The Washington herald., 1907-01-09

New York. Jan. S.-Csreater weakness de-
veloped in the stock market to-day than
it did yesterday. that is to say, instead
OF the irregular advances and declines III
prices shown generally yesterday. quota
tions for the leading stocks to-day at the
close Of business were, as d rule, at reces-
sicns Of between one and two points.
Up to the last hour of business the
market was dull and Iistless. transactions
being half as much as they were on the
preceding day The market too, in this
earlier period, although inactive. was
really firmer than it was yesterday and
seemed to evince a greater resistance to
whatever. selling pressure was brought TO
bear against it than it did on Monday.
Market Fails to Rally.
one or two efforts to rally the market.
however. met with little success, and il
was evident that the willingness Of the
speculative traders to buy stocks at
brisk advance which characterized the
dealings in the latter part of last week.
had considerably abated Save for
further advance in call money rates to-
day-these rising from 61-2 per cent IN
the morning 70 10 per cent in the after
noon. with bank renewals commonly made
at - per cent, and some slight signs
of a hardening in the price Of time money,
there was nothing in the days events
that it could be said produced the sharp
fall in values that occurred.
There were. it is true, number of
rumors in circulation. which We're speed
ilv disproved, and which at no time
found serious belief I'm any quarter, re-
Earding the illness of one or more prom
inent bankers and il is difficult TO sup
pose that those tales were in anyway re-
sponsible for the vigorous selling of
stocks that centered in the last half hour
of the session. There was, however, yes
teTday and to-day, very heavy profit
taking in the market, for the account
chiefly. of Western speculative interests
This selling was mostly In evidence IN
the Atchison and the United States Steel
shares. TWO stocks whose strength has
been particularly noticeable for a fort
night past and which have not in this
period up 10 to-day suffered any consid-
eTable reaction.
Money Situation More Stringent.
The'true reason for the decline in prices
to-day was. of course. that the present
stock market. however firm and we'll
founded may be the hopes for its fu-
ture, is not yet broad enough to warrant
a vigorous and general buying movement
of the unbroken kind. with which specu-
lators have been familiar in recent years.
The money market, although IL is great
~ improved, is Still manifesUly in a COndi-
ton that requires handling, and, as pre-
ViOusly stated. there We're some slight in
dications to-day Of a stoppage OF that re
taxation in rates for the use of time
funds which has been going on ever since
the first of the year Money borrowed
on security wholly composed Of Industrial
stocks, which could be obtained yesterday
for four months at between and So per
cent, to-day lent at per cent, and per
cent was more strongly BID than 1t was
yesterday for time money secured by the
ordinary mixture OF railway and indus
trial collateral for al periods.
While snticipatiols have been at no
time acute that the Bank OF England
discount rate was likely 10 be reduced
in the present week views regarding the
financial situation in England assumed
perhaps, a little less pleasant cast TO-
day owing 10 the news that the 81 1850 900
had been withdrawn from the bank for
shipment 10 India and that S5.0O0000
would have to be sent from London 10
Brazil on Friday.
Big Telephone Loan Negotiated.
1t was announced to-day that an issue
of s25CO0.0G0 per cent three-year notes
of the American Telephone and Telegraph
Company had been taken by syndicate
and sold, and while the terms of The
sale were not made public. it was be-
heved that the notes were disposed of
on what was substantially a e per cent
basis, and that their issue was related
to the sale, last year, to a syndicate by
the American Telephone and Telegraph
Company Of a large quantity of con-
vertibla bonds.
The decision of the Court of Appeals. at
Albany. which became known in the
financial district during business hours.
that the Brooklyn Rapid Transit Com
pany is legally entitled to charge a Id
cent fare over its lines to Coney Island
was what had commonly been looked
for. and resulted in a quick advance in
the price Of Brooklyn Rapid Transit
stock. The stock. however. lost its Gain
in the general break in the market 1b,t
afterward occurred.
Union Pacific stock was one Of tho
weakest features OF the market TODAY
and the reason for this was universally
attributed TO the continunglv mfayor-
able impression made in Wall street by
the revelations regarding the companv's
aHalrs- Attention was directed during
the day TO the fact that the Union Pacific
Company's annual report for the fiscal
year ended June 80. 1903 at which time
the 5J-O00 shares of Southern Pacific
stock owned by the company, had been
sold on account Of the exigencies arising
from the suit brought to test the com
pany's right to own these shares, repre-
sented the company as still being in pos
session Of the stock in question AS the
matter stands, it is of course obvious
that the annual report Of the company
was falsiied or that the sale of stock was
a fictitious transaction.