The Montgomery advertiser., 1906-06-15
THE STOCK MARKET
SHARP BREAK DUE TO PREVIOUS CONDITIONS.
Former Success i'm Advancing Prices Served to Obscure the Narrow
 Linpita of the Mnrkct--Pr0- fessiOnaIs Continue to Buy.

New York, June 1.-The sharp break In today's market was the natural con- sequence of the market conditions Tor for Government crop report on Monday to sustain prices evidently proved a great dis9ppotntment to the speculative oper- l then has brought realizing sense of the difficulties of securing profits In the present market. Previous sue cess In advancing prices served to obscure the narrow limits of the market. So long as selling was withheld and the professional element were agreed in buying stocks, the rise in prices was not diffcult to account for. But the events of the week have awakened the conductors of the campaign to the diff ficulty of disposing of their stocks at the higher level to which prices have been pushed. Encouragement over this condition undoubtedly prompted good deal of selling in todays market. The formation of well organized bear par- ty was also to be perceived in the ac- ton of the market and in the attacks by undue manipulation of late. Ru- mcrs were very busy with the, supposed identity of the leaders of the new bear campaign and the formidable prestige attached to some of the names used Ey reason of the smashing success of his- torical campaigns in the past made these rumors an evil potent to the less confident holders of long stocks, oenas
 
 influential market organizations. which had accumulated special stocks into pool holding. That there was exten- sive unloading of such pool holdings today was the current belief. Reports in some cases had 1t that the selling of this class was due to the approaching expiration of the date of points. Ac- tual news bearing on values was scanty and the market was affected almost al- together by technical causes. In the grain markets. the coarse grains were the subject of some bullish speculation, which affected the small grains to some extent in sympathy. Neither the grain nor the cotton market offered any sur prising factors of stocks but neither was there anything in the crop news to account for the days weakness.
 Iron trade authorities reported some increasing demand for pig iron. but these reports are powerless to offset the influence of the steady supply of United States Steel stocks which is fed into the market on every opportunity. The violent reaction in the price of cop per in London may have been an aggra- ness in Ama'gamated Copper and the fall in this stock was of large senti- mental effect on the whole list. The same was true of Reading. owing to the recent speculation. Baltimore and Ohio was ths only effective point of resist ance in the whole market Its advance was associated with the policy dis
 
 Railroad authorities in raising dividends on subsidiary stocks But Baltimore and Ohio has had its recent dividend increase and failed to benefit duly from 1t, owing to the currfent increase in the issue of stock. The falling off in do- nestle exports for May, due to the large decline in the value of cotton sent abr pad, was not favorable factor, ow- in gto the reliance placed on foreign money securities for relief from strain the coming season. The Treasury De- partment's call for return of S1o,0o0, ,000 on deposit with national banks on July 10 was felt to complicate the money outlook. On July 10 falls due the re- qufrement for the second instafiment for increase in trust company reserve made obligatory by the new State law. It was estinoated that this will call for S12, 100000 in addition to the cash now held by the New York trust companics. The violence of the raid on Reading in the last hour caused the decline to over run itself and the scramble to cover amongst shorts induced spasrnodic rates The closing. however, was feverish and unsettled.
 Bonds were easy Local sales, par value, $2,320.00
 U. S. bonds were unchanged on call.
 NEW YORK STOCK LIST.