Los Angeles herald., 1907-03-22
UNSTEADY TONE
IN STOCK VALUES
SMALL INVESTORS APPEAR AS
BUYERS
Belief Gains Ground That Bottom Has
Been Reached-Various Features
of the Money Market
Reviewed
BY Associated Press.

BY Associated Press.
NEW YORK, March 2t.-There was q
notable shrinkage in the volume of
dealings in stocks today which was re-
garded on the whole with satisfaction
by the financial community. The ex-
pansion of dealings lately has been so
clearly an added burden to the market
as the increase in business was almost
wholly upon the selling side that the
reduction in volume Is welcomed. There
was little or none of the urgent selling
pressure today which has developed at
one time or another during session
for many days past. The early market
made some dsquieting dips and there
was more or less feVeriSh feeling per-
ceptlble in the movement of prices, but
there was a diminishing scale and ten
dency was toward distinctly quieter
market.
The situation seemed to be that effec-
tive support was forthcoming at last
for any hostile attacks on prices. The
market was enabled to advance slowly
as consequence. The demand was not
large, however, and the gradual hard
eniug tendency after the openin g
weakness was interrupted by many
halts and backsets and intervening
periods bordering on stagnation.
The terrors of the bears nave been
dissipated to some extent by the fail
ure of confirmation of any of the many
alarming rumors of failures and en-
barrassments which Were kept in con-
stant circulation yesterday and today.
4
day of the buying in odd lots which was
supposed to represent the presence in
the market of the small investors, at
tracted by the rate of investment return
on stocks offered at the existing prices.
Operations of large class on margin
were almost entirely in the hands of
the professional class and their many
shifts of position accounted for con-
stant backing and filing of the market
The incident of the day to which most
Importance was attached was the ad-
vance of the official discount rate of the
Bank of France from 8 to 3 II per cent,
carrying the private discount rate up
with it to 3B per cent. 1t was gener-
ally assumed that this movement was
directed against the London market
pressure on Paris. The recent high rul
ing rate of sterling exchange at Paris
was attributed at first to remittances
from Paris to take part in the Japanese
loan conversion at London. Some opin-
ions also attributed the result to a pro-
cess of Iemittances from Paris prompt
ed by the desire of French capital to es-
cape the proposed income tax.
1t was reported that the Bank of
France was acting in conjunction with
the government in refusing to part with
gold for export to oppose the move
ment of French capital away from the
country. The actions of the French
bank, however, broadly considered, is
accepted as combination of the world
wide tightness of money markets.
Today's Bank OF England returns
outstanding credits, which was the de-
cisive factor in the decline in conditions
of the bank, treasure and bullion items
being little changed. The period Of
tax collections in London is now passed
and it is not considered probable tha'
the Bank of England will control the
money market so absolutely as here
| tofore
With the April settlements out of tn,
way it is doubtful whether the tact
| agreement which New York bankers ar,
assumed to be under to take gold from
the London market will be no longer
observed.
OFFICIAL announcement by the Eric
railroad today of the postponement o.
sweeping plans for new outlays marked
another stage in the retrenchment pol
icy of the railroads in order to relieve
the undue pressure of the insufficient
supplies of capital available.
Some stocks ended today at the best
prices. but the general tone was rather
unsteady.
Bonds, were heavy. Total sales, par
value, $1,59S, 900.
United States bonds were unchanged
on call.