The Washington herald., 1907-10-19
WALL STREET NOTES
Absence of ExcitementMark
Days Trading.
LOOK FOR PROFITS
Bears ResOurceful In Their Use of
Argument Taking Advantage of
COnditiOns-SeIIing Was Free from
Noon Until the Last Half Hour.
American Smelling Storm Center.

New York. Oct. 1s.-The market quieted
down to-day after a strong opening, and
until about II o'clock transactions wer,
few and there was a complete absenct
of excitement But il was the calm be-
fore the storm and traders who were
good prognosticators of market events
were able TO predict from the way prices
faded away that a violent outburst was
near at hand. None thought of opposing
this. The whole trading element with
one consent bent before the storm and
allowed the liquidation to proceed with
out making any attempt to support
prices. So far from opposing the storm
the professional traders concerned them
selves with plans to profit from its havoc.
devoting their energies to increasing the
destruction in order that their chances OF
gain might be all the greater.
The violent outburst OF selling closely
followed the publication Of an announce
ment that was essentially reassuring, and
that this piece Of news was Interpreted
in another way showed that the bears
were resOurceful IN their use of argu-
ment and could turn to their own use
matters which rightly treated could have
been made TO good service for their adj
Versarles. The particular piece of news
which was that the clearing house, after
/ a thorough investigation Of the affairs
of the national bank which had been the
subject Of a good deal of discussion in
the past few days, reported the institu-
ton perfectly sound and agreed 10 render
it any assistance which it might need.
Taken by the right end this was a good
bull weapon. but taken by the other end,
il was otherwise. The bears fixed II TO
suit their own purpose, and 50 what the
traders on the floor saw was that the
| clearing house had found il necessary 70
come 10 the assistance OF any national
bank.
The selling Of stocks was fast and
/ furious from about noon until the mid
I die Of the last hour, when it was an
nounced that the Mercantile National
Bank settled its debit balance at the
clearing house. and that the latter in
stitutiOn had called upon all the directors
/ Of the bank 10 send in their designations
/ The street then began 10 feel that the
worst feature in the situation had dis
! appeared and the market entered upon
an orderly recovery.
American Smelling and Refining was
the real storm center. There was large
and urgent liuidation in this issue and
in other stocks held by the same in
/ terests. The reason was said 70 be that
as long as Amalgamated Copper and
Southern Pacific had figured as coiiat-
eral had been called by a prominent
trust company, and that as a result all
these stocks had 10 be thrown upon
/ the market IN quantity. All OF them made
new low records for the year, with the
exception Of Southern Pacific, which. al
though it did not drop quite 10 its low
price of March last. sold lower than at
any previous time since it was placed
upon s per cent basis.
United states Steel was the Gibraltar
of the market. The storm beat all
around it, but could not affect It. Wreck
and ruin were everywhere else. but steel
stood up uHharmed. The enormous size
Of this issue suggested weakness. but
/ the actual assault proved that instead
I OF being weak, the stock possessed a.
most impregnable strength.
Supporting orders were put into some
OF the most active stocks when the
market appeared 20 be on the point o.
decentralization. and these helped to
stem the tide Of liquidation and 10 i'm
press some of the shorts with the ad-
visibility OF covering