The Washington herald. [volume] (Washington, D.C.) 1906-1939, 1907-08-08

New York. Aug. THE decline in the
stock market. which began on the first
market day after the imposition OF the
s29. .24o,OO0 Standard oil fine. was furthered
to-day by the sharpest break in prices
that has occurred since the days Of tie
panic in March.
II was a million share session Of the
stock market for the first time in many
weeks. with the maximum activity in the
periods Of the sharpest declines.
The scores Of weak holders whose ac-
counts were sacrificed accordingly got the
lower prices to-day. Upon them and up
on other holders Of securities the effect
Of the break was the more disastrous,
because It followed declines averaging
three points in the previous days Of the
week.
The fact that stood out above all 9TH
ers in the days trading was the absence
Of support from the big holders Of secu-
rites. II was even reported constantly
throughout the day that the fnancieTs
belonging to the Standard Oil party. or
associated with it in various enterprises.
were throwing over their securities out
Of disgust with recent developments.
Reports Not COrrOBorated.
The opinion Of men closely connected
with these fnanciers supplied no cor
roboratlon for these reports. On the 9th
er hand there vas an abundance OF ex-
pressions to the effect that both these
ananciers and others OF prominence were
in no mood to increase their security
holdings.
These men. It was said on the highest
authority. gave not the slightest support
TO any security or the list. They did not
cause the break. but acquiesced compla-
Gently enough in the operation for a de-
cline conducted by others.
There was no doubt. however. that the
break was due entirely 10 the anti-corpo-
ration developments Of the last few days,
the break giving more acute expression
than on Monday and Tuesday to the pes
sinistic feeling aroused n the financial
district by them. n al quarters OF the
street discussion Of market factors was
concerned with those developments alone.
The Standard Oil fine was but one Of
them
Equal, or greater concern was manifest
aver the proceedings against the South
ern Railway in Alabama, the trouble be-
tweer the Arkansas State authorities and
the Rock Island. the concerted action Of
western attorneys general against the
railroads, and rumors Of further prose-
cutions for rebeting.
No encouragement TO Holders.
There is no encouragement 10 holders
Of securities" said a hnancier connected
with the Standard Oil party, $50 long as
the only celebrity attainable by poEti-
clans is the display Of malignity against
corporations 1 am not referring 10 the
Standard Oil fine, though, Of course, 7
have my opinions about that. The prin-
cipaI disagreeable development is the lack
of respect to writs of Federal courts. In
Alabama We have the imposition of a pen
atty for appeal to the protection of the
United States constitution and the courts,
in Arkansas a similar situation is threat
ened. Heretofore investors have felt re-
lance on the Federal courts and the con-
stitution as a protection against confsca-
ton Happenings in three States force US
to modify this conclusion"
Professional traders. headed, it was
believed. by a powerful party OF bear
operators. took full advantage Of the pes
sim!stic feeling prevailing in higher quar-
ters. With every assurance that they
would not be opposed by the leaders Of
finance. these operators exerted selling
pressure on the market confidently and
aggressively.
Offerings OF large blocks Of stocks made
csncertedly at two periods of the day
forced the throwing on the market Of
many margined accounts. the dissolution
Of weak pools. and caused a large amount
Of general speculative liquidation.
Break in Union Pacific.
The break in Union Pacific carried Il
nearly Is points below AS the price at
which it sold ten days ago. There were
transactions in more than 10000 shares In
this stock. and by far the heaviest losses
Of the day were sustained in it. Scores Of
traders, who bought Union Pacific and
Southern Pacific two weeks and more ago,
in the speculation induced by the large
earnings OF the companies, were forced TO
throw over their holdings It was ru-
mored that some of these were members
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