The Washington herald., 1907-03-14

New York. March 1S-Stock- market
conditions verged on a panic for several
hours to-day, and a sigh of relief went
up when the market closed without a
crash that would be a repetition of the
famous May 9, 1901. Fortunately, not a
single failure of "a stock-market house
was announced to-day.
Deep interest attached 10 the meeting
OF the Cabinet at Washington, but specu-
Iators look for little relief from that
source, beyond that found in the state
men- issued by Secretary Cortelyou.
The average prices of the twenty rail
road stocks usually selected for compari-
son fell of $40 a share to-day. In the
panic induced by the Northern Pacific
corner on May 9. 1901, the decline was a
fraction over s. a share. OF all the
breaks in the intervening time to-day 5
was by far the greatest
II was much more radical for instance,
than either of the two big market breaks
OF last week. and it was more significant
because. succeeding a decline Of about
$1.6000J8000 in market values from the
high prices OF last year, Its effect was
cumulative
Money Rates Advance.
The day was unprecedented in several
respects. Not before, IN the memory of
the oldest broker. has there been such
utter decentralization in the market with
out the failure of one or more large
houses, At no time previously. loan
brokers agreed. has such heavy Hquida-
ton been accompanied by such a sharp
advance in money rates. And. from the
standpoint of international bankers. there
has never been such a striking example
OF the interdcperdence between the mar
kets Of the New and the Old World.
The decline began abroad. There was
an alarmist report from Berlin represent
ing the market there as badly demoraiiZed
with high money rates, forced liquidation
and rather panicky feeling prevailing,
and several large sales orders We're sent
10 London for execution. London had
opened rather strong. but began selling
Americans for lis own account almost
sympathetically with the receipt of the
New York orders. Under thiS selling the
London market for -ApsariCaus broke
rather sharply. and there was q weak
end teverish opening in Kew York
Sales for foreign accounts were in turn
executed 10y international houses in the
four hours trading here. IL was esti-
mated that In the course of the day
London sold here about 6eCa0 shares on
Gs-.-qcc Thousands of shares besides
We're sCIu for the account OF continental
ceuters of finance New York holders.
some OF them from alarm. others from
necessity. threw stocks overheard. so that
there was mad scramble 10 sell when
the gong sounded. An hour and a half
later there was a depreciation in market
values 10 the amount of about sS0go.lG0
IN the seventy railroads and industrials.
which prior TO the opening Of the market
had declined about SLGloC00.09) from the
high point OF last year.
Traders Fear a Panic.
On the door of the stock exchange in
this mornings session there was all the
excitement that ordinarily only accom-
panies panic. Scores of brokers would
take orders only FOR execution at the
market, and the rush 10 sell stocks at
whatever price brought about sharp vari-
ati0ns between sales. Reading, for
instance, dropped from ia to ll2 - on
single transaction of but 1.C0J shares.
There was no support to prices; sellers
We're seemingly intent only ON securing
something for their sccuTiJi,s-it ap-
pareutly mattyred little what-and syste-
matte business appeared TO give way to
confusion.
There were transactions in nearly L.
O0oco0 shares in this mornings session,
out OF a total of about 10000 for the
day, and by noon, or half an hour later,
most OF the stocks had struck new low
levels for the day for the present bear
movement which began in December, and
IN scores OF instances FOR the past six
years
The Hm stocks. which were believed
20 have passed adversely, were again the
leaders. Great Northern which had
closed the previous day at 15594, wds
down 10 1903, Is points of. The ore GER
tifcates showed a loss of 9as, and were
selling at 80. Northern Pacific was at
l., II points below the previous days
closing, and a price far antedating the
panic. which operations in it produced in
1901
Union Pacific, which in the end showed
the greatest loss Of the day among the
leading stocks, was down some s points.
and Reading, always "A wide variant had
fallen 10 ll2lz, or 1-is points below the
previous closing. Copper struck g7s. a
decline OF ~ points Anaconda sold at
g. 524 points off; Smelters was at 1905.
of 5is; Sugar at l19. down points.
Northwestern had broken IA points. St
Paul Z, Delaware and Hudson SIS, South
ern Pacific 5l4, and there were so many
other declines Of 8. 4. OF points as 20
comprise the majority OF the stocks
dealt IN.
Prices Rally, Then Fall.
There was some prodt-taking in the
latter part Of the noon hour, and more
accompanied by considerable speculative
buying and some little investment buy
ing in the hour and half following ]
o'clock Prices rallied in some cases as
much as from 5 TO points. Then. in
the last half hour there was another
selling stampede which carried some OF
the standard shares to low points for the
day, and others to figure closely, ap-
proximating the low marks of the morn
ing. In this last half hour. also. there
was a repetition of the mornings ac-
tivity and excitement
Every broker ana every banker on the
street had ears wide open COR news OF the
failures which, so most Of them thought
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