The semi-weekly messenger. [volume] (Wilmington, N.C.) 1897-1908, 1907-03-15

New York, March 13-The stock
market was shaken into democrat
izatien today by a course of liquidation
which for violence and precipitation
had not been equalled in New York for
several years past. The overwhelming
sutpouring of stocks came as a general
surprise, as extensive progress was
supposed to have been already effected
in the necessary liquidation to meet
the present situation. This supposlti0n
had been fOstered by the action o. the
market for several days past but ap-
parently the exigencies of the money
situation had been grossly underesti-
mated Alarm for the adequacy of
available supplies to meet Immediate
sr early requirements was acute TO-DAY,
not only in New York but in London
and in less degree, in Berlin. The con-
striction of credits fell upon an unsus-
Pected extension of speculative ac-
counts, and they were indiscrimin2tely
forced to sale, apparently at any sacrl-
6Ce Banking credits were practically
Withdrawn from the stock market and
borrowers We're called upon to pay
sheir obligations. At the same time
bids in the market for stocks seemed TO
be withdrawn and prices were Offered
down several points at time before
meeting any absorbtive demand. The
immediate pressure on the money mar
ket which precipitated thls series of
events, was attributed especially to the
large demands converging on the 10th
of the present month. These include
subscriptions to new Chicago and
Northwestern stock, to Pennsylvania
note issue and several large dividend
payments, including Standard Oil and
Consolidated Gas. Preparations for
these payments were in force today and
inva1yea higher money rate from the
sutset. The banking position was weak
at the close of last week and the sub
treasury has taken from the banks
aace that time upwards of $4,000 900
more than sufficient to wipe out the
surJaus as it existed on Saturday. The
customs collections of the government
are running on very large scale, but
she banks are taking advantage Of the
aew limit of $4,000, 900 on monthly re-
Mren1e1t of circulation to retire the
faA allowance, and deposits of money
at the sub-treasury for that purpose
are Increasing largely the withdrawals
i GeM the banks. Meantime the treas
ury department has given no intima-
Mon of an intention to use the new dis
eGetionary power of the secretary to
SeSesit customs receipts with the ma
a0aai banks. London already was up
set by the money situation before the
market operations began here and rs
seoa as the New York market opened
foreigners began to unload holdings
here in a way that started prices sharp
ly dOwnwards. The liquidation stead
NY gained force through the accumula-
den Of influences which follows in
svitably from violent decline in price
and the market became quite demoral-
Med. Seemingly the absolute necessity
for farther drastic liquidation became
recognized. A feeling of hopelessness
over any early market to insure the
success of this operation prompted the
SpaSmodic methods pursued. The
acute weakness of the Hill and Harri-
man stocks indicated that the semi
panic of today was the aftergrowth
of the unbridled speculation in those
SHOCKS entered upon last fall and which
has never been satisfactorily cleared up
in the market since Such day as
today must necessarily have accom-
pdshed much towards the purpose. The
violent rally in the latter part Of the
day indicated the cessation Of the
measure. but the closing tone was ex.
oaedhgE nervous and with some
stocks at the lowest and others fas,
tamg hack to previous low levels
a4UM Pac3fa