The Montgomery advertiser., 1907-01-19
THE STOCK MARKET
LIQUIDS or DEF REssION GATHERED
 OVER MARKET TODAY.
The Weakness Which Has Been spotty and Intermittent Hitherto . Became General and
 Acute.

New York, Jan. 1s.--cIouds of depression gathered over the stock market today anA the weakness which has been spotty and ip~ Ttermitent hitherto became general and acute. This was result rather of a crystal ization of sentiment on current topics of discussion than an important factor in the situation
 Moreover it became very evident that large activities were traceabie to a profes- 1 sional party of operators on the bear side Of the market. This party showed every evt- dence of skillful organization and aggress- i've leadership and there was a general dis- position to attribute its generalship to . veteran operator whose activities have been dormant for a considerable period so far as public information has followed them The bold methods pursued by the newly organis- ed party is shown by the widespread procla- of the plans for the day, including special pressure to be directed against United states Steel and Union Pacific It was candidly explained moreover. that this plan of strategy was intended to be directed against what seemed to be the Port Arthur of the market with a view to securing the key to the position. This figurative Btate- ment and explanation is based on the cone- parative firmness with which those stocks have resisted the general weakness hereto fore and the sympathetic effect this had in sustaining the general market, while profes- sional short selling was clearly traceable in the days market, the vulnerability of values. confirmed the views of the bears and proved the existence of the conditions on which they based the attack. Instead of encountering opposition or any effectivs support for securities attacked, the fall in prices intensified the pressure of the liquid alton and gave much of it the, appearance of urgency which always gives currency to rumors of financial stress about the stock exchange. The estimates of the weeks currency movement emphasized the grow- ing ease of the money situation with an in. dicated cash gain of $14.00o000 But the sentiment in the stock exchange is formed to the belief that the accumulation of mon AV af ina fa fN ha the benefit of market speculation but is like ly to be bespoken fast as available to take care of the enormous issues of new capital The terms on which the new cap itai is to be offered for subscription will assure an attraction to privileged Bubscrib- CTS. such stockholders at least. which is calculated to outweigh the advantages of- fered by any of the securities now in she open market. This fact together with the poor success of recent underwritngs where such attractions were not sufficiently invit- ing and the high interest rates the railroads are paying for temporary loans on note is- sues to carry out the urgent work of im- provement is accepted as warning that the prevailing level of values in the market is too high to compete with the hew offer ings incoming from many quarters.
 The course of the foreign exchange mar ket also dscourases hopes of any offsetting relief of our money necessities Yester- days reduction in the Bank of England dis- count rate was followed today by a harden ing in the open market discount rate in
 
 al exchanges in favor of London. This corroborates a supposition that the purpose of the Bank of England aids in reducing the official discount rate was to resume its control of the open money market which had escaped them owing to the discrepancy in the private and official discount rates.
 By borrowing the Bank may make it's five per cent rate effective there and raise a barrier against the extension of credits to New York borrowers.
 The December foreign trade statement published today showed decrease in the excess value of exports over imports of over $43. 900. 900 compared with the preceding December. New Yorks control of the ex- changes is thus shown to be much lessened. Sterling exchange was strong here today
 Stocks enjoyed one good rally in the af- ternoon when shorts took profits and re- duced their lines but another determined drive against the market dislodged heavy stop loss orders and caused a threatening slump in St. Paul. the Harrimans. the Hills, Reading and Amalgamated Copper The closing was, in consequence. much unsettled and feverishly active.
 Bonds were irregular. Total sales par val ue $2.477.000. United States bonds were un- changed on call.
 NEW YORK CLOSING STOCK LIST.