The daily morning journal and courier., 1907-05-11

The weaknesses of the stock market yesterday was attributed to doubt over the Union Pacific financial plan and the news of the governments estimates as to wheat.
 The market held tolerably well un- til after the crop report came out, wEich showed reduction of per cent. in condition of winter wheat and a shrinkage in the estimated yield of 90- 000, ,00O bushels. There was a slightly higher trend to money the banks show a small loss in cash for the week and the grain market was excited with prices at the top point of the season.
 When the heavy reduction in wheat condition, and particularly in wheat acreage, was announced and the wheat market ran up violently nearly 1-2 cents per bushel, stocks gave way at once Declines of 1 to 3 points in ac tive stocks were numerous, and were accompanied by an active business. Closing was uncertain, with little dis position to recover.
 The government crop report showed that during April SS,S73,O0o bushels of winter wheat had been destroyed, that 3,53S,000 acres of the 31,600,000 acres, sown last fall had been abandoned.
 The Union Pacific capital needs are regarded as all out of proportion with In 1r,t1nv ho tui was increased, and effort was being made to distribute stock. Further more, there is constant evidence that other corporations require fresh capital and must pay high interest rates to ob- tain it.
 The fact that Texas is shown to have lost 70 per cent. of It's originally plant ed acreage and Oklahoma S5 per cent Is doubtless the allowance for last months drought and green bug" and 1t was this part of the report which caused the unfavorable response on the grain market. The total area under winter wheat Is thereby brought to a total less by million acres than that of either 1906 or 1905.
 The bull pool in wheat did not allow ' thu government report to stop their can paign. They had July and septem- per at the top prices of the season linen the figures were issued. July sufke 1-2 cent immediately, but quick
 ran up again so that once wheat pas ? cents higher for the day. There was suspicion that some of the shrewd Union Pacific people had sold a good deal of stock between 147 and 149 Thursday, and had covered in around 142 and 14S. The idea was that they realized the effect on the street of the big financial needs and anticipated the street
 A clear idea was gained yesterday for the first time of the value of the rights of the new Hartman issues. It created a poor impression. Union Pa cilis new As were quoted, when issued, at 91 1-2 to 93 for a time, then at 91 12 to 92 1-2, with some sales re- ported to have been made at 92. The rights opened at S-4 of per cent, and reacted to S-S. Southern Pacific rights to the new preferred stock sold at Is.
 Readings decline was traced to re- port that there would be another change in the Roosevelt cabinet so that the office of attorney general would be filled by a man wh would imemdiate- ly begin an aggressive inquiry into the anthracite combinations
 The Hartman issues acted well at first, indicating confidence on the part of the management regarding the wis., dom of their course in issuing per cent. bonds, instead of those bearing higher interest. Up to one o'clock there was very good support in both Union and Southern Paci1s, and all of the of ferlngs were well absorbed. But with a sharp rise in wheat after that hour these stocks sold off with the remain der of the list.
 A Wall street news agency print ed the following Philadelphia dispatch: There is no truth in the rumor that Reading is to issue new securities, Reading is getting a good price for it's coal and has several strong treasuries. ,
 Western banks again appear as lend- CTS here, nelarging the volume of such investments to $7,O0O,00O or $S,OOO,O00, for the current week. Call money loan ed at 8 per cent, although most of the accommodation was negotiated at 1-2 per cent.
 The Southern Pacific issue of prefer red did not disturb the street nearly as much as the Union Pacific financ- ing. It was looked upon as more le- gitimate than the latter, and with the rights that accrue from the offer, makes Southern Pacific no less val uable than it has been.