Los Angeles herald., 1907-12-04
STOCK PRICES
ARE ERRATC
FLUcTUETIoN ON WALL STREET
HARD TO EXPLAIN
Speculative Operations Prove Some-
what Bewidering and Market
Has Decidedly Profess
sionaI Tone
BY Associated Press.

BY Associated Press
NEW YORK, Dec. 3-Prices were put
through remarkable series Of fluctuations to-
day at the stock exchange without any per-
ceptible changes in the current of news and
events. The movement, in fact, was rather OBJ
viously manipulated and professional. The
trading fell into extreme dullness after time
of this experience, which was somewhat be-
wildering In its effects on the minds OF the
room traders, who were left in condition or
weariness accurately reflected in the languid
movement of the market in its intervals OF
repose.
The feverish whipping UP of the market and
the excessive irregularity of the fluctuations
were regarded as devices to conceal the trend
of the speculative operations going on and to
facilitate the accomplishment of the ends
sought by giving the market an appearance OF
great breadth and animation. The aggressive
bidding up of one or two stocks was believed
to be directed against important outstanding
short interests in this stock, of whose position
their opponents seemed to have accurate knowi-
edge Reading and American Smelling
were conspicuous in this class and the course
OF these two stocks dominated the whole mar
ket for a time.
orders to realize with large buying orders to
cover shorts during the period of activity. re-
sulting in a material reduction of the specu-
lative position on both sides. The puplicatlon
of the presidents message was made the signal
for closing up of speculative commitments as
the various forecasts of the message had been
made the DaSlI Tor SuCn uedlHSS III tiic idoe
few days. The actual perusal of the message
disclosed little material to prompt the adoption
of a new market position
There general agreement among hnan-
cial authorities that the Improvement In the
banking position had not proceeded Tar enough
yet to warrant any important extension OF
credits for use IL stock market operations
The recovery in the premium on currency
which approached 2 per cent today. emphasized
this view. Various requirements were reported
to explain the highest currency premium.
The meeting of pay rolls, the needs of i'm
porters in making cash payments of customs,
and especially the persistence of the demand
of some of the western and southern banks
for cash, all were in evidence The immedi-
ate future of the United States treasury fin
ances is also coming in for some serious dis
cussion. 1t is generally understood that the
treasury has met the extraordinary drain OF its
available cash holdings in the building up of
deposits in the national banks by everk book
keeping expedient. in the transfer of disburs-
ing offices and other accounts, as we'll as by
deferring outlay on application wherever pos
sble, but the postponement of such expend-
itures does not evade them, and their payment
will necessitate the replenishment of the treas
Try cash balances
To draw on the deposits with the banks just
at this time or in fact before the turn of the
year. would involve conditions that would be
viewed with SOME anxiety. The tone OF tne
public address published this morning by finan-
cial leaders of recognized information ana ac-
cepted authority, especially on the possible
extent of overextenslon of enterprise yet to be
rectihed had a chilling effect on some OF the
purely speculative enthusiasm, which had been
stirred up in the stock exchange neighborhood
in the last few days.
London continued to sell stocks in this mar
ket owing to decline of the open market dis
count rate. The discount rate at Berlin also
receded, which development was viewed with
special satisfaction in view of the weak re-
turn of the Imperial Bank Of Germany for the
week and the anxiety that is felt over the
Berlin position generally. Last prices Of stocks
after the numerous fluctuations were about the
lowest of the day
Bonds were irregular Total sales. par value.
s3seO,oOO. United States bonds were unchanged
on call.