The sun. [volume] (New York [N.Y.]) 1833-1916, 1903-05-21
FINANCIAL AND COMMERCIAL.
WEpNEspAY, May 20

FINANCIAL AND COMMERCIAL.
wspNEspAr. May 20.
Speculative sentiment at the opening
OF the stock market this morning was in.
clined to be more cheerful. The profess
sional operators whose bold and confident
sales initiated and have encouraged the
declining tendency OF the market were
| very largely Of the opinion overnight
that the decline had gone far enough for
the present and that 1t would be wise to
| retire fair share at least, OF their con-
| tracts for the fall and to seek little higher
| level OF prices before renewing their at
| tacks. Prices from London came higher
| and London houses bought stocks steadily
during the day, as they have been doing
for ten days past. Purchases OF this nature
to-day were estimated at between 25,OOt
| and $4,000 shares But whatever benefits
the market enjoyed from this source and
from the anlicable disposition Of the trading
element we're lost because OF the liquidation
| on the part OF large and small holders Of
stocks which proceeded throughout the
| day and in the last hour OF business as
sumed the proportions OF downfall. The
market displayed great weakness and little
rallying power. The first stock to break
was Atchlson common. The same tactics
as those noticed yesterday were renewed in
the security, and it was very soon evident
| to close observers Of the market that a
drive" against the stock was not being
made. but that the attempt was to sell a
great deal ofthe stock at as good figures
as possible. or. in other words, to market
long" holdings Much of the same sort Of
selling was soon visible In st. Paul and Other
prominent securities, and as soon as the
rank and Ale of the trading element dis
covered it they naturally stopped buying
in their short stock, although there was
much more stock Of this sort covered
during the day than there was put out. and
the days business as whole resulted In
decided diminuton Of the short interest
The history OF the days market is simply
that of continual fall in prices which
at the end left the prices of the active stocks
from to points below yesterdays close
and at the lowest point Of the year,
Gold exports Of 81 $50 900 were announced
and it was also understood that 81 600 DOC
in gold will probably be sent to Buenos
Ayres on Monday. Despite these shipments,
the rate Of sterling exchange did not waver,
tinuance of the gold-shipping operations.
The news Of the successful operation on a
prominent capitalist apparently had little
market influence. as it is generally recog-
nized that the condition of the gentleman
has at no time been serious. Probably
nine out Of ten of the customers in COM
mission houses would answer If asked
what was the cause OF the days break in
prices that it was the further excited up
ward movement In values upon the Cotton
Exchange which occurred this afternoon.
There is no doubt that certain specu-
lators who ordinarily confine their at
tention to operations in the stock mar
ket have become involved in cotton
and have suffered losses, and it is
possible that complications Of this nature
are somewhat more widespread than have
been supposed. The opinion OF the best
judges is, however, that the fears over any
trouble that may result in Wall Street
proper because of the speculation in cotton
are largely sentimental. If closer money
market than that known at present pre-
vailed the locking up of money caused
by the calling of margins consequent upon
the battle over the cotton options would
affect the general financial situation to this
extent, that it would hamper for the time
being the financial freedom of those directly
affected by the margin calling operation,
But nasmuch as the money called" on
this account is deposited in trust COM
in the community as are all other trust
company funds. Regarding the much
talked-of stopping of cotton mills and the
disorganizaton Of the textile trade, the
people In charge OF these businesses are
proceeding upon the assumption, as well
they may, that the present disorder in the
cotton market is only temporary and is.
indeed, every day nearing an end. Some
adjustment OF cotton manufacturing to
the necessarily high prices Of the staple
is, of course, inevitable.
The fall In prices to-day was undoubtedly
assisted considerably by the disturbance
in the Montreal and Boston markets caused
by the break in the price Of the Dominion
Steel and Iron and Dominion Coal Com
pany shares in both markets and of various
local securities in the Montreal market.
A money stringency, it was said. de-
veloped in Montreal, and there was throw
ing over OF speculative holdings on the two
exchanges named which was not without
some influence here. TIL ere was also a
rumor of renewed labor troubles on the
Western railways, which. it is understood,
had this basis. that the freight handlers
on the Chicago and Northwestern road have
made demand for an increase in wages
which the management Of the road does not
at present see it's way clear to grant The
difficulty will probably be compromised.
as all such difficulties have been in the past,
but the matter. nevertheless caused some
selling Of stocks to-day for the account Of
Chicago and other Western cities. The
substantial cause for to-day's events on
our Stock Exchange was, however. the
encouragement OF various large specula-
tive holders Of securities over the outlook
for the stock market in the coming summer
and their alarm over the large fall in prices
that has already happened. 1t may be
that this discouragement:an and alarm have
been heightened by certain untoward vent
ures in the cotton market and to some
extent by personal animosties and jeal-
ousies. The vital reason is, however, the
plain and ordinary one that the individuals
concerned find themselves carrying more
shares OF stock than they can take care Of
and that it is necessary for them to tighten
cargo. Jettison of this nature once CON-
menced NAV proceed to conside ra BILE len his