The Washington herald., 1907-12-03
REACTION IN STOCKS
Rapid Rise Follows, and All
Close at an Advance.
COPPER DIVIDEND IS REDUCED
Calumet and HecIa Now Paying at
Rate of $40 a Quarter, and CaIu-
met and Arizona Drops from $5 TO
$50 Bonds Display Strength.
RaiIrOnd Net Earning Reduced.

New York, Dec 2-During the first
three hours of the stock exchange ses-
sion to-day a general, although not ex-
eessiye. reactionsry tendency in prices
made itself felt. This was commonly re-
garded as being an altogether natural
and healthy phenomenon after the ex-
treme rise sustained in the week just
ended.
Moreover, the actual market news OF
the day. although by no means wholly
unfavorable, was still not encouraging.
Call money rates were again high. most
of the days loans being made at Il per
cent, although in some instances accom-
modation was furnished at higher fig
ure.
The premium on currency. which in the
very early part Of the day held between
Z and q per cent, rose TO \ per cent, and
indeed held during the day with little
abatement from the latter figure.
Copper Dividend Reduced.
The country's leading copper mining
corporation, the Calumet and Hecla Com
papy, announced a reduction in its quar-
terly dividend of s. a share, the rate now
being paid SO quarterly. as compared
with SIS in the last quarter. and $50 in the
quarter preceding. The company has. in
other words, cut it's annual dividend dis
tribution by one-half
The Calumet and Arizona Mining Com
pany. ahOther prominent copper concern,
whose mines. although located in the
Southwest. are largely run and operated
by the old-line Michigan interests, also
reduced its quarterly dividend from s.
TO Sl.50.
More or less pesslmistic discussion con-
tinued TO be excited by the heavy loss in
earnings for month OF October shown by
the Atchison company in its statement
published last Saturday. The Atchison's s
net for the month decreased, as win be
remembered. nearly ASOO0Oo, and its
crossed Increased but $4,000. and a view
widely prevailed re-enforced by many dis
patches received during the day from
Western points representing a marked
curtailment OF freight and passenger traffic
during the preceding week that for a con-
siderable length OF time TO come decreases
in railway gross and net earnings must
be reckoned with as an important factor
in the financial situation.
Buying Grows Active.
IN the very early afternoon. however,
distinct reversal OF the markets
previous attitude occurred. Buying Of
stocks set in as vigorous a way as any
that was noticed at any time last week.
and continued without let up until the end
Of business. with resultant net advances
OF from one TO four points in the active
stocks.
The common explanation Of the rise was
that spectators for the decline were dis
appointed in the extent OF the early re-
action. and that on endeavoring to recover
their commitments found little stock. so
that their retreat developed into a
rout and they rapidly bid up prices against
each other.
One of the best features OF the situa-
ton. If not the best. is the broad strength
displayed by the bond market Nearly all
the well-known bonds whose prices have
been so extraordinarily and unnecessarily
depressed were again to-day heavily and
genuinely bought.