Los Angeles herald., 1907-03-16
SHARP REACTION
IN SECURITIES
PRICES REBOUND VIOLENTLY
IN WALL STREET
Bargain Hunters Rush to Offices Of
Brokers to Secure Good Things
to Lay Away in Strong
Boxes
BY Associated Press.

BY Associated Press.
NEW YORK, March 15.-Yesterday' S
presages of further disaster in the
stock market were not fulhlled today.
A violent rebound in prices occurred
instead. The change in conditions was
outlined before trading began here by
the wide advances established In Lon
dor. Prices opened here in conse-
quence at spasmodic recoverios from
the demoralized closing yesterday
This inviting level of prices attracted
very large selling and wild fluctuations
indicating that some accounts were
hastily closed out which had been car
ried through yesterday presumably
with difficulty. This realizing shook
the market badly for time and the
violent reaction caused revival OF
made itself effective again and 1t be-
came evident that the panic conditions
have subsided. The market remained
feverlsh. but the violence of the fluCtua-
tions was in diminishing degree.
The appearance of brokers offices
this morning indicated the arrival in
the field in force of the calls of buyers
known in Wall street as bargain hunt
ers. 1t is estimated that purchases
during the day in some lots by buyers
of this kind aggregated several nun
bought go out of the street and appear
no more until some distant period of
imitation and excited succession when
they are added again to the burden that
make Ine UldulpuldLOIS VI d pOOlil
obliged to care for them. Buying of
this class in such volume on a single
day is rare, and formed a positive sup
porting factor in the market Much
greater was its sentimental effect in
reassuring holders of stocks that the
frenzied selling of yesterday at the
extreme declines was an unnecessary
sacrifice. This buying served to correct [
the impression of the utter prostration
of investment demand which was one
of che gloomiest portents of yesterday s
panic-stricken fiinging away of stocks.
The readjuS tment of sentiment was
not achieved without an exerton of a
large degree of main force in the mar
ket. This came in the shape of liberal
buying orders distributed in the prin-
cipal stocks for the account Of large
banking houses as a result of Consulta-
tions said to have been held last night
after the demoralized closing of the
market. The taking of such measures
of security was considered and was to
prevent the melting away of values
from running to lengths which might
threaten the general credit situation.
A good effect was produced by the
orders issued by the secretary of the
treasury after the closing of the mar
ket yesterday. although some doubt
existed as to the practical result to the
money market to follow.
The promise is for a weak bank re-
turn tomorrow If not deficit below the
legal requirements. The loss in cash
is larger than the surplus as it existed
last week. and it is believed by bank
ers that the loan contraction by stock
market liquidation has been fully offset
by the special requirements for credits
in connection with today's settlements.
Call money today was not so stiff as
yesterday. however, and early efforts
are expected from the return of the
payments made today to the money
market
The market showed growing effect
of the restoration of confidence and
closed buoyant Some of the days ad-
vances. while of sensational proper
tons, did not restore the losses in the
single days selling of yesterday.
Bonds were active and irregular.
Total sales. par value, $3.752.O00
United States new is advanced II per
cent on call.