The Birmingham age-herald. [volume] (Birmingham, Ala.) 1902-1950, 1907-03-19
EXCITEMENT IS
MUCH ABATED
Price Movements Still Show
Some Feverishness
MORE NORMAL CONDITION
The Drop at the Opening Is Wider
Than Anticipated-Transactions
Are In Much Smaller
Volume.

New York, March 1S.-There was a
marked abatement of excitement in the
dealings in stock today from the enor-
nous transactions and wild price huctua-
lions of last week. Price movements still
showed a degree of feverishness that was
the after effect of last weeks turbulent
market, but the reduction in the volume
of the days sales is conclusive evidence
of the settling back of the market into
more normal conditions. So, also, was
the check to the headlong advancing ten
dency of Saturday, which was wholly
due to the distress of bear operators who
had continued to sell stocks short reck-
lessly down to the lowest point of Thurs
days plunge, and who were compelled to
buy to cover on Saturday by the volatile
recovery
The very violence of the recovery gave
warning of its unreliable nature, and
speculative sentiment was quite prepared
for a check and the reaction today. In
fact, the London market had already an
ticipated this course before trading began
here, and sent over a materially lower
range of prices than the closing here. The
drop in the opening dealings here was
wider than anticipated, and had the eff
feet of revvng some of the exeitepent
which prevailed last week. But it APP
peared that the wilder fluctuations were
largely due to the pIunging operations OF
a professional element, which had become
habituated to free action by last week s
experience Effective support appeared in
the market and the proceedings then were
much quieter and more orderly, although
the renewed weakness of the latter mar
ket made the lowest prices of the day
The market continued TO show the nor
NAL effects following such price contor-
lions as those of last week. That is. it
showed the lack of large demand from
shorts which were squeezed into covering
the market, and felt the effect of resell
ing to take profits by those who secured
stocks in Thursdays slump, or who had
bought on Friday merely for the purpose
of supporting prices and averting what
threatened to be disaster to the market.
The diminishing activity of the market in
dicated the disposition to pause after the
. severe experience of last week, and take
stock on conditions and promise before
entering upon the large operations IN
stocks. General information as to the
causes and sources of the unloading
which produced the CONFUSION in the
market Is still largely lacking. Certain
conclusions, however, find warranted ac-
ceptance The extent of the liquidation
must have gone far to remedy the trouble
whatever it was 1t is taken for granted
also that the investment demand uncov-
cred by the extent of the decline must
have largely reduced the floating supply
of stocks in the market. Not only was
the absorption by private investors very
large, but investment institutions are be-
lieved to have taken advantage of the
opportunity to extend their holdings of Sc
curities and at an attractive rate of re-
turn
Confidence is felt also that the reduc-
ton of credits affectek will afford avail
able resources for the better digestion or
some of the new capital issues which had
become a glut in the market, obstructing
its channels against the movement or
other desired issues. The money market
showed the effect of the passing of the
March 16 settlements, and it's greater ease
conduced to recovery in foreign exchange.
The Bank of England. however, had to
advance it's bid again to secure the sup
nlv of gold in the London market.
Railroad traffic reports offered no trace
of reaetionary tendency in business which
the stock market slump has increased the
watehfulness for. The last prices showed
substantial losses from Saturdays closing
level.
Ronds were irregular. Total sales, par
value. So, 10000
United States bonds were unchanged
on call.