The daily morning journal and courier., 1906-06-19

The Closing Prices HeaVy--PenhsS
 Drop Below 13O Broke Prices Again
 Stop Loss Orders Uncovered--
 Heavy Rains Help Grain in Northwest
 --shOrts NervOus-steel Common
 Interborough- Met.-GOssip,
 The stock market opened weak, then rallied, and late in the afternoon grew weak again, the closing prices being about the lowest of the day.
 There was heavy speculative selling at the start and some liquidation.
 Reading is down fifteen points from its high of week ago.
 After the midday rally the bears con- centrated their efforts on Pennsy, pounding it from 129 3-S. This was the signal for further drop in prices all along the line. The market had given signs of being oversold in the forenoon, hence the midday rally.
 The heavy fall of rain in the grain states where it was needed helped the rally, but Atchison broke to S7 1-2, de- spite the good crop news. Little is now heard of a proposed increase of the di- Vidend on the common.
 A desperate effort was madeto force Interborough-M Metropolitan under 50. The pool had the first real test since it put in the peg" at the price. Nearly 12,OO0 shares were sold at 50 in the morning In the last hour about 25,0O0 more were offered and absorbed. There has been a standing bid of 50 for 50,- 900 shares. The preferred was very weak, selling ex-dividend under S0 and so were the bonds.
 Will the pool in Interborough-Me politan be able to take the entire cap ital stock?" was one of the questions asked bytraders, who began to fear that the clicque might have undertaken too large a contract. It is seldom that a pool sets definite price at which to take all the stock that may be offered.
 Many stop loss orders were uncovered in the first half hour of trading. This put stocks down to the lowest level of the month. The declines in Reading under 129, in Shelters under 15O in Atchison under S8, Locomotive under 70, Steel common under 3S, Union Pacific under 147 and Brooklyn Rapid Transit under 30 were due to the execution of these orders in considerable quantities.
 It was estimated that 10000 shares Of short stock were thrown on the market after the opening in order to put prices aa low as possible.
 The securing of a large loan abroad by Pennsy will prevent the threatened drain on our local money market by just that amount. It is the money mar ket which is likely to be the subject of chief interest few months hence.
 There has certainly been a big supply of U. s. Steel common stock on tap from some speculative quarter recent ly. Interests close to the management still insist that a dividend on the com- mon is probable this fall
 It was apparent that banking inter ests were yesterday considerable buy CTS on the early break. This signifled support, and what looked like an ex- tended rally. The appearance of buying orders on large scale after a sharp decline means that most of the weak accounts have been eliminated and that fnanciers are willing to see a turn for the better
 The six months statements of the Vanderbilt system show almost uniform expansion on large scale in operat ting expenses. The Lake Shore lost $164,O0O net although it gained $2,500,0OO gross. New York Centrals net gain was $1,- 247,OOO after a gross gain of $3,50O, ,00O. Michigan Central increased $1,76S, 900 gross and only $152S0O net. The oper- ating ratio runs all the way from 72 per cent in New York Central to S2 in Lake Shore, and S5 per cent. in Mich igan Central.
 In connection with the four point ral- ly in Reading it was reported that a well-known operator had been caught short, and was being twisted.
 It is understood that syndicates have been recently placing bonds privately with corporations at very large conces- sions. One instance mentioned yester- day was of a block of bonds that were sold points under ruling prices. It is only in this way that bonds can be marketed There is no sign yet of dis counting. the $15O LOGO of July interest and dividend money.
 Lehigh Valley stock yesterday was
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