Evening star. [volume] (Washington, D.C.) 1854-1972, 1906-05-18
"PENNSY" STOCK WEAKNESS
BANK BALANCE
Special Dispatch to The Star

Special Dispatch to The Star
NEW YORK, May 1S.-The whole stock
market was quite seriously disturbed dur
Ing the first hour of business this morn
Ing mainly because of the renewed weak
ness of Pennsylvania railroad stock. That
security suffered further decline of more
than one point during the period in CUES
ton. and, was to be expected. the course
OF such an influential security was dlseon-
certing in it's effect upon confidence In the
general market. There. was nothing tnat
was new TO be cited in connection with the
apparent liquidation in Pennsylvania. HUI
mors were again current that in addition
to the loan negotiated this week the com
pany had in contemplation additional Dor
rowiugs, which, it was said, would be At
tempted to be arranged In Europe. In
banking circles closely identified with the
Pennsylvania management no statements
as to the facts in the case could be OBJ
tanned.
The further revelations in the interstate
commerce commissions investigation of the
affairs Of the road were almost mentioned
In connection with the course of the stock
and in connection Herewith reference was
also made 10 the report upon the unsaus-
factory physical condition of the rapid tran
sit commissions tunnel from the Battery
to Brooklyn.
At all events. the influence upon the gen
erai market of the course of the PennSyl-
vania disclosed before midday, when
there took place a sharp recovery in the
stock. which was accompanied by an ir-
regular although fairly general rally in the
remainder of the market.
Currency Movements.
The advance in prices In the early after
noon was also stimulated TO some extent
by the publication of the usual preliminary
estimates OF the general movements In cur
rency during the week. Up to this morn
ing the banks had incurred a loss In their
operations with the sub-treasury of more
than 100000. and to the unrefectfng
these figures excited some uneasiness
This unfavorable balance represented, of
course, the return by the banks of govern
ment deposits received in connection with
the gold importations. which. in turn, coun-
terbalance the return of the government
funds. At any rate, the preliminary esti
mates OF the currency movement indicated
only a nominal net loss to the banks, the
sum, in fact being only a little over $780,
900. Apart from the movements in Penn
sylvania stock, 1t was well-nigh impossible
to deduce from the days situation any di
rect explanation OF the course of the gen.
eral market. London exercised as little in
fiuence in the dealings as has been the case
throughout the week. the operations here
for foreign account having nothing more
than trifiing net results
Trading Largely Professional.
Trading was in largely reduced volume
and remained of highly professional char
acter. There was again some discussion
with regard to crop conditions as affected
by the drought In the central west and the
grain market moved nervously on conflict
Ing reports regarding weather conditions
A moderate precipitation of moisture was
reported in Kansas. A few stocks furnished
an unduly large proportion of the days
total transactions. These were Reading
Pennsylvania, Union Pacific Amalgamated
Copper and the United States Steel shares.