The Washington herald., 1907-08-15
WALL STREET NOTES
Pope Failure No Surprise in
Banking Circles,
MORE EXPECTED TO FOLLOW
Not Believed, However, that Any
Bank or Banking Institution Can
Be Seriously InvOIved-Due En-
tireIy To Inability to Secure Ex-
tension of Credit-G0ssip of stocks.

New York, Aug I4-The failure of the
Pope Manufacturing Company was no
surprise in well-informed banking circles.
For a week or more. among many ru-
mors Of the exhausted credit OF Industrial
and mercantile concerns, the most per-
sistent pointed 10 the Pope and another
well-knoWn concern IN New England. In
regard 10 the other concern, 1t was said
that a good chance OF averting receiver
ship remained. though it was pointed out
neither surprise nor alarm should be felt
if others came.
Since the failure OF Miliken Bros. 1t
has been believed that many other con-
Germs have over extended their credits,
and bankers have accordingly been ex-
tremely careful In regard to thsiv dis
counts and their acceptances Of mercda lie
paper. There is hardly a possibility that
any such failure can seriously involve any
bank or banking institutions.
As far as the stock market is concerned,
the decline in prices has. if there remain
any to look at the matter sensibly, much
more than discounted failure reports. and
every other indication Of business recess
sion.
There was no difference Of opinion over
the cause of the failure. II was due en-
tirely 10 an inability to secure extension
of credit induced in part by the fright
at the anti-corporation propaganda.
In the respect that support was inter
posed when the market showed signs Of
Generalization, the market supplied a
repetition Of previous days in the decline
There was. however. the difference that
the support was not forthcoming until
prices had become more unstable than on
( the other occasions. On the others. the
support has come when the market was
l feverish.
To-day il did not come until the mar
ket was sick. and It seemed very sick.
[ Sick 20 the point of croal1ing." one
1 broker described it.
The sheets went through the clearing
I house cleanly. but the failure rumors
/ became more persistent subsequently.
| For the first time names We're
mentioned with considerable freedom. A
I careful investigation Of the rumtrs IN
which the names We're mentioned. brought
/ out assurances that these houses We're
in no distress, but pot a banker in the
street would have been surprised at an
/ announcement
! Bargain hunters. order LOT investors, and
/ such. showed some in the street to-day,
/ but did little buying. Il was everywhere
/ agreed that there was d very abrspt
| cessation Of this buying. which was a
faint one Tuesday. II could not have
/ been because stocks were not cheap
! enough for at any time in the afternoon
most of the shares could have been Sc
/ cured at lower prices than on Tuesday
and they must have come TO the belief
] that there would be a better time 10
! buy in the future. TWO men. for in
! stance. came down the river with about
/ 1850 between them, for the express pur-
/ pose Of getting some stocks and taking
I them home They found the atmosphere
so blue that stocks which looked cheap
/ began 70 seem dear. Their money Went
/ back home with them