New-York tribune., 1903-07-17
GAINS In STOCKS.
MANY WILD RUMORS.
Encouraging Developments -Mr.
Sage Says Prices VIII Rally.

Higher prices and an improved tone character
ized the opening of the stock market yesterday,
hut heavy selling OF Rock Island Union Pacific,
Southern Pacific. the United States Steel stocks
and the local fractions speedily set in. under
-ehich the initial gains were wiped out. Before
noon the tide had turned again. and stocks ad-
vanced until about O'Clock. when bear drive
against American Smelling and Amalgamated
caused prices generally TO recede sharply, al
though at the close there were still many more
net gains than losses for the day.
The early recession partly due to rumors
that more big railroad loans were impend-
ing. and the semi-official announcement that
the New-York Central had decided that ii would
not be necessary for it to borrow money in the
near future on notes or in any other way had
strongly reassuring effect or sentiment
Another favorable influence the fact that
none of the many rumors OF individuals and
firms and institutions being in trouble had been
substantated. One of the days rumors, help
full to the bears, II not started in their interest
was that John D. Rockefeller had at the last
meeting of the directors of the United States
Steel Corporation demanded that the dividend
on the common stock he either passed or cut in
two AS to this story however, it was declared
on high authority that there conflict
dispute between Mr.. Morgan and Mr.. Rookie
feller in regard 10 either the dividend question
or the general policy of the corporation, and
that entire harmony and good feeling prevailed
at the meeting of directors. Another interesting
tale was that a partner in one of Mr.. Morgan's
firms recently found himself heavily loaded with
stocks and appealed TO Mr.. Morgan for assist
ance; that Mr.. Morgan fatty refused, telling
him to get out of his stocks or retire from the
firm; and that the young partner chose the al
Tentative of sacrificing his heavy securities
holdings, the throwing over Of which, according
TO the story, caused the recent market decline.
This Of course, was denied.
One of the most encouraging Developments Of
the day was the violent break in sterling ex-
change rates, amounting to nearly u of cent
in the pound for demand bills. That this was
largely due TO selling of loan bills was made
manifest by the large offerings by foreign bank
ing houses in the money market. The placing
abroad OF a large portion of the S1O,OoO,Uoo or
Union Pacific notes would also make a supply
of exchange. Added to these factors was
very active demand for stocks here for foreign
account Foreign brokerage houses estimated
the number of shares bought for foreign &C
count to-day at fifty to sixty thousand. The
effect was perceptible in the money market even
for six months loans. which have been rlgldly
held at per cent in view of the payment OF
that rate by the large railroad corporations.
It had been widely reported that the directors
of the Anaalgamated Copper Company would at
their meeting yesterday declare quarterly divi-
dent of ] per cent, but after 1t was learned
that the usual Y per cent DIVIDEND nad et,[i oeen
short selling, from above 90 TO 461s, new low
record price. 1t closed at 46%, a net loss or rs
points. . -,
Russell Sage takes cheerful view OF the
market situation He said yesterday:
The stock market is not demoraliZed- 1t is
in what is known as a declining condition. with
promises of quick reaction within month. Inc
present aspect of the stock market does not
Indicate a decrease of prosperity or money
strfngency Its tone IS not one of demoraliza-
tion but may be truthfully expressed as de-
clining one This does not mean. either, that tne
decline viii continue indefinitely. Prices will
Sally within month.
s"r+ere is M doubt but the market IS dis
4,,rbed When these disturbances, which are
periodical and regular, occur, they are regaroeo
by the public being more than mere disturb
ing agencies. The public thinks, then, that
things are going all TO smash. A serious aspect
is taken of Wall Street affairs by the outsider,
while the experienced in stocks and
finances knows the actual causes and can ex-
MIA in Them