Los Angeles herald., 1905-04-25
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By Associated Press.


NEW YORK, April PA break in
the price of stocks today seemed a
foregone conclusion. The promise Of
such a movement was so clear that
professional operators sold enough
stocks during the first hour to more
than cover the requirements and they
devoted a period of the day to covering
their short contracts, with the result
Of practically repairing the losses.
1t was evident that bargain hunters
were also on hand and their willing
ness to take stocks at the break was a
material factor in rallying the market.
The technical situation pointed con-
clusively to considerable liquidation
today
The heavy decline of Thursday last,
since which time trading on the eX-
change has been suspended, induces a
great many calls for additional mar
gins on the brokers and commission
houses. 1t was known before the mar
ket opened that these calls had brought
back many responses ordering the SELL
ing out of holdings.
Speculative sentiment had been so
far shaken by last weeks development
that no effective support was to be
anticipated unless at considera BILE con-
cessons in prices. The events of Sat-
urday's- wheat market forced the con-
elusion that the attempt to corner the
May option had been abandoned and
the obvious conclusion that heavy
speculative losses had been sustained
pointed to further liquidation in stocks
asa recuperative measure.
The pressure centered upon the
stocks which have been favorites In
the speculation on account of the
merger stories, Union Pacific leading
the railroad list in point of activity
and weakness
1,
market was the signal for sales down
to $1.65, compared with the recently
prevailing nominal price of $1.S0 bid.
The prevailing discussion in the stock
market circles was of the danger of re-
opening hostilities and of competitive
projects in the railroad world, in strong
contrast to the recent abiding faith in
the mutual determination of all the
great powers of the railroad world to
come together and put into force pro-
jects for the common benefit.
Thursdays furry in the call money
market to per cent had served to
overthrow the conviction that the ease
of the money market was incapable of
being disturbed.
The bank statement published on
Saturday during the interval of the
trading showed that loans had con-
tinued to expand in spite of the liqui-
dation in stocks.
The offering today of $25, 100000 of
New York city bonds made heavy re-
quirements on the money market. Next
month the $100,000.000 Pennsylvania
bond subscription, an installment of all
but 10 per cent of the Japanese loan
and the withdrawal of an installment
of government gold deposits are to be
provided.
The inability of the money market
to meet all these requirements is de-
cdedly less probable than the period
of advance in prices of stocks.
The news of the Milwaukee bank de-
falcation caused inevitable unsettle-
ment again and gave force to the feel
ing of uneasiness to the effect Vof losses
in the wheat collapse. The reaction in
prices carried Union Pacific to the
lowest of the day and made a broad
inroad on the recovery which had been
established during the middle portion
of the day and made the close weak.
The remarkable rise i'm the Louisville
& Nashville group attracted attention
to the published reports of plans for
the formation of a great trunk line
from north to south by a combination
of existing properties These stocks re-
lapsed equally with the rest of the
market in the late reaction.
Great Northern preferred late in the
day sold at a decline of 20 points from
last week which may have helped the
late reaction.
Bonds were irregular. Total sales,
par, value $3,0S500O
United States bonds were unchanged
on all