The Montgomery advertiser., 1906-08-09
THE STOCK MARKET
STOCK MARKET nEvELoPED POSI- TIVE HEACTlONARY TENDENCY
Clear That An Extensive Distribution of Stocks Was Being Erected Under Cover of PennsyI-
 vAufnss New Strength.


 New York. Aug. s.--The stock mar ttonary tendency as to the outcome oi the growing irrAgularity for several days past, Mondays market was gen. trsd,y fra5iy strsng but before yesterdays nsrs clear that an extensive distribution of stocks which have shown the largest advances recently was being effected under cover Of the new strength in
 Tho perception Of this distribution had an nnseftlins effect on speculative sentiment today owing to the fact that that sentiment is swayed almost en- operati ms of capitalists of recognized leadership and authority. The specu- iative element has been buying conf dently in the belief that they were doing as these leaders were doing.
 The action of yesterdays market aroused the suspicion that buying of stocks involves the taking over of holdings which the accredited leaders was the prime consideration in the turn in the market, although some dis- cnssion was heard of the money out look, industrial conditions and like general consideration. These consid- erattons, however were of small con- sequence in comparison with the effect produced by the report that the Presi- dent of the Great Northern has re- turned to St. Paul instead of arriving prompt completion of the disposal of the cornpany's ore lands to the United States Steel Corporation.
 Another incident of like potency on speculative sentiment although of seeming unimportance, was the aT- nouncement that the Chairman of the St Paul board would go on vacation trip tomorrow The absence of this official was taken to mean that no irn- rnHAfufS hA nn "a plan for financing the Pacific coast ex- tension.
 The sensitiveness to happenings of this character Is an indication of how large part unauthorized surmises have played in much of the recent op- erations in stocks, especially in the group most affected by the realizing of today. There was very active discus money stringency s this fall Much re. . assuring opinion comes from infiuen- tiai banking sources as to the likeff- hood of escaping strfngcncy.
 The confidence is coupled almost in- variably with the condition that money resources shall not be strained by ex cessive speculation in the stock mar ket. The opinion is quite generally h.l:i held also that money rates, if not not harvesting period The sustained rates for time loans are confirmatory Of this impression. The interior needs for moving the harvest are already making themselves felt in this market by the withdrawal of credits on ac- count of the interior institutions
 The Interior exchanges also are nov ing. decidedly against New York the exchange at Chicago today falling to 40 cents discount Amy incident of the day which attracted much attention was the violent readjustment affected In the market prise of the New York Central general mortgage 3 lea per cent bends. There was a perpendicu- lar drop Of 5 i-2 points to 92 on com parativeiy light sales.
 The movement was attributed to the dissolution of syndicate and the dis tribution to it's members of some s. 000,0 of the unsold bonds. It was believed that the new price established allowed margin Of profit on the hold fnss of the bonds over the terms at which they have been acquired from the company. This bond never sold lower than s5 previous to today'e sud- den drop. The movement was inter- preted as conviction of the syndicate holders that lower price and an in crease in the Income rate on the bonds was merely in order to find a market for them. 1A their regular downward move of prices Pennsylvania was the only stock chewing effective resistance.
 It was lifted occasionally in the fn- tervals of the selling pressure else where to level above last night. This movement served to restrain but not to prevent the downward movement else where which reached to gradually low CT levels and closed easy near the low par value. $2.670000 United States bonds were all unchanged on call.
 NEW YORK CLOSING STOCK HIST.