The Saint Paul globe. (St. Paul, Minn.) 1896-1905, 1905-03-24
BEARS HAMMER
THE MARKET DOWN
lighter Money and Uncertainty
Over Pending Deals Cause
Liquidation

NEW YORK, March 23.-The bear partv
Zen upon the stock market in the earlX
uea.liings today and raided prices in all di-
rections: The result was to shake ont
the weaker class of holdings so effectnaIIv
mat the health of the market seemed con.
sioeraoiy improved and there were sub
stantlaI recoveries. There was very
notable revival of some of the r,,p,ors
which have figured in the speculation for
the advance when the check to the decline
MAS MAS erected today; For the few days past
that the market has been on the down
grade the interest in these rumors has
grown so feeble that ii would be difficult
10 understand the previous force they
seemed to have. On the recovery TODAY
the story was heard of a coming merger
OF southern iron companies, also new aus
plces for the project were presented. The
tors seemed convinced by the events of
the last few days that considerable de-
cline In prices was before the market still
IhlS served to encourage the organiza-
ton of the bear party and the elaborate
scale OF operations on which they proceed
ed 1t was believed from various indica-
lions and intimationS that very extensive
Incubation had been accomplished already
on the part OF those who had accumulated
stocks on the largest scale on the score of
merger rumorS. profeSSed expectat ions OF
dividend increases and other influences
which had carried prices to the excessive
level before the reaction. With this liuui-
cation erected 1t was assumed that the
market would no longer have the benefit
or the powerful organized support which
had guarded 1t until this Important spec-
ulatiVe liquidation was concluded. The
pears We're therefore hopeful of inducing
forced selling by driving down prices The
events of the morning proved the justice
of their expectation.
The extent to which the reaction had
run at the low level of the morning In
duced caution on the part of the bears
and prompted large covering of short
lines.
The manner in which the rally was ex-
tended also suggested that a considerable
element amongst the professionals had
turned to the long side OF the market
again on the assumption that the market
was ripe for further rally. The days
fluctuations We're almost wholly due to
such considerations, as these and news of
actual conditions bearing on values played
little part in the market Belief that the
proposed stock transfer tax had received
q setback at Albany was accepted as good
news In stock market circles.
More Peace Rumors
The assembling of the British cabinet
was made the occasion for the revival of
explicit reports of a movement among
the powers to bring about peace in the
far east The break in the wheat market
was regarded as an evidence of good crop
prospects. The special movement in Col
orado Fuel was an effective factor in the
rally and was based on subscription rights
to new securities in a subsidiary industrial
company. An increase in the dividend rate
by one of the great foreign copper COM
panfes was a sustaining influence for
Amalgamated Copper Baltimore & Ohio
was notably firm throughout on its good
report of February net earnings.
The time money market became easier
and the bid rates for short time loans were
reduced again. Sterling exchange fell to a
considerably lower level and the Bank of
England return showed another improve
ment in English money conditions. The
interdomestic demand for funds however,
shows signs of growth, and while there is
no scarcity of money yet the attitude of
lenders towards speculative borrowers is
not encouraging and additional care in the
scrutiny OF collateral for loans is reported.
This outlook impressed the belief that
stocks are not yet ready for any strong
resumption of the upward movement. and
as a consequence prices moved In an I'M
settled way, suddenly running off during
the final hour in some cases, the lowest
OF the day and then rallying strongly and
closing firm at about the top level.
Bonds were irregular. Total sales. par
value, SO, 1856. 900. United States bonds
were all unchanged on CALL