Los Angeles herald. [microfilm reel] (Los Angeles [Calif.]) 1900-1911, 1908-12-03
NEW YORK STOCK
AND BOND MARKET

NEW YORK, Dec. 2.-The violent speou-
latve sentiment in the Rock Island securi-
ties which broke out yesterday continued
in the early dealings today and threw the
market into somewhat of turmoil. There
notable subsistence Of the extreme when
the authorized statements were made OF
the financial operations about which the
speculation conferred, followed by q violent
break in prices at the end of the day. The
comparisons of these official statements
with the rumors which had preceded them
disclosed so much Of eNaggeratlon ana as
tortion Of the rumors that there was dis
position to hesitate about following lead
ership in the market founded on such mo-
tives The tone of the market thereupon
fell into an unsettled state and there was
notable contraction In the dealings. AS
sertions were published over night that the
ST. Louis San Francisco bonds had been
sold to the amount of 5000, sufficient
to provide for all maturing obligations OF
the company falling due this year and next
and to furnish resources beside for extern
sixe projects in contemplation. THESE re-
ports pointed to the banking house which
usually acts for the Hartman interests as
the source of this financial assistance and
the inference was broadly conveyed that
association for mutual advantage between
the Hartman and Rock Island systems was
TO be assumed a consequence. Specula-
tive enthusiasm, after rushing into the mar
ket during the first hour, was somewhat
dampened by the formal statement of Kuhn.
Loeb & Co.. the Union Pacific bankers that
they had Withdrawn from the st. Louis d
San Francisco financing, which had been
taken over by Speyer & Co, who have
acted in Rock Island financing on previous
occasions The incident regarded as
involving some show of friction rather than
a reapproachment of the financial groups
concerned The secondary effect on specu-
lative sentiment harmful rather than
beneficial Rumors were also circulated of
a project for the formation of holding
company to bring the various Gould prop
critics into closer relations. These also met
with disclaimers from authoritative sources
The statements of october earnings Of the
Hartman Paclhcs were relied upon to give
fresh stimulation to the market, but their
publication failed to bring any response
their favorable character having been over
discounted. The comparisons with the cor
responding month of last year in these
statements were, in fact, less favorable
than were contained in the September state
ments. The contributory cause to the latter
reactionary tendency was the continuance
of sitter rates in the call money market.
The engagement of gold for export was an
influence on this, the $1,600,000 to be for
warded to Paris tomorrow already being
The rates at which new bonds are coming
on the market and the evidence of this in
todays news is calculated to make an i'm
preston on lne money market with the
rate of absorption of available capital thus
indicated. The time money market was af-
fected to some extent, and the tone was
called flrmer. The late tendency of the
market was downward.
Bonds were irregular. Total sales, par
value, s7,5O4, 600. United States bonds I'M
changed on call.