The Salt Lake herald. [volume] (Salt Lake City [Utah]) 1870-1909, 1907-12-04
STOCK MARKET
HAS RELAPSE
Prices Put Through a Remark
able Series of Fluctuations,
Says the Report.
MANIPULATION IS CERTAIN
PREMIUM ON CURRENCY AGAIN
IN EVIDENCE.

New York, Dec. 3.-Prices were put
through a remarkable series of fuctu-
ations today at the stock exchange
without any perceptible explanation
for the changes in the current of the
news or events. The movement. in
fact. was rather obviously manipula-
tive and professional The trading fell
into extreme dullness after a time of
this experience, which was somewhat
bewildering in its effects on the minds
of the room traders, who were left in
a condition of WEAKNESS accurately re-
fiected in the languid movement of the
market in its intervals of repose. The
feVerish whipping up of the market
and the excessive irregularity of the
fluctuations were regarded as devices
to conceal the trend of the speculative
operations going on and to facilitate
the accomplishment of the ends sought
by giving the market an appearance of
great breadth and animation.
The aggressive bidding up of one or
two stocks was believed to be directed
against important outstanding short
Interests in those stocks, of whose pO-
sition their opponents seemed to have
accurate knowledge. Reading and
American Smelling were conspicuous
in this class, and the course of these
two stocks dominated the whole mar
ket for a time. The later quietness
suggested the meeting of large selling
orders to realize with large buying or
ders to cover shorts during the period
of activity, resulting in a material re
ductiOn Of the speculative position on
both sides
The publication of the presidents
message was made the signal for the
closing up of speculative commitments.
as the various forecasts of the message
had been made the basis for such deal
irgs in the last few days. The actual
perusal of the message disclosed little
material 10 prompt the adoption of a
new market position. There was a gen.
eral agreement amongst financial au-
thoritieS that the improvement in the
banking position had not proceeded far
enough yet to warrant any important
extension of credits for use in stock
market operations.
The recovery in the premium on the
currency, which approached per cent
today, emphasized this view. Various
requirements were reported to explain
the higher currency premium. The
meeting of payrolls, the needs of i'm
porters in making cash payments of
customs. and especially the persistence
of the demand of some of the western
and southern banks for cash, all were
i'm evidence. The immediate future of
the United States treasury finances is
also coming in for some serious dis
cussiOn. 1t is generally understood
that the treasury has met the extraor-
binary dram of its available cash hold
ings i'm the building up of deposits with
the national banks by every bookkeep-
ing eXpedient, in the transfer of the dis
bursting officers and other accounts as
well as by deferring outlay on appica-
tionS wherever possible. But the post
ponement of such expenditures does not
evade them. and their payment viii
pecessitate the replenishment of the
treasury's cash balance.
To draw on the deposits with the
banks just at this time. OF. in fact. be-
fore the turn of the year. would in
volve conditions that would be viewed
with some anxiety.
The tone of public addresses pub
lished this morning by financial leaders
of recognized information and accept
ed authority. especially on the possible
extent of over extension of enterprise
Vet to be rectifed. had a chilling eff
feet on some Of the purely speculative
enthusiasm which had been stirred up
in the stock exchange neighborhood I'm
the last few days. London continued