The Birmingham age-herald. [volume] (Birmingham, Ala.) 1902-1950, 1906-12-14
FINANCIAL DUEL IS
ON IN WALL STREET
ST, Paul ReSists Weakness of
the Hill Roads
RESEMBLES 1901 CORNER
Thought That Two Parties to Former
Struggle for Ownership of North
ern Pacific Combining In
Buying St. Paul.
RESEMBLES 1901 CORNER

New York December 1S.--The action OF
the stock market today was the occasion
of much perplexity and finally of anxiety.
The contrary effect on different stocks of
seemingly like influence was difficult OF
Interpretation and ended in arousing
fear that a financial duel of some kind
was being worked out in the stock mar
ket.
Interest conferred on the Hill railroad
stocks and on st. Paul, the former on
account Of the severe weakness which
1hey showed and the latter on account of
Its practically single resistance to the
weakness which the Hill stocks induced
by sympathy in the whole market. 1t
his been assumed for some time past that
the large buying of St. Paul was in anti
clpation Of valuable rights to subscribe to
new stock. already authorized, but not
yet issued. In the case of Great Northern
preferred the subscription rights have al
ready been conferred on stockholders,
while in the case of Northern Pacific it
was confidently expected that plans for
new capital issues would be announced
at any moment during the day. Yet the
new low levels. while st. Paul rose buoy
antly on very heavy absorption.
The market took on an appearance. too
much resembling that preceding the
Northern Pacific corner in May, 1901, to
allow the nerves of stock operators to
escape altogether an unsettlement. 1t was
inferred that the new capital issues of
the Hill stocks had brought out renewed
differences between the powerful capital
lists which were In conflict In the original
struggle for control of Northern Pacific.
1t has been held as an article of faith
In the stock market ever since the North
ern Pacific struggle was precipitated with
the ultimate purpose of control of Bur-
lington, that precautionary ownership of
st. Paul shares had been extended by the
two parties to the former struggle 1t
was feared that the two were combining
in this buying today to fortify their re-
spective positions, and that the Union
Pacific interests were divesting them
selves of their holdings in Great North
ern preferred and Northern Pacific in the
same connection
The general topic of the huge capital
requirements now defining themselves
came in for a good deal of discussion in
connection with the large stock issues
which are being projected 1t is expected
that these will be largely added to at the
turn of the year. The example of the
Great Northern stock on the heels of the
new stock rights was the ground for APP
prehenson of like response in other
stocks when the expected announcement
of stock Increases are made
The money market became stringent
again today. but this factor has been so
often ignored in the present speculation
that 1t was not given credit for much
force in the days weakness. The large
esselling of loans by an important private
q banking house Yesterday was the occa-
eSson of some mystery. and rather added
nfo the fears that large financial opera
tions might be in progress of a retalia tory
character The resources made available
to the New York market by the treasury
relief plan were handed over to the banks
today, and there were some additions on
transfer of the treasury deposits from
interior banks.
But the total of those additions to
banks cash, made up only small pro-
portion of the weeks losses on regular
sub-treasury operations. Banks continued
to readjust their loan account therefore
70 repair the deficit in the legal reserves.
Exchange made a further decline towards
the gold import point, but an outgo OF
Over $4,000 900 gold from London to South