The Washington herald., 1907-09-27
ILLNESS AIDS BEARS
Union Pacific Hammered Oh
Report About Hartman.
PRECEDED BY HEAVY BUYING
Many Traders Taken In by Decep-
tive Activity in the Stock Before
ExaGgerated News of MHEnate's
Illness Is SpFung-AttHckcTE Then
Turn Their Attention 20 steel.

New York. Sept. 26.-Accidents always
favor the bears. and the indisposition
OF Z. II Hartman favored the declining
side Of the market to a much greater
extent than the report OF frost damage
had done on the preceding day.
Naturally, Union Pacific was chosen
as the main point Of attack, and, while
opinions differed as to the source of the
selling, there were certain circumstances
that pointed TO the conclusion that the
greater part Of Il came from the par
ticular bear clique that was supposed to
have resumed operations on that side
IN the stock at about the top Of the
rise last week.
Buying Deceives Many.
What first impressed the traders was
not the heavy selling of Union Pacific,
but the apparently good buying of the
stock. There was hardly a trader in
the crowd at about the middle Of the
first hour that did not regard the buy
ing as good, and many Of the board
members of active commission houses
advised their firms that il was a very
significant kind In some quarters the
impression prevailed that there was
some buying of the convertible bonds by
prominent banking interests and that
these were investing the proceeds in the
stock. but il soon became reasonably
clear that all such theories were iucOr-
rect The fact that brokers in the room
were SO generally deceived was strong
proof that the bear party pOss- sSed con-
siderable skill. Behind the apparently
good buying there was the selling on
the decline. but the traders who were
deceived by appearance bought sock.
only 10 be shaken out Of il an hour or
SO later al substantially lower prices,
when the exaggerated reports as % the
illness Of Mr.. Hartman were put in cir
cUlauon.
stock IS -aeIped I'm the End.
The bears. 50 far. have not given any
strong reason for decline in Union Pa
c.fc, but their operations have been
adroitly conducted and may yet succeed.
If SD. the success viii not be. secured
through the force Of underlying circum-
stances, but by manipulation. The out
como will be watched with interest
on the decline In Union Pacific little
zeal stock came out. The traders ran
when they saw their error regarding the
character OF the early buying, but hardly
any selling orders came from anywhere
outside Of The four walls Of the exchange
The stock was lower. but that was all
There was a good market for 1t at the
new level, and the technical position was
an the stronger. iaasmUch as short sell
ing had produced the decline and short
selling involved the necessity of buying
back sooner or later.
Bears Turn on steel.
About the only explanation that could
anywhere be found for the weakness IN
Steel was that the bear party. after de
pressing Union Pacific, had turned IT'S at
teutOu 20 that stock. There was moth
ing new on the trIde situation beyond a
statement tl-t the same percentage 0f
falling Cn in the volume of new orders
that was reported at the time Of the pub
Ncation of the last quarterly report was
shown ia current business.
81. Paul was one of the heaviest stocks
on the list as indeed, 1t has been prac-
tically al the time since the publication
Of the annual report.
Rumor said that member of the Stand
ard Oil group Cf capitalists had recently
sold a block 0f COCO shares of 81 Paul
just the same number Of shares as he
was said 10 have sold Of Union Pacific
a week or two ago. The probability Is
that the latest version Of the story has no
more truth than the original one.
Outside Of the United States Steel
stocks ana Continental Gas. the indus
trials We're generally stronger than the
railroads, and II was, perhaps, 10 be eX-
pected that Steel should weaken with the
railroad ust. as for a long time it has
.- f.a.a. aFH D