New-York tribune., 1906-07-13
STOCK MARKET OPERATIONS.


Stocks were weak in the greater part of the
day under the influence Of bear pressure and
liquidation OF long accounts. maximum losses IN
the active list amounting in many cases to up
ward OF 2 per cent, while In some issues notably
among the so-called specialties. even heavier
declines were recorded. New York Air Brake
for instance. breaking IL points. The downward
movement reflected the same character Of trad
ing that has for several weeks marked the
course Of Stock Exchange dealings namely
forced selling and aggressive operations by tho
speculative element which has been so actively
employed In a campaign for lower prices for a
number of months. The bear party is well or
ganized and some Of its mouthpieees are pleased
to state that its operations are direct reflection
of the unfavorable sentiment created in specu-
lative quarters by the Washington administra-
tions activity In the matter Of imposing upon
the corporations the necessity OF leading moro
orderly and upright life. Declining values some
eminent" Wall Street authorities say, are a
slap at the administration. but the chances are
the President and his advisers will survive Wall
Streets hard feeling and that the country's IN
dustria activities will suffer no material injuries
as result Of the losses which speculative pools
and individuals are suffering. Perhaps corpora
tions are selling stocks short in the hope Of MAX
ing profits large enough TO pay their fines and
expenses Of defence in the cases against them
by the government
There was little indication of support at any
time in the day, except in the last hour in the
case of Reading United States Steel common
and Brooklyn Rapid Transit. which were taken
by prominent houses. The relative steadiness
Of these issues served to induce some covering
in other parts OF the list but prices at the close
We're well below the final figures Of the preced-
ing day. with the heaviest losses in the active
list in the copper shares, st. Paul, Great North
ern and Northern Pacific. In the copper issues
selling was based in part on the reduction in the
price of the metal in the London and local mar
kets. the decline being DUE II was said, to specu-
lative manipulation rather than to any change
in the trade situation. Stocks on the curb also
were weak Some improvement in sentiment
was recorded in the last hour, when the opinion
became quite general that the Secretary of the
Treasury would leave deposit with national
banks the proceeds from the forthcoming Pan
anna Canal bond issue. and that there soon would
be a moderately heavy movement Of gold to this
country from Europe. Sterling exchange was
heavy. while there was no material change in
money rates. Bankers show no great desire to
put out money on long time commitments.
A period Of the year has arrived when
all Wall Street, as usual, is beginning to discuss
actively the prospects Of the money market in
the next few months. and, according TO custom,
many people in the financial district are indug-
ing in the delusIon that the West and South will
be strong enough to take care of their financial
needs incident 10 the gathering and marketing
of the crops without calling upon the New York
banks for assistance. While it IS true that In
terror bankers are stronger than ever before a
large part of their reserves is held in this city
and upon the development Of an urgent inquiry
for funds Withdrawals of their balances from
this centre will be made. Local banks undoubt-
edly will be compelled 20 send more than the
usual amount OF money to the West and South
this year owing to the probability OF heavy
crops and 70 the active demand for mercantile
accommodation. and as a consequence there is
little chance of easy rates for loans in the
greater part Of the remainder of the year, espe-
cially as the Clearing House reserves are now
at n disappointingly low level. Fortunately the
United States will be in position TO draw gold
from Europe, but the receipts of the metal mere
ly will TO Offset in part the interior demand
rather than furnish basis for decline in loan
quotations. The suggestion from Washington
that the Secretary OF the Treasury may en-
deavor 20 purchase silver bullion in the open
market on account OF the shortage Of silver
coin. IS interesting. owing 10 the repeal Of that
part OF the act Of July $780, providing for the
purchase by the government Of silver bullion 10
an aggregate amount OF 100000 ounces a
month and the issuance Of Treasury notes there
on