The Washington herald. [volume] (Washington, D.C.) 1906-1939, 1907-12-28
STOCKS ARE STRONG
Large Houses Combine to
Make Market Brisk.
RISE IN PRICES IS GENERAL
Professional MHnipulatiOns ADPar-
ent ThroEEhOut the Day, and Pro-
duce an Effect Observed n Week
AgO-Street Railways an Excep-
ton, with Slight Decline.

New York. Dec. 27.-The three or four
large speculative commission houses.
whose operations have formed by far the
largest portions of the stock exchange
transactions during the last fortnight,
and who have been throughout the pres
ent week continuous, although not ex-
ceedingly heavy sellers OF stocks. jointly
and severally reversed their market atti-
tude to-day, and after a brief drive at
prices in the first hour OF business. turn
ed In steadily thereafter to retire their
short contracts. with the result that the
market was constantly strong from that
time on. and that net advances OF from
10 so points were displayed in the price
OF most of the active issues.
More Importance would have been at
tached to the market to-day had its pro-
fessional character not been so apparent,
and had not exactly the same phenome-
non been witnessed on numerous occa-
sions during the last month, notably a
week ago to-day. when the market en-
joyed a rise OF precisely the same charac.
ter which proved not 10 be permanent.
Several Exceptions.
There were, it is true, some exceptions
to the general tendency. Pressure devel-
oped to sell the American Locomotive
common shares; that was but little re-
heved before the end OF business. and
caused the stock to close at a decline Of
a point The selling was presumably
based upon the idea that the current con-
traction in railway business would adj
versely affect the earnings Of railway
equipment companies for a considerable
part. at least Of the coming year.
Declines also took place In stocks in
which dealings are not usually large, like
Denver and Rio Grande, CRANKY Mining.
and Kansas City Southern. Metropolitan
Street Railway stock fell points on the
sale OF but 100 shares. and Third Avenue
stock declined ~ points upon the an
n0uncement of a firm OF bankers that
they would buy al their fun value the
coupons on the ( per cent General Con-
solidated mortgage bonds OF the Third
Avenue Railroad Company. due January /
The price or the bonds advanced on this
news, but as the plain inference was from
il that an official default would surely be
made upon the bonds the tidings were
not Of course, wholly favorable to the
price or the railroad companys stock
Market Is Favorable.
In general. however. to-day ne actual
news bearing upon the market was ia
Yorable, although it Is very doubtful
whether it was in any decided way re-
sponsible for the upturn In prices.
In the London market, too, to-day there
was a let-up In the demand for gold by
outside buyers. so that the Bank OF Eng
land was enabled to get substantially all
OF the gold that was offered there. and
at a sharp deduction in the price of the
metal
Again sentiment was encouraged by the
trifiing Withdrawals that took place yes
terday from the savings banks under the
notices given by depositors sixty days ago
and by the fall to low figures Of the cur
rent premium on currency.
The preliminary estimates OF the clear
ing-hOuse banks to-day forecasted a gain
in cash by the banks this week Of over
100000, and the general belief was that
to-mOrrow's bank return would show an
other material cutting down OF the de-
felt in the bank surplus reserves.