The Birmingham age-herald., 1908-08-15
SHARP DECLINE IN
 STOCK MARKET Weakness of Rock island Sets
 the Scar Pace LAWSON'S PLANS COLLAPSE Boston Mans Bull Campaign In Ger tain Stocks Comes To Sudden Halt and This Acoentuates
 the Bearish Feeling.
iLAWSON'S PLANS COLLAPSE

New York, August 14.-There was heavy break in prices of stocks today and the volume of the market at the same time expanded materially. Misgiv ings which have been gathering force for several days over the evidence of the excess in the movement for the ad vance undermined speculative evidence and made 1t easier for the bears to top pie over prices. The bear element was active and aggressive and was connected with influential leadership of a kind which has been enlisted exclusively on the long side of the market up to very recently. There was no positive news development to account for the reaction, but there were some disquiting rumors regarding the finances of constituent members of the Rock Island system. Yes terday's violent outbreak in the Rock Island collateral 5's which are secured by St. Louis and San Francisco common stock was followed today by a slump in the St. Louis and San Francisco refund ing As and by wholesale unloading of Rock Island common stock. As it was announced yesterday that the unpaid portion of a s3,000.OOO loan now maturing had been extended for six months and the s7,OoO,OOO note of the St. Louis and San Francisco next due does not mature until December next, the direct cause of the demoralization of the securities was not clear. The inference was clear, however, of dissatisfaction. with the out look on the part of influential holders of the securities
 There was some disposition to assume also that the break in these securities signalize new leadership for bear campaign in the stock market. The col lapse of the Boston spectators pro- gramme was an unsettlng influence in the whole list. Stocks which had been most unanimously heralded for an ad- vance in the advertising campaign were unloaded with unconcealed precipitation. It became evident that the growing dis trust of the market had led to honey combing it with stop-loss orders and this had the effect of increasing the velocity of the fall When it had once set in de- cisvely. Imperative orders to sell very large amounts of stock when the price should reach a certain point on the de- cline made position very vulnerable for bear attack, the buying orders being grossly deficient to meet selling orders uncovered in this manner.
 Supporting orders which have been de- .terminedly followed up for some time past as a part of the programme of pro- tecting the market were withdrawn and prices were allowed to take their own course. While there was no striking new development in the news, growing atten- < tion was given to some phases of the slt- uation which have come into notice dur ing the week. The opinion gains force that the rate of improvement in the iron and steel trade has been over-estimated The price of copper was marked down at the New York metal exchange again to- day and copper warrants in London also declined. This caused an apprehension that speculative manipulation has played a part in the recent rise in the metal as well as in the securities concerned In the industry. Silver also dropped back to a new low record for an interval of five years, bars light quoted at 51A cents in New York.
 Z The chorus of opposition to proposed advances in freight rates and expressions from railroad officials indicating a com pliance with these protests indicates that hopes of relief by that means from the shrunken railroad revenues will not be forthcoming. It would be difficult to esti- mate how much speculative confidence has been built on the belief in such an increase in freight rates being accepted Estimates of the current movement show that New York Is still gaining on bal- ance from the interior and the sub-treas- ury operations are also adding a copious stream to New York banks holdings of cash. There was an increase In the sell ing pressure every time prices rallied and they were forced down to the lowest of the day at the weak closing.
 Bonds were irregular. Total sales, par value, $2,472,000
 United States bonds were unchanged on call IF