The Salt Lake herald. [volume] (Salt Lake City [Utah]) 1870-1909, 1906-07-13
GOING
DOWN STEADILY
Bears in Fun Control of the
Situation on the Stock
Exchange.
SELLING MOVEMENT IS ON
APPARENTLY LONG HOLDERS
ARE UNLOADING.
SELLING MOVEMENT IS ON
LONG HOLDERS
ARE UNLOADING.

New York, July 12.-Speculators who OPP
posed decline in prices rather ruefully
pronounced today's stock market de
fenseless'' So far as it implied an en-
tire absence of buying power the term
was accurate. The only buying in evid-
dence was an occasional covering move
ment by the successful bear traders who
were satisfied to take inviting profits on
the decline in that way. What passed for
news about the stock exchange, in eXpla-
nation of the movement clearly was sim
pie conjecture for the most part by the
traders who were following the move
ment without knowing where the large
supply of stock came from that poured
into the market. The volume of the
dealings had risen by noon to nearly the
figure for the days total of the day be-
fore. The quick effect of the revised ac-
tivity in forcing down prices is evidence
of the prevailing disposition to sell on
the part of those who make their APP
pearance in the market at all. Traders
laid stress on the continued absence IN
the far west Of the president of the
Great Northern as discrediting the ru-
mors of yesterday that the terms of the
Great Northern ore lands deal was to
be promptly announced. AS a matter OF
fact the weight of professional opinion
is that this and other reports Which nave
been the only available means of caus-
ing prices to advance, are much more
effective while left in the realm of sur
mise than they would be as officially con-
firmed- 1t is feared that the tormal an
nouncement would lead to selling to real
ize as in the case Of other favorable de-
VelOpmentS recently.
Another favorite superstition of the
traders was that lately returning tourists
from Europe having close relations with
great capitalists have brought back
definitely formulated policy of liqulda-
ton and the countenancing OF decline
in prices. The dislocation between income
return on securities at the present level
of values and on money loans is one al
lotted motive for this policy. But the
desire of affording an object lesson OF
the timidity of capital and the damage
to flow from the governmental and popu-
lar attitude towards corporations finds an
even more prominent place in the assigned
causes for this alleged policy. A violent
decline in the London price OF copper anu
a response in New York and the railing
in the production of iron reported by a
leading authority were causes OF weak
ness that seemed more substantial
As a matter of fact the movement OF the
market was traceable largely to technical
conditions The decreasing demand for
stocks on the recent rally served as
warning that no substantial buying was
coming at the prevailing level of prices.
Yesterdays late reaction brought prices
near to the low level of the movement
touched last week. Today those prices
were broken through in large number
of stocks. although some of the principal
market leaders are exceptions. The eff
feet was to encroach on margins and
uncover stop loss orders which escaped at
the previous decline There is no pres
ent pressure on borrowers of stocks but
it is suspected that loans on time to
some of the stock market pools are run
ming to their maturity and difficulty is
found in satisfactory renewals. The money
market was tranquil and the presence of
the secretary of the treasury in the city
was the occasion for an impression that
the proceeds of bankers subscribers to
the forthcoming Panama canal bonds will
be left on deposit with the banks and
thus guard against an upset money mar
ket as a consequence of the Subscrip-
lions in connection with the current with
drawal of 600 of government de-
posits limitations of a purchase by the
government of silver bullion for mintage
were also calculated to suggest a means
of release of government funds to the
market. These suggestions of clearing
conditions in the money situation were
given some credit for the light recovery
from the declines, although the taking of
the DAVIS profits on the short side played
an important part. The closing was rath-
er feverish, but with most of the rally
held.
Bonds were weak, total sales, par value,
81. 0O3, eco.
United States IS advanced Is per cent
on CALL