The Birmingham age-herald., 1906-12-30
LIQUIDATION IN
 EVIDENCE AGAIN
RumorS of Financial Trouble
 Disturbing Influence
PRESSURE ON FAVORITES
Severe Declines Already Made In Hill Stocks, and St. Paul Carry ln- ference That Give Force
 to Approximations.

New York, December 29.--There was a resumption of liquidation in the stock market today which had disquieting ef- feet on speculative sentiment, the more so as superficial conditions offered no ex- planation. Its source also was somewhat mysterious. The disturbing influence of the heavy declines of a number of impor- tant stocks was seen in the reappearance of rumors about the stock exchange of financial difficulties. The pressure cen tered on the Hin stocks St. Paul and Rading. but showed a growing tendency to spread to other portions or the list The severe declines already made in those stocks carry as a necessary consequence heavy speculative losses in some quar- ters, and il was this unavoidable infer euce that gave force to the current ap- prehensons.
 The disappointing effect on the prices of the stocks of the new issues of Great Northern preferred. Northern Pacific and St Paul is of far-reachng consequence to the speculative situation Prices of the subscription rights also continue to de- cline. The action of Reading was also evil denee of difficult market position on the part of large holdings of the stock on margin. No loans are made at the stock exchange on Saturday, so the money situ- ation is of no sympathetic influence It is generally agreed conditions in the money market show distinct improvement. The bank statement showed all of the expeet- ed gain in cash and moreover the loan expansion in face of the weeks stock market liquidation would be puzzling in ordinary circumstances, but the compli- cations of the preparations for the year. end settlements are easily allowable for explanation.
 The time money market shows a les sened pressure for accommodation. Large arrivals of South African gold in Eng land promised assistance for that mar ket In the year-end strain, and discounts in London were easier again With the exception of some buying to cover shorts in the late dealings, the liquidation was continued Up to the closing of the mar ket.
 Total sales of bonds, par value S1, ,326. .0O0
 In contrast to the usual dullness and lethargy Of stock market interrupted by days discontinuance of trading, the past week has been feverish and irreg- ular in the market. Violent decliens at some important points in the list were followed by rapid rebounds and halting fluctuations. The year is thus brought to- wards its close In a confused state of speculative sentiment
 The semi-demoralized condition in which the market closed last Saturday had the natural consequence of bringing in selling orders on Monday as a result of the un . favorable outlook sketched by the week ly reviews, and the calls for strengthen ing of impaired margins. The failure of a stock exchange house at the end of the week left some misgivings of ulterior con- sequences. An unsettling influence was the proceeding brought by the Minnesot astate authorities to enjoin the proposed new is- sue of Great Northern preferred stock
 The analogous conditions surrounding the issues of Northern Pacific and St. Paul made these stocks subject to close sympathy with the Great Northern move ment. The joint effect of these factors was heavy unloading of those stocks and break in prices, which held a sin ister look before it was finally checked. The unsettlement continued on Wednes- day after the Christmas holiday while the London stock exchange remained closed. That center offered the first effee. tive resistance to the fall in prices, and sent over a materially higher range of prices for American when trading was resumed on Thursday
 4. peculiar feature of the depression was that it was unaccompanied by any acute stringency in the money market so far