The Washington herald., 1907-03-19

New York. March 1s.-Professional OBJ
servers OF the stock market were almost
unanimously Of the opinion after the
close of business on Saturday that the
rally in prices that had gone on that
day and the day preceding had been fully
as great as all the circumstances in the
case warranted, il, indeed. it had not been
much too violent. Il is true that wall
street is a place where the setting of
new precedents is not altogether un-
known; but recollection of the past still
counts for something in the financial dis
trict and it would be contrary 10 al ex-
perience if the rebound in the market
following the break last Wednesday and
Thursday had Immediately proceeded FAR
Their than it did in the two closing days
Of the week.
The upward movement that did take
place brought about a recovery or over
threa-quarters of the decline made in the
market in the days OF the panic. This
meant, of course. a disappearance OF
large portion of the short interest in the
market that had previously existed; that
there should logically be expected a liqui-
dalton of stocks on the part of commits
sion houses and others who had assumed
burdens for weak holders of securities
during the time OF market demorslization,
and that also at such sharp advance in
prices purchases of stocks by investors
would naturally be diminished.
Agitation sdII Continues.
II was obvious. too that there were no
Illusions In these financial districts as TO
the general conditions affecting values OF
securities which were still in force, despite
the passing of the very black storm
cloud that lowered over the stock market
in the middle Of the last week 1t was
realized that the agitation throughout the
country started by the actions OF the
Chief Executive against railroad and
other corporate interests was stu IN fun
swing and that so far as any indications
concerning the Presidential future course
in the matter We're AFFORDED, they were
10 the effect that his views and determine
tons We're in no way changed.
An that had really happened, in fasf'
as a matter OF relief In the last two OF
three days had been the PRONUNCIATION OF
orders by the Secretary of the Treasury
looking forward 10 an increase IN the
supply Of money available for Wall
streets use; and yet. even in this case.
the relief given was Indirect and OF
doubtful quantity.
There was. therefore, no surprise to
day when the prices for American stocks
in the London market recorded Just be
fore the opening Of business here were
from one to three points lower than the
closing quotations fer the same stocks
in this market at the end of the week
The extent of the decline In London
was fully measured In the first transac-
tons in stocks here, and though the
market for some time afterward was
stronger, il again began 10 sag and was
weak throughout the rest of the day.
Closing quotations for stocks We're pretty
nearly at the lowest and were such as
TO make declines running from two to
four points ia the principal issues.
Monetary Condition Alarms,
Aside from uncertainty as TO matters OF
legislative and Executive policy affecting
the railroads. the one matter that seemed
10 be mostly talked about in financial
circles to-day was the more or less I'M
satisfactory nature OF the general none
tary positions Witnessed in foreign coun-
tries. as well as our own. The Bank Of
England was allowed 10 secure to-day
In the open London market all Of the
$4,000 in gold offered for sale there,
although it had TO pay a higher price for
the bullion than it has paid at any time
during recent months.
The investment markets of the day in
london. Berlin, and Paris were, however,
distinctly heavy, and although the I'M
perial Bank of Germany made a very
fair showing in its weekly report, there
was unquestionably apprehension that
both the Bank OF Germany and the Bank
of France might in the near future raise
their minimum rate of discount OWNS
10 a strain on capital there of much the
same nature as in the last seven months
has been witnessed in our own land.
The most comforting reflection concern
ing the recent heavy drop in prices here
Is. of course, that upon this break an ac-
tual and large investment in stocks took
place on the part of the general public.
II was trustworthy reported to-day that
one Wall street commission house max
ing ii speciality of dealing I'm fractional
lots of stocks. that Is TO say. of stocks
OF less than 100 shares, made duiing the
day S,000 deliveries of stocks each of
them of varying amount. On the other
hand. it was generally said to-day that
this investment buying has practically
ceased.
There were at any rate no such evil
dences OF the presence In Wall Street OF
bargain-hmters as there were two OF
three days ago.
One thing that the fan in stock bust
ness did not seem to have stimulated IS
the bond market. Lower prices than ever
to-day were quoted for some Of the prom
inent short-term notes recently put out
while the city OF Philadelphia 5000, 00C
IL per cent loan offered this morning
attracted only a single bidder. Cal
money rates on the stock exchange to-
day were normal. rejecting the end Of the
acute disturbance Of the monetary situa-
ton caused by the payments on railway
stock and bond issues last week.