new development to ex-
plain the heavy selling and it was evidently
due TO general causes and the dscouraging
effect Of last weeks fall in prices. Consid-
Grafton of the situation over Sunday is said
to have resulted in large accumulation of
selling orders to be worked off in the open
ing dealings. Houses with out-of-town
wire connections were very large sellers
and much liquidation was attributed to
Pittsburg and Chicago sources. This gave
rise to reports during the morning that the
condition of the cotton market and damage
to the wheat crop were responsible for the
weakness of stocks. 1t was this accumu-
lated selling that the supporting interests
in the market had to contend with in the
task they had set themselves, and which
seemed to be successfully achieved before
noon. The interests which have under
written the new Pennsylvania stock issue
and those connected with the United States
Steel syndicate were supposed to have a
share in the support of the market. Buy
ing for London account also helped to
absorb the accumulation of selling orders.
Later in the day London turned to the
selling side and sold heavily on balance
on the late break.
The second period of weakness seemed to
Rock Island. The seemingly unending
stream of st. Paul stock coming upon the
market also had sinister effect. The ORR
gin and motive of this selling, which
seemed to be concentrated in Character.
was the subject of much animated gossip
all through the financial district There
was talk of dissension in the ranks of the
controlling interests in the great Rock
Island project.
Assertions were freely made of the re-
call OF loans on an enormous scale with
pose against undue indulgence and spec
ulative excess in both cotton and stocks.
The apparent support of this morning,
which was clearly by large banking inter
ests, seems TO conflict with the view that
the later liquidation was forced by per-
emptory recall of banking credits. The
engagement of 100000 in gold for export
to Germany was disagreeable supplement
to the days heavy outgo TO South America.
But the best prices of the day for stocks
were made after the gold engagement was
announced.
The disturbed labor situation and the
progress of the feud between the Pennsyl-
vanian and the Western Union Telegraph
Company were disturbing factors. The
former tone Of discussion, which took the
form of surmise as to whether the posi-
bility of industrial reaction was impairing
the value of securities, seems to have
changed to a question whether the per-
sistent decline in securities is not a symp-
tom of some unrevealed unhealth In the in
dustrial situation.
Bonds were weak in sympathy with
stocks. Total sales at par value were ST.
$4,000. United States bonds were all un-
changed the last call.
Following are the days share sales and
the recorded price changes: