Evening star. [volume] (Washington, D.C.) 1854-1972, 1907-12-17
Upward Reaction Came Too
Late to Avail Much.
WAS POORLY MAINTAINED
Active Issues Suffered by Big Drop
After Opening.
DIVIDENDS CAUSED RALLY
Reading Suffered a Great Decline.
Americans Firm in
London.
WAS POORLY MAINTAINED
Special Dispatch TO The Star.

Special Dispatch 10 The Star
NEW YORK, December 17.-After eight
consecutive days of falling prices. some
sort of an upward reaction was virtually
insured in the mechanical circumstances
of the market. Such 4 movement took
place this morning toward the close of
the first hour of business. but 1t did not
occur until nearly all of the active issues
had fallen from one to two points and the
recovery in prices was subsequently poor
ly maintained.
The melting cause of the upturn If the
market was undoubtedly found in the
announcement of the declaration of extra
dividends on the subsidiary companies of
the New York Central lines. The Lake
Shore declared the regular seml-annual
dividend of per cent and an extra divi-
dend OF per cent, and the Mi, lgan Cen
trail declared the regular semi-annual divi-
dend of per cent and an extra dividend
of per cent The bearing of n pro-
cedure on the divid End on New York Cen
trail. which it is expected will be declared
tomorrow. was so plain that that stock
was the leader in the rally of the forenoon.
Later. however. New York Central
moved as irregularly as the remainder of
the market.
Previous to the announcement of the in
creased dividends on Lake Shore and
Michigan Central. there had been rumors
current that the New York Central would
declare its usual rate. but that the divi-
dends would be payable in scrip. Thu
gossip of this character was. however.
quickly ssipated upon the announcement
in question. AS has been the case for
several weeks past, rumors and conjec-
ures with regard to the forthcoming divi-
dend declarations played a great part In
the days dealings. 1t Is hardly neces-
sary to say that a perpendicular decline
of eight points in New York Air Brake
was thusw-se accounted for.
Irregular Lines Followed.
The industrial and miscellaneous issues
in general followed the same irregular
lines which were pursued on the railway
list. The fluctuations in Distillers' secur-
tiles. Amalgamated Copper and American
Smelling were particularly wide. The
United States Steel issues were compare
lively steady, and Ice securities advanced
sharply Little was done In the local
traction securities.
Aside from New York Central. the con-
spicuous features of the raj way list were
Reading, Pennsylvania, the Hill stocks
and Union and Southern Pacific. Reading
suffered one of the greatest maximum de-
clines scored anywhere on this mornings
presentation of the difficulties which that
company may have to face in readjustinG
It's affairs in accordance with the rallroao
law enacted at the last session of Con-
gress. Pennsylvania was notably heavy,
but little gossip attached TO the dealings
In that stock.
American shares were exceptionally
firm in the London stock market, which
was otherwise heavy, but very little
was done here for foreign account.
Money on call during the greater part
90 the day ruled between 10 and 10 per
Cent AID the prospect that such stiff
rates wilISpropably have to be reckoned
with fortkDother thirty days was in
all probability the trfe reason for the
decided irresularity Of the stock mar
ket The premium on currency was
again naint&ned in the neighborhood
of per cent on a fairly large volume
OF tons.