Evening star. [volume] (Washington, D.C.) 1854-1972, 1907-08-17
BULLS. AND BEARS
Special Dispatch to The Star.

NEW YORK, August 1.-THE regularity
with which the market has alternated this
week between extreme weakness bordering
often on utter Generalization and moderate
strength has naturally been extremely
puzzllng. At least on three days important
interests were confident that the market
would be held in check. but the following
day they saw prices go down to new low
levels. On Thursday the degree OF con-
fidence in the general situation was greater
than on any previous day. but the ease
with which the market sold off yesterday
was. of course. disconcerting. Some op-
orators still believe that about a week ago
a large pool was formed to protect the
market whenever 1t should border on de-
moralization. They do not understand
however that the funds which they have
been told were gotten together for this
purpose would be used to protect the mar
ket at the higher levels established on the
rallies.
On this ground the declines yesterday aft
ernoon are explained to considerable ex-
tent. These interests believe. however.
that If the market should show a tendency
to decline violently from last nights closing
prices substantial buying orders would
again appear. such were Enthusiastically
in evidence soon after the opening Thurs
day. In some circles 1t is intimated that
the plan is to hold the market thoroughly
we'll in hand until the arrival next week
of a prominent tinancier. who, it is believed.
will be the most potent single factor In the
market during the coming week.
Naturally there is considerable apprehen-
sion as to the character of the addresses
to be made next week by President Roose-
welt and Secretary Taft. 1t is acknowledged
that the market is in such a sensitive posi-
a a{l,,
strued adverse to the corporations the
professional element would take fresh ad-
vantage of the situation and depress prices
still further. realizing the great lack of con-
fdence which already exists and which
would be only intensified by such outgiv-
ings of the chief executive and one Of his
closest associates. On the other hand. 1t
is thought that # ba to I
have very substantial rally. There are
some who think that the Presidents orig
inal ideas for his address were modified
materially in some particulars as result
of his conference with Secretary Root.
-
A very we'll defined division of opinion re-
garding the money market during the COM
ing autumn still exists. Some interests are
relying to a great extent upon the contin-
uous liquidation of securities to relieve
money market conditions. Others are
equally comment that business VIII lessen
materially during the autumn and early
winter. and that from that source will
come the most potent relief to the money
market. A shrewd observer of Wall street
conditions for many years says that in his
opinion more attention should be given to
affairs outside Wall street than to those
within 1t by those who wish to form an
idea Of what the situation will be generally
a few months hence. He states very posi-
lively that in his Judgment Wall street has
not been so thoroughly liquidated for ten
years as it Is now. He does not look for
any serious trouble here. even II the prices
Of securities should go materially lower.
In his opinion monetary conditions the
world over are such that the chief trouble
industrial and mercantile corpora tons.