Omaha daily bee., 1906-09-05
NEW YORK. STOCKS AND BONDS
Early Market il Active and Feverish, with
Values Higher.
CALL LOAN ADVANCES TO 30 PER CENT
Trading Becomes Furious and Prices
of All Issues Drop sharply,
Turning Gains Into Net
Losses.

NEW YORK Sept. 4-The excited specu-
lation in stocks was continued today, al
though on a somewhat diminished scale of
activity from that of last week. The tone
OF The market became feverish in the course
of the day. This was principally due to the
contending effects of the speculative furore
on the one hand and the Tightening money
market on the other Prices dropped all
around when call money reached 30 per
cent. Incidental to the furious trading in
and out Of the market by professional
operators and by habltual Spectators of
the millionaire class, churning process
was kept on gigantic scale. consisting
OF manipulative orders placed In the market
for both accounts and from various sources
solely for effect on prices. There was much
confusion and no little conflict in the argu-
ments heard in connection with the eager
speculation and these arguments afforded
some striking contrasts with the views of
the same subject protested in Wall street In
times past. This is highly characteristic Of
a period of speculative excess when all
events are turned to one way and interpre-
tation for the furtherance Of speculative
prospects. An instance was the reception
given to The official announcement that the
Pennsylvania railroad had Invested itself
Of ownership OF large proportion Of ITS
folk & Western. At the time of the pur-
chase OF these holdings II was made a
ground for strong buying Of the stocks be-
cause the large supply removed from the
| market by the Pennsylvania's purchase
promised security from any pressure on the
market of free offerings. SO far from show
| ing any fears of the effect on prices of
an additional floating market supply, Baltl-
more & Ohio was made the favorite OF the
| notably backward In responding to favor
| able news developments up to this time.
even including an advance in the dividend
was heard today that this indicated that
! the Pennsylvania holdings OF the stock
| had been coming on the market for some
time past, leaving the way unopposed for a
| present advance. The accompanying rise In
Reading showed that the suggested policy
OF dividend investment Of ownership in
| subsidiary companies was without disturb
| ing effect on that stock. control of which
is, EFFECTIVELY parcelled out amongst the
The stand taken by the Pennsylvania
| company in admitting benefits for railroad
Is In direct contrast with the depressing eff
| fects on stocks Of the progressive steps in
securing the enactment Of the law. The
| benefit to accrue to railroads, according to
| the Pennsylvania officials view, Is to be by
| maintaining staple rates and doing away
to the railroads and too destructive COM
| petition for business. In processing to see,
In these conditions, the ending of the neces-
Of competing companies. the PENNSYLVANIA
| statement seems to offer destructive
argument against H; the supposed deals for
fa ctor In the present great speculation. Tho
alleged purpose of the Southern Pacific to
latter stock in the forefront Of the specula-
ton during the day.
The speculation showed every symptom of
arrested by the practical exhaustion of
availab BILE funds in the call loan market.
Withdrawals to meet the necessities Of other
| departments OF the money market forced
the call loan rate up to 30 per cent in the
afternoon and induced large speculative
liquidation of forced character. Union
Pacific and American Smelling suffered
most in this selling. but the whole market
was forced downward sharply, converting
net losses on the day Gold was secured
during the day for import to New York to
the extent of 81, 700 600, partly In London and
| partly In Paris. But this was scarcely more
than sufficient to offset the days losses 10
the government and by Geographic transfer
to San Francisco, while shipments of cur
| rency to the interior by express were on a
| heavy scale, with certainty of their con-
| tinuance for some time to come. The stock
market closed feyerish. and unsettled in
| consequence. - 1T --s
Bonds were Irregular. Total shares par
value. 1880, 600. United States bonds were
unchanged on call.
Following was the range of prices on the
| NAw York Stock exchange.