The Salt Lake herald. [volume] (Salt Lake City [Utah]) 1870-1909, 1907-03-17
faster FEELING
N WALL STREET
r,rther Recovery From the
Grand Scare and Panic
Sales of Last Thursday.
REBOUND OF STOCK PRICES
EXCITED BUYING IN PROGRESS
At THE CLOSE.
REBOUND OF STOCK PRICES

Vow York. March 16--There was fur
rolstile recovery in prices today
the ipordinate depression Of Thurs
- market. An overwhelmed bear &C
- was in evidence in the ebulliency
iba Iate upshoot. The days business,
-s-ar showed a very large absorption
Et,css going on. The complexion OF
mi statement had something to do
In The confidence OF the market. The
i,I,tion Of the deposit item by scaling
IN If loans proved sufficient to reduce
~ reserve requirement more than pro
---+ionatelv to the cash reduction and SO
2 conserve an addition TO the surplus.
n loan item is supposed to include the
- nrpparatiOns for the Friday settle
MS of the earlier part of the week,
- greater effect upon the averages than
- loan contraction by stock liquidation
tor so that the effect of the loan re-
motion is expected to be carried over in
7, reXt weeks statement. The dimen-
sons of Yesterdays money settlements
"a indicated u tOday's clearing house
sychanges. which rose to S67S, 71S,315. The
IN time this figure has ever been eX-
.aeded was ON Jan. 8. 1906, when the am
mai settlements resulted in exchanges
n SS6 S4iS9L Sterling exchange ruled at
rsstfrday's low level today. indicating
be power of New York to withdraw gold
rom London unless that step should be
5aamed impOlitic. Funds were more free
II offered in time loans today with the
,pstoratiOn of confidence. and a rise i'm
tb4 New York exchange at Chicago at
mar has occurred. The tenor of the
United States Steel annual report. es-
udslr the reference to the sustained
i-ral Gf ord RS received since the first of
fbs year. was a sustaining factor in the
s.Felgth OF the market So also was the
tone Of the mercantile agency reviews,
showing an expanding volume of business
through the country. Hasty profit TAX
.ng made the closing of the market ir-
regular, but there was excited buying
sin In progress
Total sales of bonds. par value. 81. $50. -
e.
The money situation must be allowed
for the large share of responsibility for
the conditions which have grown up. The
tghtness Of money is now worldwide,
he pressure in London and in Berlin be
hg almost as acute as in New York. Tie
lery active trade conditions call for eX-
raOrdinary supplies for the circulation
md the result is a depletion of cash hold
ags in banking reserves on which 10 base
Tedits. The excessive demands for cap
ral 10 place in fixed forms has been a
abject of observation for months.
Il is very generally assumed that the
ictive speculation of last fall left large
0ldings in the hands Of men Of large
Eeaitn that have never since been cleared
I'd ewing to the persistence Of the general
speculative public in refraining from the
market. This is supposed to account for
q large part of the forced liquidation and
TO explain also the absence of failures due
% the heavy fall in prices. The source
Of the selling remains undisclOsed, how
ever. and the difficulty, therefore, of
forming an opinion on its motives or rea-
SOnableneSs are elements of continued dis
quiet in the stock market. The general
feeling was. Of course, much treasured by
the effective rally of Friday, which
seemed to ward off a threatened disaster.
but opinion on the future OF the stock
market is in a confused state.
Bonds were little affected by the crash
IN stocks. United States Is have ad-
vanced = per cent on call during the
week
Tis collapse in prices of stocks which
Is occurred this week has been so sud
ca and violent as to leave opinion dazed
ger the meaning of the demonstration
I'D its probable Interior consequences
Tie extent of the declines has been so
pUtentOus, the volume Of the offerings
Ehich have deluged the market have been
50 Overwhelming and at the same tine
he usual consequences of failures Of fl
hsncial disasters have been so entirely
lacking as to leave an uncanny effect
upon the minds of observers. The extent
Of the slump is the more remarkable as
s0mmg upon the heels of a prolonged de-
cine which had already gone far to dis
oouH unfavOrable factors. which were
supposed to be then upon the market.
The measure of fall in prices is so much
greater when compared with such a pre-
vious occasion as the panic of 1901, with
when the present week is most gener-
ally compared for violence of fluctua
lions and indiscriminate unloading OF
stocks
There is no doubt that the prevailing
in 2 Lot ffraa -fll
and railroad world attributes the princi-
pal responsibility TO the situation the rail
!ead corporations find themselves in from
the prevailing attitude towards them of
governmental agencies and the prevailing
sentiment OF the whole country. The dis
SdsSfon in Wall street for some time past
mas been Of compilation of laws passed
y various state legislatures for the re-
suction Of railroad charges and for other
measures Of regulation; of the course of
proposed measures of the national gov
sinnent looking 10 additional restraint
open corporation powers and adminiStra-
uoh. especially in the issuing of bonds
ana stocks and the fixing of valuations
u railroads. with a view 20 traffic
roads.
The impression of all this discussion
"a seen greatly heightened by the course
= prominent men in the railroad and
s@hAag world which was construed as
q mqicatiOn OF the, keen anxiety they
,. sie auoTing- uuder Of the prospect Of
- ste oy this=ceJFFseso events. The at
SSloe Of appeaL-fos. the. public, and the
ssesInment authorities which this course
ssssted has awakened the spprehen-
- IN OF holders of stocks. This is true
speeulative holders. but the more per-
sa.tgt Investment holders have been af-
T1sa also to some extent
r .as assumption has gained ground il
~ wall street district that this was
eeng of the great controlling in
soss themselves in the leading rail-
- systems Of the country. and the
ass taken hold OF the speculative
i5-siaatlon that holders of securities OF
i5.s- pre-emiAent class were unloading
~ -I holdings Unfortunately in a spirit
auer hopelessness of the future earn
pro, OF dividend-paying power to their