The Salt Lake herald. [volume] (Salt Lake City [Utah]) 1870-1909, 1906-08-10
LARGE HOLDERS
ARE LETTING GO
Distribution of Stocks From the
Hands of Influential Capital
lists to Lesser Lights.
SOME RUM0RS SET Ar REST
SOME SUSPICIOUS APPARENTLY
CONFIRMED.

New York, Aug. 9.-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 develop
ments to account for the change in the
markets tone, and it was largely due to
the fact of the decline in prices yeSter
day and the inference from that fact that
a distribution of stocks was going on from
the hands of influential capitalists.
The belief that they were following such
leadership 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 great capitalists of the country
were accommodating stocks originated
about the time of the last meeting of
the directors of the Union Pacific. Spe-
cial efforts had been made to secure a
quorum for that meeting, and while it
was announced that no action had been
taken on the question of the next divi-
dend, there was a widely disseminated
rumOr that a decision had in fact been ar
rived at which would be formally an
nounced at some future movement of the
executive committee. Apparently specu-
lative opinion had pitched upon tOday's
meeting Of the Union Pacific executive
committee as one to announce the long
expected developments on which that
stock had risen within several weeks
with sympathetic effect on the whole
trans-cOntinental group, The adjourn
ment of the committee today with the
announcement that only routine matters
bad been considered seemed to shake the
belief in the intended increase in the div
idend and the inauguration of dividends
on Southern Pacific.
The effect was similar to that of yes
terday's announcement of the departure
of the chairman of the St Paul direc-
tors without the action of the expected
plan for the financing of the Pacific coast
extension. With confidence shaken in the
truth of rumOrs which had played so i'm
portant a part in the speculative advance
in prices, the suspicious attitude toward
the movement which has been held in
many quarters from the outset was
strengthened. The expressed grounds for
this suspicion have been the supposed de-
sire of very large and well-infOrmed
holders of stocks to secure a favorable
basis for distribution of their holdings.
The money market also gave evidence of
the tightening effect of the beginning of
the demand for the purposes of the har-
vest. The calling of loans placed here by
western banks and the increasing demand
for actual cash from the interior showed
plainly that the seasonable demand for
funds now due, was setting in.
The payment of subscriptions for the
Panama canal bonds is also making the
banks losers on the sub-treasury opera
tons, the intended redepOsit with the
banks of government funds being appa-
rently delayed in their influence upon the
banking reserves. The rate for call loans
went as high as per cent today and the
rates for time loans also were apprecia-
bly, firmer. There was a sharp reaction,
however in the foreign exchange market.
The discount rate In the Paris open mar
ket fell away and sterling exchange there
advanced Prospects for a resumption of
gold imports were brought thus into re-
newed considerations as those move
ments served to take Paris out of any
competition with New York for gold In
London The money position at the point
meantime has been materially strength
ened since the joint competition of Paris
and the Bank of England put stop to
the last engagements of gold in London
for New York account. The late devel-
opment of strength in Southern Pacific
offset to some extent the effect of the
weakness in Union Pacific and rally in
prices repaired a part of the extreme
losses. The closing was quite firm.
Bonds were steady. Total sales, par
value, 81, 155,O0O. United States bonds were
all unchanged on call.