The sun. [volume] (New York [N.Y.]) 1833-1916, 1906-05-02
VNAxeIAL AvD eoswEMrIAE.


nttA HHi HH4NY AHiilfie W atnvHA NHi'H NV
oaiy wbpd wa si tis lagas Gain IN pFicra
inads Yesterday hut carried 10 mafte' ~
4 Asv tsw fpcpfd levrl In the pns>ent d..
etlNina movement to.day'sl rth IN valiea
VS. much ne mns, eiotent aesn IN ths
ruufss ~ ths pseuent ycHf fhs marsrt
ofSued ~ Q ranee y lttle higher than that
N Whlch ~ clus~,i yesterday. and IN me
nfat half houf foae further. so thBe ~ aves4
ser advance N nearly half y paint l~yowi
yesterdays aHln ~ tWo and \ uusftsr
prints Was nfadc IN quotations fof the lesti.
Ina sgocka Fof q further fnfiod the MARKET
Waa steady and eeened ~ have arrived AZ
q plane which Indicated n ceasati0n botk
NJ forced l%lgiidatioH ~ atocha and ~ tho
frtirrment NJ speriiefive contYaeta fer The
decline Ita pressure urDu tho market
hsgan to ~ oncr more applied. sipviy N
more ~ less n utio,slv ~ first. hut more
vigorously ~ the market showed evident
signs n yielding under ~ This In turn
brought renewed liquidation for the 90.
co'int NJ many speculative hotirru N stochs
for the advRnca VIM had placed stop aslls
Ing oriprp fairly clo~e ~ ruling prices upon
the stocks carried Tor them. and ne the fall
In the market began 10 approach thu low
prices touched last week also produced
frightened sales for tho~e who had nj,
been disturbed by the previous decline
hut Who had finally become alarmed over
the failure If the market to hold ~ rally.
The net result II all this was that In tho
last hour ~ business the market became
greatly demoraliznd. Quotations ~ stocks
usually traded In very closely began TO
fall half a point hot ween sales. and such
declines from the high prices Of the day
were common ~ ~ points In Brooklyn
Rapid Transit and AmalRamated, ~ points
in American smelling and Refining. 10 In
Anaconda, 10 in Northern Pacific. ti11 In
Great Northern preferred. AZ in 81. Paul.
5 in Union Pacific and New York Central.
and ~ in United States Steel common
The loseea "a finally made were not quite
40 great "a these. hut still were little below
them.
II the fall in the market to-day was pn-
MARTY due TO a abear raid'-aa seemed
to be clear TO the majority Of observers-
II was certa inly accelerated by two incl
dents. one Of them the advance in call money
rates in the afternoon to Q per cent. n the
the sensational character Of the drop
In st. Paul common stock. The rise In call
money was not explained by any known
developments. 1t did not become manifest
until the afternoon, when the money rate
hardened from AZ per cent. the
level at which il has beer recently main
to the high point that has been men,
toned. II was said that the advance was
due to the calling in Of funds by the banks
such as usually takes place around the first
Of every month; but this indrawing OF funds
was in reality, OF course, concluded yester-
day. and the May / disbursements might be
supposed to make money easier
than on Monday. II was also sug-
gested that some temporary scarcity Of
funds might have occurred through the
preparations made by the trust companies
in order to comply with the new law re-
curing these institutions to have on hand
May 1 in cash two-ffths Of s per rent.
OF their deposits. the remaining three
ffths Of the required reserve having to be
set aside at various intervals between now
and january /. 1907. As the trust COM
panies In the statement Of their condition
as last made reported cash holdings as In
excess Of the sum required to be In hand
II Ia evident that there was no par
ticular disturbance in the money market
traceable to their account, II may be that
Of the smaller trust companies found
necessary to-day to replenish their re-
serves. but the large companies have for a
long time beer In possession OF the neoes-
funds. The decline In st. Paul was
really the feature Of the market. For q
long time the floating supply OF the stock
in Wall Street has been very small, and it
has been we'll understood that the stock
had to an unusial degree passed INTO the
concentrated control Of certain very power
full financial interests. 1t IL also well remem-
bered that the stockholders OF the st. Paul
ompan recently authorized their directors
to issue as they saw At s25, 900, 900 Of new
stock for the purpose OF providing pre-
liminarily for the extensions OF the COM
pany's ines and for the improvement OF
property in various directions. 1t has been
supposed all along that this new stock would
be issued to the shareholders either In the
shape Of stock or convertible bonds on such
az to give to the stockholders valu-
able subscription rights" thereto. But the
great fall in the price OF the stock Of nearly
points since last january naturally sug-
eests the idea that it may be that the direc-
decided some time ago, in view Of the
state of the money market and other obvious
G considerations, that 1t would be for the best
of the company to dispose Of the
in the open market through sales on
the Stock Exchange. No other theory than
accounting for the heavy fall In the
price Of the stock Ia, indeed, plausible, except
one that for a number OF reasons Ia not
overlikely-that there has been heavy
liquidation OF the stock for the account Of
insiders.
1t was also rumored before the close Of
business this afternoon that the President
was about to transmit to Congress the
Of the Government officials who
recently investigated the affairs OF the
Standard Oil Company, and that this re-
and the attitude Of the national Ad-
ministration concerning 1t was to be re-
garded as an adverse market influence,
The small outbreaks OF violence in the
mining territory and in the
streets Of Paris to-day were without any
discoverable effect upon speculative senti-
ment, although 1t may be that some little
shadow was thrown upon the market by
the indications that the rebuilding Of San
Francisco was not to be carried forward
with the enthusiasm that was at one time
promised, and that this work might involve
greater burdens for the oountry's money