Evening star. [volume] (Washington, D.C.) 1854-1972, 1906-09-27
Firm Opening Was Followed by
a Severe Reaction.
STORM DAMAGE REPORTS
Eeryous and Unsettled Conditions to
the Close.
HEAVY AND CONTINUED SELLING
Money on Call More Active and Rates
Somewhat Higher-British
Bank Statement.
STORM DAMAGE REPORTS
rEAvY AND CONTINUED SELLING

ppecial Dispatch to The Star.
NEW YORK September 21.-Soon after
the opening of business in the stock market
this morning highly exaggerated reports
swept through Wall street with regard 10
the extent of the damage wrought IN the
city of New Orleans by reason OF the Nlo-
lent storm in progress in the gull states
In consequence the stock market, winch
had opened generally firm, underwent a
sudden and severe reaction, and during the
greater part of the business session 1t
failed to recover its balance. showing
very nervous and even unsettled tendency
1t Is of course, open to doubt whether
fhe course of the market after the early
dealings could actually be attributed to
the runners respecting the state OF a1ars
at New Orleans. but they being superlm-
posed upon the disquietude to the po-
litcal and monetary outlook unquestlona-
bly, PLAYED a large part in affecting specu-
lative sentiment.
The days dealings showed quite heavy
and fairly continuous liquidation, much or
which was probably represented by the
closing out of commitments on the fonS
side by large professional operators, with
the view of saving the high interest rates
likely to prevail between tomorrow ana
Monday. The selling of this description
was again accompanied by scattered COM
mission house liquidation and by further
operations. palpably for the short account
The purchasers of securities under the
rather unfavorable circumstances in which
the trading was conducted were. as is usual
IN such cases, not conspicuous III point OF
public identified ton.
The compa lively firm tone which the
market showed at the outset seemed to be
due mainly to the greater composure felt as
to the outcome of the elections. DaSed upon
the result of yesterdays political conven-
tons The prevailing odds offered In the
wagers upon the elections attest to the
view entertained by shrewd class of OBJ
servers but il is still not unlikely that
confidence in this direction may suner
many rude jolts during the next SIX weeks
The Transient Firmness.
Another influence in the transient firm
ness OF the market at the opening of bust
ness was the general strength exhibited
upon the London stock exchange, which
had as negative cause the failure of the
Bank of England to make any further ad
vance In its rate Of discount
The banks weekly statement showed a
sharp drop in the proportion of reserves
20 liabilities. but notwithstanding further
large Withdrawals of bullion from the bank
for shipment to various points the gov
ernors OF that institution seem to be tenn
porarily confident as TO their position
Money on call was more active, and the
rates for that form of borrowing aver
aged somewhat higher than in the early
part OF the week. but little change was
noted IN the market for time loans. If
anything. offerings seem to be becoming
more liberal.
Sterling exchange conditions were little
altered also, and according to London adj
vices it is expected that the whole of
the $500 900 due to arrive In London on
Monday will be secured for shipment to
New York.