The Birmingham age-herald. [volume] (Birmingham, Ala.) 1902-1950, 1907-01-22
BUOYANT OPENING
NOT SUSTAINED
Market Fails to Resist Renewed
Selling Pressure
REBOUND TOWARDS CLOSE
Canvass of the Situation over Sunday
Finds No Warrant for Rumors of
Financial DiffcuIty-Money
Worked Much Easier.
REBOUND TOWARDS CLOSE

New York, January 21.-Conditions in
the stock market were much confused
again today. The market did not MAIN
tain the buoyant show of strength with
which it opened, and did not even make
a good resistance to the renewed selling
pressure which developed during the day.
The inference was prompted that the
upshot of prices at the start was duo
largely to the requirements on uncovered
shorts, and the higher prices which were
caused by this buying were taken adj
vantage of to renew the liquidation as
was the case last week.
There was a buoyant rebound at the
last again. 1t was not surprise that
considerable uncovered short interest
should be developed In the market where
the downward course of prices was ONE
arrested, and turn up was effected. 1t
was hoped also that the arrest of the
rapid decline of prices would fortify the
position of long accounts in the market
so as to relieve them from the necessity
for covering the commitments as was
obviously the case last week.
There was buying at the opening in
great volume which was attributed to the
large banking interests and which was
accepted as intimation of determination
to support the market. The time occu-
pied since the market closed on Saturday
in a canvass of the situation found no
warrant for the rumors of financial diff
1fculty which were in circulation Satur-
day, and there was an understanding
about the stock exchange that some ar
engagements had been perfected for the
protection of a number of accounts which
were overhanging last weeks market.
In the loan crowd also the rates on a
number of stocks which had been most
freely sold last week, indicated the pro-
portions of the short interest in those
stocks. 1t was not apparent that the
decline of last week had resulted in
bringing in very unwieldy selling orders
to commission houses, such as are likely
TO follow Sunday interval after con-
siderable decline. The various conditions
combined to awaken the uneasiness OF
the bear party, and prompted them to
the active buying of the first hour. With
the completion of the buying of this
character the action of the market be-
came disappointing again to the hopes
of an extended recovery.
The nature of the selling in the Inter
borough Metropolitan stocks had an in
timidating effect on sentiment 1t was
accompanied by rumors that additional
capital issues would be forthcoming from
this new quarter. On the other hand
much attention was attracting by a re-
port that plans We're shaping in some
of the railroad corporations to modify
their intended OUTLAWS for the coming
year for extensions and betterments. The
New York Central was directly indicated
by these reports which were without Of
fetal sanction. however. Such a ten
dency was accepted as promising some
relaxation of the strain on capital sup
plies. But the bearing on the prospect
for continuance of industrial activity at
the present level was taken large ac-
count of also.
Money continued to work easier and
call loans were made for the most part
at 5 per cent or below. Interest rates on
time loans also continued to decline.
Foreign markets were affected by tho
expectation that the Imperial Bank of
Germany would reduce its discount ra TO
tomorrow, and there was an easier tone
In the foreign market here. The renewal
of liquidation during the day served to
revive reports of the necessary scaling
down of some important accounts of
long standing, and which IL is slInnosed