New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1905-04-28
SEX divide u.
BONDS.
STOCK MARKET OPERATIONS.

Pronounced weakness in yesterdays early
stock market was not due to factors governing
the actual worth Of securities, but to the de-
velopment of further liquidation in the Chicago
wheat pit. which caused uneasiness in Wall
Street speculative circles and encouraged press
ure from the professional element on the Stock
Exchange. Opening prices were also affected
adversely by declines IN the London market
European securities and American stocks dealt
in on the London Exchange were heavy under
the influence Of selling that was induced by
the prevailing nervousness abroad over the re-
lations between France and Germany regarding
Morocco and the uncertainty over the situation
in the Far East and as consequence the local
market naturally reflected the course Of prices
In the English capital. There was. however, lit
tie important selling, outside Of liquidation for
rool account and for interests that decided to
convert paper profits into cash. while on the de-
cline the class Of buying suggested the presence
I'm the market Of substantial interests that were
operating for something more than q mere
speculative turn. In the wheat market the May
and July options made new low records Tor the
season, the May variety showing a decline Of
over Soc, as compared with its high price OF a
few weeks ago. Liquidation in the wheat mar
ket did not according to the advices received
from Chicago, represent adverse developments
in the cereal situation. the selling apparently
being purely speculative in character. including
forced sales for the account Of bulls who were
no longer able to maintain their position. owing
to the natural conditions affecting the trade and
the hammering tactics Of the bears
The decline in the price Of wheat will slim
uIate the export demand, and therefore become
a bull rather than bear factor on the stock
market. AT the moment. however, this phase
of the situation is not being discussed by oper-
IL 1,a+ rp1Ia
In the wheat market has caused heavy losses
to traders who may be compelled to Hquidate
further lines of stocks overshadows all other
considerations regarding the cereal markets
Doubtless heavy selling already has taken place
IN securities for the account of the losers in the
wheat speculation. and the chances are that the
greater part Of this kind OF liquidation has been
completed. In the last hour of trading on the
Stock Exchange further weakness developed
throughout the list, maximum declines among
the active shares running from 10 e per cent
with the heaviest losses in Anaigamated Cop
per Locomotive, Atlantic Coast Line. Canadian
Pacific St. Paul, Consolidated Gas, Northern
Pacific Illinois Central. Louisville and Nash
Vile Missouri Pacific. New-York Central, South
ern Pacific. Tennessee Coal, Union Pacific and
the United States Steel on the curb Northern
Securities sold down Z points. Great Northern
preferred lost 10 points small volume Of
business. The announcement before the close
of business that George J. Gould had resigned
from the directorate Of the Union Pacific Com
pany served TO increase bear sentiment in the
final dealings traders taking the view that the
retirement Of the head of the Gould properties
from the Hartman road, in connection with
the successful underwriting of the Western Pa
hc bonds Ohe Western Pacific gives the GOulds
a Pacific Coast outlet and parallels the Central
n
followed by destructive competition between the
Gould and Hartman railroads for transconti-
mental business
The fact that there have been in the last few
weeks a number of adverse developments affect
ing the stock market should not create an i'm
preston that there has been an adverse change
in the position Of affairs affecting the actual
value OF investment securities. In the world Of
business there is no factor that warrants pessi-
mistic sentiment on the stock market The in
trinsc merit OF American stocks and bonds has
not been injured by the 10 to - point decline
that has taken place the Ste * Exchange
and therefore there is no reason for genuine
holders of securities to feel uneasy over the
position of the market. The elimination Of spec
ulative pools that have operated beyond the
limit OF safety has caused heavy losses to many
spectators. but it has. nevertheless, improved
the general health Of speculation and carried
prices to a level which viii attract a renewed
demand for the account Of substantial interests.
The Milwaukee bank lOoting. the Equitable
muddle the losses sustained in the attempt to
corner the wheat market and the uncertainty
abroad over Morocco and the Far Eastern sit
uation are not factors that viii upset the trade
and industry OF the United States and II fur
Their REIMBURSEMENT OF securities prices to a lower
level takes place it is not likely that conserva-
tive people viii become panicstricken