The Washington herald., 1907-07-02
WALL STREET NOTES
Several Sharp Rallies in
Prices Create Interest.
LONDON MARKET Also ACTIVE
Large Bear Interests Hard Hig and
Bulls Are Gainers by Foreign De-
mand-UniOn Pacific and Steel Par
ticuIarIy Stronghold Money High,
but This Has Been discounted.

New York, July 1.-Two short pc
riods supplied most Of the interesting
features of to-day's stock exchange ses-
sion. They were as far apart as posi-
bic. for the first Immediately followed
the opening and the other Immediately
preceded the close, but thsy We're SINH
lar in that they were times of very
heavy trading and very sharp advances
in prices. They stood out ell the more
prominently for the reason that the In
tervening hours displayed few price
movements Of significance. the time
from 12 10 2 being particularly duh and
listless.
In both of the feature periods, par
ticularly that toward the close. transac-
tiOns were in very large volume. Sales
Of 1.000 TO 5000 shares In single lots fol-
lowed one another as rapidly as possible
and these combined with the spasmodic
nature Of the days trading to make it
seem so obviously manipulative that each
marking up Of prices IN the last ten min
utes was hailed with derisive laughter
by the room regulars.
ment followed an advance in call money
to the highest July rate for six years
seemed to them an additional cause for
hilarity. There was also no news ac-
companyug the advance or circulated
to account for ii. The money did all the
talking, and those who were supplying
1t seemed as actually cheerful over the
advance in prices as the regulars were
cheerful Ironically.
The cause Of satisfaction among those
who put their money behind the upward
movements Of the day was. apparently.
knowledge that they were making things
very disagreeable for a very large bear
party. 1t was a matter OF general knoWl-
edge that the short interest was entirely
eliminated when the advance began a
week ago. but il was only two days later
that many operators began fighting the
advance, ana on the failure Of the city
bond sale on Friday the number Of those
who believed the movement had reached
its apex was very largely increased. The
inclination 10 sell short had thus gained
great headway in three or four days Of
quite active trading, and in thi, period
the operations Of the bull leaders had
been made easier by rather large buying
for foreign account. and some little in
vestment buying here At the same time
the market had not been subjected % the
test Of any heavy offerings OF actual
stock, so that the floating supply Of
stocks to-day was undoubtedly smaller
than when the movement began.
Reports Of a squeezing Of the short in
terest were most persistent in the trad
ing IN Pennsylvania Il was put out twice
during the day that one large operator
necessarily he was Zone of the largest
operators had been loaning for several
days 5000 shares Of Pennsylvania stock
and that he might take & into his head
To call in these shares at any moment
There was a borrowing demand. IL was
said for at least 100000 shares These and
other reports Of big bear party I'm the
stock were circulated so generally about
the street that they brought most Of the
professionals 10 the bull side Of the stock.
and the sharp rally al the close carried
the price TO a net gain Of points Of the
day.
The strength at the opening was I'm
parted TO some extent by a particularly
strong and active market for Americans
in London. Whether OF not this
strength was due TO the revival Of
the old practice Of stretching hands across
the sea to manipulate the London market
no one stopped to inquire Neither was
there close investigation Of the source Of
the buying OF 200 shares in this market
by cable for London account In each
case the buying was taken n its face
value, many traders taking the position
that it made little difference whether the
foreign activity was inspired by manipu-
latoEs Of the market here or whether It
was actual buying by European in
vestOrs and spectators. In either case It
meant a movement for advancing prices
and induced a covering by many shorts
and an acquisition Of long lines by others
that combined 10 make a stihening Of
price at the very start. Union Pacific
was particularly strqng and active, but
there were sharp opening advances also
I'm the Steels, the Hill stocks, Pennsyl-
vania. and st. Paul
Commission houses had less 10 do with
the early trading than had been expected.
in view Of the advance in prices last
week and the encouraging increase Of
commission business accompanying the
advance. II. as many suspected. the
opening advance was rushed to obtain
good prices for stocks sold to cover the
weak cOmmissiOn-h0use buyers. It pro-
duced very little profit in this direction.
Union Pacific scored the substantial net
advance Of 29s points, but at the close the
price at which the convertible bond syn
dicate may exchange bonds for stock on
even terms was still 13 points away.
There are those who believe that this
bond syndicate, which, it is understood.
comprises in its membership all the prom
iraur v,,ar,,hor- - III. T-rt.r D.,sGo 80, 49,.