The Washington herald., 1907-07-11

showed some support in the last part Of
the day, the leaders lacked snap and ami
nation on the rally 1t would not be sur
prising If the market experienced fur
Their setback before il exhibits sufficient
strength to cause short covering or any
renewal Of confidence.
Z. w. Crew. of Henry Clews & Co
War on trusts and talk of war with
Japan is more than the market can stand
Europe has been a free seller of stocks
here on the Japan question, while home
stockholders have been driven to follow
the same course. owing to the radical
measures to he adopted by the Depart
ment Of Justice to break up the alleged
unlawful trade combinations Well-in-
formed people recognize that the latter
az present is the more serious question
although there are professional jingOes
the world over who will take seeming
pleasure in fomenting trouble between
the two nations No one seriously be-
leves there viii be anything like real
trouble between Japan and the United
States but talk is cheap and naturally
creates more or less uneasiness. IRE
spective Of this, there are enough troubles
at home to worry the bull spectators
The money question alone is sufficiently
serious TO prevent a snccessfui bull cam
paign. There may be pin money in buy
Ing stocks for "a turn. but. with existing
conditions I think there is considerable
risk I'm holding them"
Herbert L. Jones. of A. o. Brown & Co
The situation al the moment IS some
what mixed. but there is no doubt that
undue prominence has been given the ad-
verse features. The renewed aggressive
ness of the Federal government toward
corporations will be viewed with much
less alarm within a day or two, and with
repayments of government deposits out
of the way. there viii be less fear Of
tight money The short interest in the
market has been considerably increased.
and the floating supply Of stocks Is not
very large By tomorrow the outlook
Will probably appear more hopeful and
conditions favorable for some recovery.
Benjamin Woodruff. of Post & Flagg.-
The reaction of yesterday continued
during most Of the day. and prices have
scored a substantial decline since the end
''~FN WIN 40 Vat' - ehNt Aftittat fANA
the combination of the President, Mr.
Lawson. and tiLht money would be too
much for any market on earth. 1t seems
too bad that just when some degree of
confidence in the situation was being re-
stored, the legal department Of the gov
eminent should proceed in its antitrust
crusade by methods SO unusual and harsh
as those indicated in the action against
the American Tobacco Company / think
the main detriment in the situation is the
condition Of the money market No such
exhaustion of reserves. az this season OF
the year. has been witnessed for over
ten years. and with heavy subscription
payments still 10 be made. il does not
make a rosy forecast for money rates IN
the autumn. However, this fact may work
out its own cure, as the heavy liQuida-
ton In the stock market should be fol-
lowed by some contraction and greater
conservatism IN business requirements
The advance in the market during the
last week has served one purpOse-tO call
public attention 10 the low basis upon
which many stocks are seIling-and I
think there is some evidence Of more
general interest in the course OF prices.
a great deal Of the reaction to-day was
caused by short selling, and the short in
terest In the market has again consid-
erably increased"