Albuquerque morning journal. [volume] (Albuquerque, N.M.) 1903-1926, 1907-08-13
PRICES DROPS
WALL STREET
IS WORRIED
ANTI TRUST 0UTCRY
Disturbing FACTOR
Standard Oil Prosecution Over
shadows All Other Stock
Market Issues; Prospect of
Brisk Money Demand,

oil decision and the popular cutlery
against corporation misdeeds over
Swallowed an other issues in the stock
market this week. Prices have un-
dergOne q sharp reaction and there
are Indications that liquidation is still
incomplete. In the public mind the
decline in securities is largely attrib-
uted 10 the recent attacks upon cor
po%rations. Undoubtedly these have
had a disturbing effect. but they are
by no means the only or even the
chief cause. As has been persistently
pointed out. the main reason for re-
action IN the stock exchange Is the
exceedingly unsatisfactory condition
Of the money market resulting from
general OVERRIDING, Bank reserves are
low and without liquidation there viii
be no chance for replenishment be-
fore crop-mOving demands begin.
These have been delayed somewhat
by backwardness Of the growing sea-
son but they must soon be faced. II
Is unfortunate that these demands
promise to assert themselves at a time
when financial reserves are low and
when the demands Of general business
will be very pressing. 1t is dOubly
unfortunate that such demands should
come at a time OF unusual strain IN
the security markets: for the latter
are in an exceedingly sensitive condi-
tion and likely to be the first to yield
TO monetary pressure. II all accounts
are true, there is likely 10 be a brisk
demand for funds this fnll. General
business in the west Is still very ac-
tive and with prices at their present
high level the efficiency of money is
materially diminished. Relief must
come from somewhere, and VIII be
most readily by pressure on
the point Of greatest weakness. which
at present is in Wall street. Credits
are still over-extended and In some
quarters there has been more or less
over-trading our supply Of capital
Is exhausted. ana In consequence new
enterprises must be postponed until
country has had an opportunity
Of ~rcplenishing IT'S supply Of capital
The reserves Of the New York banks
a week ago stood at $1,000. geo. |
against 1000. 900 last year. Sf2.0 00.-
600 THE year before ana $50. 900, 600
In 1904. The Western bank reserves
are also lower than usual, but this is
explained by the fact that they
are large holders of commercial par,rI
which VIII shortly nature .nd iro- /
vide them wi.h uoals Ger Tosiug the
'rops. N-everthclcss. the llrC,s %. sire
after Is also felt directly 6r Indirect
at this center. How New York IS /
To stand any particular drain
rom the Interior remains TO be seen.
The situation abroad is not favorable
o our obtaining amy great assistance
here. The European markets have
trains u troubles OF their own be-
which they are less disposed than
.ormerly 10 give AS financial aid, ow-
ng In part To- recent developments In
corporation affairs. The treasury Is
n good position FOR affording assist
nee and considerable help may be
from this quarter.
Outside Of Wall street conditions
re generally satisfactory. 10 now
ooks as II we should have "a good
.orn crop. probably the third In size
n VA history. u weather conditions
favorable. This important
rop has made very rapid recovery
the past two months. and now
Ives fair promise Of AN abundant
ield, provided it escapc early frost.
he condition OF spring wheat is poor.
nat the winter wheat harvest has
urncd out better than expected, and
reliable crop authorities are
boxing FOR "a yield possibly as high as
90, 000, 00O bushels. For corn the out
Is 2.GOO. 600. 000.
Throughout the west business con-
on an active scale. There has
cen no recession OF consequence in
lles Of goods going into consump-
.on. The masses are prosperous and
pending freely. our farming classes
re richer than ever in their history :
better able than ever To with
and any agricultural setback. For
inately. there SIS no prospect of the
litter az this writing. Tho only sign {
recession in any direction is that
,fcrred to above. the stoppuge Of !
cw business enterprises imposed los !
be- limitations OF the money market. !
in an parts of the country !
rc becoming exceedingly conservative {
nd are effectively applying the 7
rakcs on questionable operations. In
70 part of the country can any pes '
mism be discovered corresponding 60 Q
hat which exists on Manhattan Is y
south of Fulton street. That Z
'ems tu be the blucst spot on earth I
ist now. Many OF our great corpora q
leaders are much disturbed and I
.splcased az the recent activity Of :
and state officials For e
bis they hardly be blamed. since r
,t q few state attacks are indiscrim q
and ui-iudEcd. Nevertheless. am y
"a of reform Ga corporation manage Il
.ent has already begun. the effect of u
hitch will ultimately be beneficial tn c
ockhoidcrs and win do much too v
ards removing the political and so- 4
al discomfort which has hpcn rising 4
"a threatening degree for several q
past There Is Toe best of rel- b
10 FOR stating that the federal EoN- =
has mo- "trust smashing pole J.
q in view. There has been much exc !,
.rcraiion az 90 The Intentions of the 4
,ternmcnt in this respect and ar a
is likely to be- enforeei so far as 2
.n De asccrtalncd d. o. quiet bot firm u
,licy 81 compelling thr great cnrpor- q
ions O. obey THE law equally with Il
r humblcsf citizens OF course h
ere D. more 0r less public hystcria