The daily morning journal and courier., 1906-12-20
STOCK MARKET FEATURES
AFTER AN OMINOUS BRE4K
 COMES 4 RALLY,

Due to Reports of More Relief by
 Secretary Shaw-CalI Loans Went Up
 to 26 Per Cent.--BiH for Relief In-
 trOduced in Congress--Gossip of an
 Exciting Day.
 The stock market became little de-
 moralized in the early dealings and
 things looked little squally. but in
 the afternoon 8 turn for the better
 came, due to reports that Secretary
 Shaw would again come to the rescue.
 A Washington dispatch last evening
 says: "A bill designed to extend relief
 to the money market, along the lines
 of recommendations made by the sec-
 retary of the treasury was introduced
 to-day by Eenator Elkins. It author
 izes the deIosit in national banks of receipts from customs as well as from internal revenue, requiring the banks
 to pay tax on such deposits, and
 making all national banks equally eli-
 gible for designation as Repositories.
 The bill also expressly authorizes the
 secretary of the treasury to make
 transfers of public moneys from the
 treasury to the banks, which has
 heretofore been done by the secretary
 on his own responsibility without au- thority of law"
 The situation at one time yesterday
 was serious in it's aspects. Prices
 broke from to 10 points. There were no bids anywhere near the market for a number of shares that are generally regarded as high class collaterals. Holders were willing to take what they were offered. The pools were in bad straits and dumped out great mass of stocks on an uncompromising market. For while after midday the market was even more demoralized than it was Monday. The tension was due to the high rates for money, and the most unfavorable way in which the St, Paul stock issue has been re- ceived. Brokers had to pay a renewal rate of 25 per cent, which obviously meant that liquidation would result.
 In general, stocks which have led in the recent movement of inflated speculation failed to keep pace with the afternoon recovery-a fairly sur evidence of the amount of speculative holdings which were forced on the market through exhausted margins.
 Heavy stop-loss orders were uncov- cred in all of the active issues. With a loss of 46 points in Great Northern, l 33 in Northern Pacific and 28 in St. | Paul within a comparatively few days, l and of il in Reading since Saturday, with other sharp declines all through the list, it was obvious that the mark ! ct was getting down to point where urgent liquidation by relatively strong holders could not be long delayed. This was the situation at noon, when suI'- port and rumors of Secretary Shaw'3 ! plans turned the tide.
 A somewhat better feeling was de- | veloped on the news that the New York Central management would anti cipate on December 26 the interest | payments on the bonds of the Lake { Shore and Michigan Central Lake Erie and Western, and the Cleveland, ! Chicago and St, Louis rail ! road, amounting to $1 800 900. Besides . this, the interest falling due on vari- . ou,s issues of the New York CentraPs | Eastern lines, amounting to some $4.- O00,000 will be anticipated about the same time. These arrangements will { provide the market with some $5, ,S00,- { 900 at the moment when the burdens of the year-end settlements are being financed by the banks. It was also reported that the dividend on the New York Central stock, which is payable on January 15, will be paid several days before maturity. It was reported in Wall street that when the antici- patton arrangements are fully com pleted some $1O,OOO,OOO altogether wgill be paid out in Wall street as a partial offset to the heavy payments that are being made on New York Central stuck.
 Up to the time that Secretary Shaw gave treasury aid average renewal rates on brokers loans were IT per 3ent It was thought this might be 3ut down by easier conditions to the end of the year But from present prospects the second half of the month will produce higher average than the first
 The abruptness of yesterdays break In stocks was well illustrated by Reading and Northern Pacific, Read Ing dropped from 142 to Al on four sales. from Al to 40 a little later on the same number, from 139 to 13S on | four. and from 1SS to 137 1-2 an two, agsregating in the last case HOO half shares. When support came in the recovery was much slower. After l rally to 1SS 1-2, 1t fell back again to IS7 7-S, but rose later to 139 on saven transactions on $500 shares. Northern Pacific sold down from 19S to 195 3-4 on five transactions, aggregating 1000 shares. Later it fell from 195 1-2 to -S2 IA on eight sales, totalling $500 shares.
 Secretary Shaw was in the thick of he fight again yesterday. He came 'ver from Washington to get at the cal money situation. AS soon as it vas known that he had arrived call oans dropped per cent. and stocks vent up to per cent.
 Both brokers and traders yesterday lisliked having anything to do with 't. Paul. While they were treasured It first regarding the negotiability of he warrants to be issued by the com any for the rights, and by the very {