The farmer and mechanic., 1907-03-19

kl8F- fz@~44 Bt-f8bU 81 TaEaFsaAsN GF4sT bs@s
and FOR other measures 81 regulation
If the courss- Of proposed measure
of the national government looking fo
additional restraint uson corporation
powers ana administration. especially
II the issuing of bonds aud stocks
and the fixing Of valuations If rail-
roads with Il view to traffic charges Ia
b. permitted u the railroads The
impression of al the discussion has
been greatly heightened by the courSa
II prominent men in the railroad and
banking world. which was construed
~ an indication Of the keen anxiety
they were Ia bring under Of the pros
pcct offered by this course If events
't'he attitude of appeal mas awakened
the apprehension Of holders II stocks
This is especially true, of course of
speculative holders, buf the more per
manent investment holders have been
affected also - some extent The as
sumption has gained ground in the
Wall street district that this "as the
feeling of the great controlling inYes-
tors themselves in the leading railroad
systems OF the country and the fear
has taken hold Of the speculative I'M
agiuatiOn that holders of securities 81
This preeminent class Werc unloading
their holdings indiscriminatcly In a
spirit Of utter hopelessness OF the fu-
ture earning or dividend paying power
Of their properties.
Early in the week this feeling Vas
somewhat allayed in speculative CIR
eles by the visit OF j. Il. Morgan 10
Washington and the announcement
that conference was 10 be hdl pc
tween President Roosevelt and the
railroad presidents u discuss the sit
uation. This incident created a great
impression on speculative sentiment,
4uaough the ideas Of what was 70 De
tone that would change conditions
were OF the vaguest When the out
pouring Of stocks began again the fact
mat such a step was cousldered desir-
able and necessary by so influential q
banking representative only served 10
aggraVate the disquiet.
nv "Wednesday also there had de-
veloped q pinch in the money mafekt
caused by the preparations Tor the
heavy requirements of March 10, IN
Guiding large dividend payments ana
stock and railroad note subscriptions.
This necessitated some calling Of loans
Dy the banks and the result was sell
ing Of stocks. The loan contraction
seemed to reach suddenly TO accounts
that had proved inVulnerable TO pre-
yiOuS pressure and the first moderate
outpourings of stocks grew INTO the
avalanche of Thursday, which sWelled
into panic conditions before the end OF
the day. The money situation must
De allowed a large share of response
bility for the conditions which nave
grown up The tightness OF money Is
now world wide. the pressure in Lon
don and in Berlin being almost as
acute as in New York. The very active
trade conditions call for extraordinary
supplies for the circulation, and the
result is q depletion Of case holdings
IN banking reserves on which to base
credits.
The excessive demands for capital
to place in fixed forms has been sub
ject Of observation for months. 1t Is
| very generally assumed that the active
speculation of last fall left large hold
| ngs in the hands of men of large
wealth that have never since been
cleared up owing to the persistence
Of the general speculative public III
refraining from the market. This is
supposed 10 account for q large part
| Of the forced liquidation, and to eX-
plain also the absence of failures due
| to the heavy fall in prices. The source
Of the selling remains undlSclOSed
+! however, and the difficulty therefore
| of forming an opinion on It's motives
or reassnableneSS are elements OF con
| tinued .disquiet in the stock market
The general feeling was, of course
much reassured by the effective rally
! Of Friday. which seemed to ward Oil
| 4 threatened disaster, but opinions or
/ the future. especially as to the efec
| upon general business of the course O1
| the stock market, are III a cOnfuSCC
state.
Bonds were little affected by the
| crash in stocks, except in the convert
| ible issues.
| Il. S. new As have advanced L.
| per cent on call during the week.
Total sales of stocks today 924 ,2Ot
shares including: Copper 7S,30O: Ana,
| conda 20,600; Atchison $4,000; a. {
| L. 1900; Sugar 2.200; Tobacco 500
c. and O.. 6.200; l.. and ~. LOO
Reading 127.3O0: Southern $500; dt
preferred 500; Southern Pacific "a,
| 900: L. S. Steel 46,60O; Virginia Car
| olina Chemical Co., LOO.