The Washington herald., 1907-01-24
Gain Is Slow, but General
Throughout List.
MARKET MAY BE SOLD OUT"
Southern Pacific Holds Its Own and
Assists in Bringing Other Seeuri-
ties Up to Higher DISQUALIFICATION
Against Great Northern Has Little
Eject on QuOtations-MOney Easy.

security market had ceased. prices of
stocks to-day generally rose. During the
entire fore part Of the day there was very
little movement in the market, yet the
undertone Of affairs was Enthusiastically
steadier. Stocks, whenever they receded.
were bought eagerly. and it was plainly
apparent from a trading point of view
that ii was easier to sell stocks than to
buy them. This has been. indeed, the pre-
vailing characteristics Of the market since
the decline in prices eliminated on the
first day of the week.
Yesterday the attitude of professional
observers Of the market was seemingly
one OF aloofness, due to an uncertainty
whether the continued upward movement
IN prices had or had not ended There
was a strong suspicion that it had ended.
but there was yet quick willingness on
the part of spectators to take profits
upon any advance and a general condi-
ton of sentiment as to the markets fu-
ture course.
To-day the market gave more pro-
nOunced evidences of having touched
level beyond which 1t could not be further
depressed, save as fresh influences of an
adverse character were brought to play
against IT, Shortly after the opening of
business il was announced that the COuTt
of First Instance, in the State of Mime
sofa. in which suit had been begun TO
restrain the Great Northern Railway Com
pany from issuing S6O.00O 900 of new stock,
had decided against the company.
Great Northern stock Falls.
Upon this the Great Northern preferred
stock fell sharply. and the Northern Pa
eific shares, and to some extent the whole
market sympathized with the decline. The
recession was, however. of short extent,
and thereafter, and until the beginning
of the last hour of business. dealings in
stocks were on the smallest scale that
they have been at any time in the current
year, or, indeed, for a long time pre-
viously. Dizziness in a security market
at the end of a prolonged decline Is often
very significant. 1t usually, although, OF
course. not invariably, indicates that The
market is sold out" and that the factors
that served to lower prices have. at least
for the time being. exhausted their power
Tor harm.s
During all this earlier part Of the day
the strength of Southern Pacific common
stock, which has for weeks been q nota-
be feature Of the market, again pracJi-
cally asserted itself, and when in the last
hour Of the stock exchange session buy
Ing OF The stock increased, it proved TO be
the signal for an advance In the market
generally.
Many Net Gains Shown.
Rapid purchases OF stock began TO be
made throughout the list. and under the
influence OF this buying movement the
active Stocks closed at the highest QUO
tations of the day, and at considerable
net gains. There We're however. other
prominent features Of the market aside
from Southern Pacific. There was heavy
buying Of the Electromagnetic
common and preferred shares. which made
II appear possible that the peculiar de-
preston i'm the stocks earlier in the week
had been really for the purpose Of ac-
emulation. The advance in this quarter
was accompanied by a rise in Brooklyn
Rapid Transit and the Amalgamated
Copper. St. Paul, Chicago and Northwest
ern, and other leading shares rallied Wig
OrOusly. Canadian Pacific stock formed
and its decline was attributed to a pre-
vailing impression that as : per cent
dividend-paying security its market valu-
alton is more or less out of line with
other stocks of the same rank
Decision OF Little Importance.
The legal decision against the Great
Northern Railway Company. to which
reference has been made. was not COM
monty accounted to-day as of great
weight. The point at issue between the
Great Northern Company in the State of
Minnesota is that the company. In max
ing preparation to issue its new stock,
did not first obtain permission, as the law
Of Minnesota required it TO do, of the
Minnesota State railway commission. The
cOmpany's assertion is that under its
charter, which was granted previous to
the enactment of the laws in question,
il does not have TO seek the permission
OF the State railway board.
The substantial reason why all this lit
igatiOn is held to be of inconsiderable i'm
portance is the overwhelming probability
that even if the Great Northern Railway
Company is forced to ask the Minnesota
authorities for the permission described.
the permission Will be accorded. with
the people of the Northwest cIamoring,
as they are, for more cars and additional
railway facilities. there are few State
railway commissions that will care to as
sumo the responsibility Of denying them
the much-needed privileges.
Banks Report Gains Again.
The local banks to-day reported a gain
from the subtreasury up to the close of
business yesterday of $236S, 600. and nu-
meroUs advices were received from West
ern banking institutions stating that the
inflow of currency there from the country
district was large, Financial conditions
at this center were best shown in a fur
Their lowering of time money rates.
For money for thirty days use to-day
hot more than AZ per cent was bid and
Il was offered At ; per cent. For little
longer period 81 per cent was asked,
while 81 per cent was still the quoted
rate for five and six months loans. Loans
for five and six months were. however.
made in more than one instance at 81
per cent; while the extreme CELEBRITY with
which recent railway shOrt-term note is
sues, bearing from 10 Z per cent inter
est have in the last few days been
snapped up by investors rather clearly
fOreshadOws the fact that additional
issues Of these obligations that may be
put out in the near future viii be sold at
somewhat higher prices.