The Washington herald., 1907-09-10
WALL STREET NOTES
City Bond Sale Cause of
Dizziness in the Market.
UNION PACIFIC IS WATCHED
When Member of Commission House
Seeks to Buy Hartman Issue, He
Is object of Interest-Jewish New
Year Holiday Has Depressing Eff
feet ON Volume of Trading.

New York, Sept. 9,-The absence Of a
large number Of traders on account OF
the Jewish New Year holiday had q de-
cided effect on the volume of trading, and
at times business on the floor was very
dun Indeed
Perhaps It was well that an oppor-
tunity was thus afforded to study the
market free from the speculative opera
lions that often obscure the transactions
of real Importance. The important opera
tons went on just the same as if there
had been no holiday. II the case Of such
operations the orders We're placed before
hand, and the Intervention Of the holiday
made no difference IN their execution.
Apart from the holiday. a cause Of
dullness in the market was the doubt rs
10 the degree Of success that would at
tend the New York City bond sale. for
while in many good quarters assurances
that the offerings would be an unquall
fed success were reiterated with the
strongest feeling Of confidence. there were
rumors on the floor of the stock ex-
change and around the brokerage houses
that the pFce would be distinctly dis
appointing; that, indeed if was doubtful
If the average would exceed 10l for the
entire issues.
Although there were not many traders
on the floor, there were enough to dig
Up the old rumor that an Industrial cor
poration was in trouble. and passed
around the street, IN the hope Of Great
ing the impression that the existing fnan-
cial situation was still sufficiently IN
favorable TO cause the death Of Industrial
concerns. The ugly thing. however fall
ed 10 scare anybody, and IN good quar-
ters 10 was commented that the bears
must be in q bad way when they resort
10 such devices TO accomplish their pur-
poses.
At least one broker had a curious ex-
perienee IN Union Pacific. A member Of
a fairly large commission house bought
a considerable amount Of the stock for
regular customers Of his firm and soon
found that he was the subject OF pretty
close observation by many Of The trad
e-s. His takngs OF the stock were not
larger than on many other days within
the past few months, but his buying was
regarded viii csw interest. which at
the time he did not quite understand As
he found out afterward. the traders tn
the absence % business Of a more profit
able kind spent q good part Of their
time trying 10 find out how significant
orders In Union Pacific were handled Ga
the absence of certain brokers who were
supposed 20 have the handling of that
class OF business ordinarily.
For some reason, several Of them came
10 the conclusion that the buying OF the
particular broker referred 10 was Of that
character, and some of those trusting 20
their observations bought the Jock FOR a
turn.
Union Pacific was throughout the ses-
sion one OF the most active as well as
one OF the strongest stocks on the list
OF news on the stock there was none
beyond rumor Of selling by members
Of the syndicate. who it was alleged,
took the way Of obtaining money 70 pay
the final instaument Of 90 per cent on
the price of the bonds.
That the uasold bonds VIII be distrib-
uted 20 TIE members Of the syndicate
after September Is there Is no longer any
doubt. and that the amount actually
sold by the syndicate IS very small has
already been made clear.
Can money could not be had for less
than per cont at the time the market
closed, and the advance to this rate was
hot mere spasm. but the result OF a grad
nal hardening beginning within the first
hour of business. The cause of the ad-
vance was found in the preparations
necessary for payment Of the installment
Of 80 per cent On Union Pacific convert
bles, due tomorrow, and for the sub
scriptions 10 the New York City bonds
to be sold tomorrow afternoon.