The daily morning journal and courier. [volume] (New Haven, Conn.) 1894-1907, 1907-08-09

yesterdays violent collapse in prices
was clearly in evidence to-day, and
promptly reflected in the heavy de-
clines in the first hour. The recovery
which followed was due apparently to
the fact that urgent liquidation had
run its course The shorts, left un-
covered, furnished sufficient unsatis-
fed demand to account for the rally
ing tendency,
The identity Of the sellers was UNI
disclosed, but the motives We're not
beyond defining in the money situa-
ton Although there was a cynical
disbelief that the rich men, supposed
to have fostered the rise in stocks,
were being compelled to sacrifice their
holdings in a crumbling market, it
was not questioned that attempts to
support the market were no longer in
force on behalf of the abortive cam
paign. Left without artificial support
ing measures, the market was vulner-
able to attack and incapable Of alb
sorbing any sales to take profits.
Quotations for the Union Pacific
had been pushed UP to above go, COM
pared with the subscription at 80, at
which they had been offered to stock
holders, have disappeared from the
tape The reversion of 1000, 600
out of $75,000,000 of these bonds to
the underwriting syndicate was sup
posed to be the motive for attempting
to revive speculative interest in secur-
tiles. Payment of $4,000, 900 sub
scriptions of these bonds fall due to-
morrow, and S15,000,000 subscriptions
to Southern Pacific preferred stock
next Thursday,
The obligations together may ac-
count for some of the pressure to Sc
cure resources by stock market liqui-
dation, The course of interior ex-
changes is another clear index Of the
source of growing pressure. Deposits
at the sub-treasury were made to-day
of $4,000 for Geographic transfer to
San Francisco and 100000 to Chi
cago.
Published warnings from western
bankers are finding their way into
Wall street that over-trading and high
prices for labor and material have
brought about inflated credits and
given prospect of close money mar
kets during the fall Smaller banks
in the west have unusually large hold
ings of commercial paper for maturity
in the fall upon which they rely to
furnish balances at the reserve cen
ters where they draw to move crops.
Discounts rose in London to-day, but
the increased f1rmness in the local
money market was sufficient to depress
foreign exchange again.
With the relief afforded by lquda-
ton, stocks were able to maintain the
recovery. Reports from Washington
of the intended criminal prosecution
of heads of offending corporations
kept alive the uneasiness over that
subject. A new low record for British
consols was an incident
Copper went to a lower level both in
London and New York metal ex-
changes. New York Central reported
heavy deficit below the dividend re-
quirement for the quarter endingewith
the same date, which was but little
more than met by the increase fon that
period in the earnings available for
the dividend. The market was soon
| oversold, however, and those obstacles
were overcome on the recovery, and
the market closed strong and at net
advances on the day.
Bonds were dull and easy. Total
sales par value $1,212,000
United States tours advanced Ia
per cent