The Birmingham age-herald. [volume] (Birmingham, Ala.) 1902-1950, 1903-03-11
WALL STREET MAX ES
SUDDEN REVERSAL
Sentiment Has ReIapsed Com
pIeteIy Into Gloom
ROSY VIEWS SHORT LIVED
Large Reduction In. Outstanding Short
Interest Effect BY Enormous Buy
Ing to Cover Short Contracts De-
prived Market of Force.
ROSY VIEWS SHORT LIVED

New York, March 10-Wal street maze
another sudden reversal of sentiment to-
day and relapsed into gloom. After yes
terdays strong recovery there was
feeling of great relief and disposition
to take rosy views of the faculties at
hand for the money market, but It began
to appear again today that the sweeping
Up Of the new resources, brought within
reach of the local money market by the
rise in interest rates, was going on at
too rapid a rate and could not be indefi-
nitely extended. The very large reduction
in the outstanding short interest effect
by yesterdays enormous buying to cover
short contracts also deprived the market
Of a very important sustaining force.
Sentiment accordingly shifted to the bear
side again. The conditions were not ma
terially altered from those of yesterday,
but extreme sensltiveness was apparent
TO all, With suggestions Of possible diff
culties. The shifting rumors regarding
the alleged contest between the speeula-
tive pool in Southern Pacific and the
Union Pacific holdings in that stock were
made the instrument of extensive opera
tons.
Last nights rumors that an agreement
had been made between the two parties
were contradieted and vague limitations
were thrown out of coming hostilities
which would threaten decentralization to
the stock market The affair offers very
little in the way of substantial informa-
ton and does not reach beyond the
realms of speculation. OF more substan-
tial character was the resumption by the
banks of the calling of loans The violent
break here and there amongst some OBJ
5cure stocks suggested also a process of
wedding out of undesirable collateral.
The slump In the American ice stocks
was explained by the difficulties devel-
oped at the annual meeting. The break
in the common reached "A and the pre-
ferred TO- with rallies of Ia and 3lh re-
spectively. This incident and the raiding
down of Metropolitan Street Railway 2
points caused an unfavorable impression
and | to the first violent decline after
the market had fallen into dun and
heavy condition. The weakness then be
came quite uniform throughout the list,
except that Southern Pacific and Unien
Pacific continued very conspicuous in the
speculation.
The free selling all day by the bears
led to substantial rally, reaching be-
tween and points In the last hour for
the active speculative leaders when they
covered their shorts. The exhaustion of
the demand at the highest level. how
ever, prompted renewed selling. ST. Paul
dropped abruptly to 1868 where it quickly
crumbled to about the lowest of the day
and the closing was very active and weak
New York Central was also notably vul-
nerable to the attack made upon 1t. The
call loan rate at the opening was six
per cent and some loans was made above
that rate, but the ruling rate was six
per cent. The drop to below that rate
after the principal demand had been sat
isfied was without special Significance.
The recovery in foreign exchange and
the rise in discounts at London arc high
ly significant and conveyed an intnation
of the effect to follow an undue resort
to foreign credit facilities Another evil
dence of the dominance of the money
situation was the sensitiveness of the
speculation TO rumors regarding the man.
her IN which payments are to be made
TO the Panama canal stockholders A
formulated report of the intention of the
secretary of the treasury to draw on
government deposits with banks 10 the
extent of $20,o000C0 to Sc, 100000 for this
payment aggravated the markets weak
ness. The sub treasury took from the
money market nearly million and half
dollars yesterday and 100000 was deposit
ed at the sub treasury for transfer to
New Orleans. Amalgamated and Ameri-
can smelling showed some strength on
the advance in copper and lead and Read
ing made temporary advance on a de-
NAL of Fumors that the miners We're to be
Put on short time
Bonds weakened in sympathy with
stocks.
Total sales, par value, $2,525,OOO.
The advance in governments gave rise
to unconiirmed rimors of an intention by