New-York tribune., 1905-12-19
STOCK MARKET OPERATIONS.

Transactions IN Yesterdays stock market were
heavy in volume on a, movement of values that
showed wide fluctuations, with the general ten
dency in the morning in the direction OF lower
quotations In the carly dealings there were
many sharp declines. but in the case OF a number
of issues the extreme losses were followed by
q material rally, although at the close the
majority of the leading active shares were under
Saturdays final figures. Lower prices in Lon
don and the announcement of the failure OF
three Chicago financial institutions furnished
effective arguments for the advocates of lower
quotations. and the fact that these develop
n1ents notably the Chicago disturbance, came
at a time when the bull account in a top
heavy condition naturally made it easy for the
bear element to make a successful raid OH
stocks. In the Copper shares, Union Pacific,
Tennessee Coal and Iron, and in fact in all
the issues which recently have enjoyed marked
activity losses in the morning trading were
heavier than any recorded in many weeks, but
there was, however, no indication Of demorah-
zation and apparently no disposition on the
part of the larger speculative interests to
change their position the general market.
In addition to the adverse factors just named
great strength in the foreign exchange market.
suggesting the possibility Of gold exports helped
TO encourage operations for the decline. Much
of the early decline was recovered in the late
supplied by Anaconda, Colorado Fuel and Iron,
Metropolitan Securities. Northern Pacific and
Tennessee Coal and Iron, the last named stock
advancing from its low point Of 1S7 to 146,
closing at a net gain of 3 points. In the active
list the heaviest net losses were recorded by
Analgamated, Brooklyn Rapid Transit, St
Paul, Louisville and Nashville. Missouri Pacific,
National Lead Peoples Gas, Reading, Southern
Pacific and Kansas City Southern.
Since last Friday night the local banks have
gained in their operations with the Sub-Treas-
ury over 81 SOC, 900, and according to current
indications the movement of money IN the week
both through the Sub Treasury and on the
direct movement with the interior, will be in
favor of the New-York institutions, While
there may be passing furry In rates at the
end of the year, incident to the preparations
for the January interest and dividend disburse-
rnents there is little probability of any real dis
turbance in the money market at this centre
or at the other leading financial points in the
country The failure Of the Chicago institutions
does not indicate general weakness in the fnan-
cfal situation at that centre. does it fore
shadow a breakdown Of any of the important
banks in the country. Causes in way
nected with the general course Of affairs were
| responsible for the trouble in Chicago but, of
course Wall Street nlagnified the Importance
| of the event, at least the speculative element
which is in favor OF lower prices old so, well
canning the development for the good reason
that it has been long time since anything has
happened which would tend to depress securi-
| ties values. The decline yesterday however,
was due mora to speculative conditions than to
| the Chicago bank failures. The character of
| specuIation at the close of last week indicated
| temporary unhealthful conditions In the
| market, and IL generally believed that in
| the current week there would be reactions,
| especially in tbs issues which for so long a
period have been aggressively builed. de-
| cline at this time will serve TO strengthen the
technical position OF speculation, and the larger
interests are not inclined TO look with disfavor
on the reactionary tendency. Liquidation was
| made up IN great part by the sales Of small
commission house traders and minor pools.
while buying represented covering by the shorts
and purchases by people who have been wait
ing for a long time for setback in values.
The underlying strength of the market was re-
fected in the smallness OF the declines and the
ease with which many securities rallied after
the opening recession.
In the foreign markets prices generally were
lower. with reports of heavy selling IN American
securities presumably for New-Yorlz account
Naturally the serious situation in Russia tends
TO depress prices of securities in Europe, while
il also serves TO keep money at firm figures and
TO increase the demand for gold for Paris and
Rerlin account. There is little chance of ma
teriaI change IN money rates abroad until aftel