The Washington herald., 1907-12-04
WALL STREET NOTES
Rush to Buy Is Followed
by Reaction.
BEARS READY FOR PROFITS
Commission Houses Heavy sellers
When Prices Were Found Favor
able 10 Their DeaIs-ShOrt Interest
in Evidence at the Close of Days
TradinG-No Interest in Message.

New York. Dec. 3.-During the greater
portion of an hour after the opening of
the stock market this morning there was
the same rushing, concentrated, and re-
gardless buying OF stocks that has pre-
vailed in the market for more than a
week past. and has particularly charac-
rerized the movement OF prices in the last
two or three days After this the market
was steady and less active at a some
what lower range. and then in the after
noon selling movement OF considerable
proportions made !ts appearance. which
for the first time since last Monday. re-
suited in general net declines at the close
Of business.
To-days reaction was on the face Of
things no more than a very proper recess
sion In values following such sustained
advance as has recently taken place, and
IL must be said that this advance. max
ing all due allowance for current extraor-
binary conditions, has been really Of phe-
nomenal sort. No speculative market can
keep on rising one and a half points a
day in the average price Of the shares
actively dealt in without speedily getting
itself into a dangerous position. Profit
taking and the suspension OF speculative
buying for the rise was, therefore, to-day
clearly in order. and il was just as evil
dent also that the Old time bear part in
the market once more resumed in a very
vigorous manner its sales for the decline
Commission houses that have through
out the year been identified with specu-
lators for the decline were heavy sellers
Of stocks as soon as the rise gave signs
of elimination in the early forenoon. ana
II is probable that the short interest in
the market at the end Of the stock ex-
change session to-day was larger than it
was in the beginning. II was conceded.
nevertheless. that the actual develop
ments OF the day were. upon the whole.
more unfavorable than otherwise. Il
would be foolish To attribute any large
part Of the days decline TO the rumors
and gossip current on the floor OF the
stock exchange concerning the supposed
recall from this country OF the Japa-
nese Ambassador. II did not appear that
the Ambassador had been recalled at all
The serious illness. as reported Of the
president Of the American Sugar Refining
Company; the failure OF a prominent
financial institution I'm Michigan. endan-
gering. as seemed the safety OF a large
sum Of the public money OF the state de-
posted there; the 'deferring OF more
dividends of copper mining companies.
and the poor earnings statement Of the
Pennsylvania railroad for October show-
ing decrease in net earnings Of $40 600
and decrease Of $4,000 for the year 10
date, all exerted a certain degree Of inllu-
ence against the market. But what did
adversely affect prices more than any
thing else was a rise in the premium on
current 10 per cent. and a sustained
level for this premium during the day OF
fully per cent above that OF yesterday.
No one could be found I'm Wall street
to-day who had taken the trouble to read
the Presidents abnormaIy long message
70 Congress. and so far as appeared the
message had no influence one way or the
other upon the financial sentiment