Los Angeles herald., 1907-12-10
CAPITALISTS
AID MARKET
STOCKS BID UP FOR A PURPOSE
BY FINANclERs
Wall Street Aware That Protective
Measures Are Being Put in
Operation to Support
Securities
BY Associated Press.

A'S <hSsOCldleu ITeSS.
NEW YORK Dec 9-The stock market to-
day gave plain evidence of operation of pro-
tective measures for the support OF prices
against depression. The vigor with which the
market rallied from the declines at the opening
and the determination with which prices
were bid up of the half dozen stocks which
are Of most influence in shaping speculative
sentiment on the whole list gave testimony
TO benevolent control being exercised by cap
ftalists of the largest resources. The fact of
this support 10 now generally recognized about
the stock exchange, while opinions vary widely
as to the motives.
Cynical observers profess to see in it nothing
beyond a devicS TO secure an advantageous
market for holdings which large capitalists
were practically forced to take on in this
period of the panic to avert the utter demor-
alization of affairs In which they were inter-
ested.
The liberal view of the favor shown
toward the recovery of continuous read1ust-
ment of prices warranted after the utter
prostration to which forced liquidation mad
carried quotations, and that the general con-
dition would be helped by this readJustment'
affecting securities that form the basis Tor
extensive money obligations and which ngured
in the balance sheets in many instances, for
which the annual statements are now in prepa-
lation.
The effectiveness of the support for the mar
ket was the more notable by reason OF the
rather acute weakness shown by few special
stocks and which would in an unfavoraole
market movement, be of marked sympathetic
effect on the general list.
This weakness of the copper group, inciud-
ing American Smelling, was pronounced and
directly attributable to the unfavorable
trade developments The drastic reduction IN
the output OF copper disclosed in the entire
shut down Of some of the Amalgamated Copper
company's properties, pointed accurately to the
source of doubt reflected in the movement or
these stocks. Further dividend reductions were
counted upon as an outcome of this action.
There is growing appreciation of the con-
sumptive demand which figured in the recent
large exports of copper and which arc now al
legged to be going into European stocks instead
OF into the consumption.
The TRANSFERRED stocks from here to abroad
is said to have been made only with a view
to superior money facilities there for holding
purposes. The imminence of the dividend
meeting of the Western Union explained the
special movement in that stock. Fears were
entertained that the shrinkage in general bus
iness activity. always reflected in telegraph
avenues as well as the losses incurred by the
strike OF telegrsphers- would prompt the d.
rectors to pass the coming dividend or to ma
terially reduce It, This kind Of expectation
clear in the case of other industrial stocks
notably Distillers, Securities. The call loan
market firmer than on Friday due to
Increased stock market borrowings and there
admonitory influence on speculative ex-
tensions.
Another influence the call loan market
however was the stirring of life in the time
loan market and i'll that for mercantile paper
Increased supplies were reported in those mar
kets. and bankers and money lenders were less
rent on converting their funds in the liquid
form of call loars. ..-,..-i. .lst .4s e
Some Withdrawals of that form of credentials
evidently were being transferred to the others
a clear intirnation of the whole money situa-
tion. This development aroused a hope that
the easing of money might come before the
turn of the year, although the expectation has
been that the January settlement would have
TO be met before this happened. Some OF the
demand from out of town banks for currency
kept up and premium was still paid.
Another large engagement OF gold in London
for import resulted. but it was secured at
decline in price The late selling OF United
states steel had sympathetic effect on the
market and made the closing tone easy.
Bonds were irregular. Total sales par value.
So ops, ,0OO United States 2s registered advanced
2l, the coupons q and the IS and As Il per
cent on call.