Omaha daily bee., 1906-08-10
NETWORK STOCKS AND BONDS
Large Buying Of Pennsylvania Only Ele-
ment Of Strength in Early Market
WESTERN BANKS BEGIN CALLING LOANS
Expected Announcement of Union
Pacific Dividend Fails 20 Come and
western Railway List Weak
ens-RaIIy Near Close.

NEW YORK, Aug s.-The large buying
Of Pennsylvania today was again about
the only feature Of strength in the stock
market Its influence in restraining the
falling tendency Of prices elsewhere was
less effective than yesterday.
There was not much In the way OF news
Developments to account for the change
in the markets tone and II was largely due
to the fact OF the decline I'm prices yester-
day and the inference from the fact that
a distribution OF stocks was going on from
tho hands of influential capitalists. me
belief that they were following such leader
ship sums up practically the whole motives
OF the recent operations in the market on
the part of the speculative element. The
conviction in that quarter that the sreat
capitalists Of the country were accumulat-
ing stocks originated about the time OF the
last meeting OF the directors OF the Union
Pacific. Special efforts had been made to
secure a quorum for that meeting While
Il was announced that no action had been
taken on the question Of the next dividend
that a decision had in fact been arrived
at which would be formally announced at
some future meeting OF the executive com,
mittee. Apparently speculative opinion had
fixed upon todays meeting Of the Union
Pacific legislative committee as the one to
announce the long expected dividends on
which that stock had risen for several
weeks with sympathetic eject on the whole
transcontinental group. The Adjournment
OF the committee today with the announce
ment that only routine matters had been
considered seemed to shake the belief in the
intended increase In the dividend and the
ci1c. The effect was similar to that of
yesterdays announcement Of the departure
of the chairman of the st. Paul directors
without action on the expected plan for
financing the Pacific coast extension. With
confidence shaken In the truth Of rumors
which had played 50 important a part in
the speculative advance in prices the sus-
picious attitude towards the movement
which has been held in many quarters from
the outset was strengthened. The expressed
grounds for this suspicion have been the
supposed desire of very large and wen In
formed holders Of stocks to secure favor
able basis for strlbution of their holdings.
The money market today gave decisive
| evidence of the tightening effect OF the
! beginning of the demand from the west for
| purposes of the harvest The calling OF
| loans placed here by western banks and
the increasing demand for actual cash from
| the interior showed plainly that the season
| able demand for funds, now due was set
| ting in. The payment of subscriptions FOL
the Panama canal bonds is also making
! the banks losers on the subtreasury opera
/ lions, the intended redeposit with the banks
| Of government funds being apparently de
! layed in their influence on the banking
! reserves The rate for call loans went as
| high as per cent during the day and thu
! rates for time loans also were appreciably
| frmer. There was a sharp reaction, how
ever, in the foreign exchange market. Thu
| discount rate in the Paris open marke
| fell away and sterling exchange at tina
| point advanced. Prospects for resump
| ton Of gold imports were brought thus into
renewed consideration. as those movement
served to take Paris out Of any competition
| money position at that point meantime hai
| been materially strengthened since the join
| competition OF Paris and the Bank of Eng
| land put a stop to the last engagements o.
| gold In London for New York account.
| The late development of strength II
| Southern Pacific offset to some extent the
effect of the weakness in Union Pacific
and a rally in prices repaired a part Of thu
extreme losses. The closing was quite firm
| Bonds were steady. Total sales, par value
| S2,155000. United States bonds were all I'M
| changed on call.
The following are the quotations on tn,
Stock exchange: ..-