The Birmingham age-herald., 1905-12-24

toward the end, especially in Metropolitan securities and Third Avenue, but the clos ing. although irregular, was in the main strong. Total sales of bonds par value, $2, ,2S5000.
 The vitality of the speculation has demonstrated itself again this week against obstacles that have been suf- ficient to prove disastrous in time of past great speculative movement. Banking in- solvencies at Chicago involving liabilities of some s26000, ,000, confronted the stock market on it's resumption of business last Monday The surprise of this news was complete as no prominitlon had been heard of the trouble. The very fact of the secret having been so well kept, although known to circle of councillors, conveyed an un- pleasant impression. The shock to sent- ment caused by the Chicago news there of was violent. It came also on some what over-extended speculative situation, which had already had some effect at the end of the preceding week.
 Nobody was much surprised therefore to see a miniature panic in some stocks during a half hour after the market open ed on Monday. The effect had been ex- hausted practically by that time and Mondays closing prices showed few sub
 stantial losses from those of Saturday.
 The small harm done to the stock mar
 ket by the Chicago failures are partly
 explained of course by the prompt and
 effective measures taken by the Chicago
 clearing house banks to insure deposltors
 of the affected institutions against loss.
 The trouble was recognized as being due
 to neglect of the banking laws, and the
 fact is dWeIt on that banking embarass-
 ments have been reduced to an insignlil-
 cant amount except where violations of
 law or of trust are involved, especially in the absorption of resources for the benefit of private enterprises of those in control of the bank. Time has been in Wall street when case of this Kind would be seized on as offering possible symptom of condition extending be- yond the particular case. But It was brushed aside this week as of compara- tive unmportance. The movement into which the subsequent market settled down had it's point of irregularity and occasion al hesitation, but it was not on the whole,
 Inconsistent with the extreme spirit which
 is found in the neighborhood of the stock exchange in prosperous speculative l periods The holidays call for some real iZation of profits as a matter or course and this has been In evidence throughout the week. Except for the disastrous half | hour on Monday morning, the profit talk ing has been conducted with apparent sue 1 cess.
 The Chicago incident made it evident
 
 the New York money market partly for the taking of measures of precaution and fortifvlng the situation there, and partly for the necessary tie mp of the resources involved in the clearing houses plan or settlement. There were heavy, in fact. very heavy shipments of currency to Chicago from this point. Up to the mld- de week also, 1t was an open question whether the resources of the foreign exchange market would meet the de- nand for remittances abroad to meet in terest and dividend payments to foreign holders on our securities. With the for eien markets unsettled in addition to the Russian situation, it was feared that gold might go out from New York. This pro- Ina bility was ignored like all others that seemed to argue against the speculation. The great center of the speculation has been Union Pacific The dimensions Of ,be movement in that stock, the volume , of the dealings and the persistence of the advance point to extraordinary develop ments regarding the property. Nothing hnt ,.umor and surnise were offered to ovn1ain the movement. The suggestion of an attempt to wrest control or share
 in Ii from It's present owners was much
 discussed but with some sSepticism. ow- sng to public knowledge of large pooled holdings and the resources of control Tor the issue of additional stock The pass Ing of control of the Tennessee Coal and Iron company to Republic lron and Steel
 in this marked only one step in the sup nosed southern merger whleh speculative
 ,,,n,or mongers have made to include a i large number of companies With the
 new control assumed and the contest for