The times dispatch. [volume] (Richmond, Va.) 1903-1914, 1908-06-08
Doubtful Factors Arise and Dis
turb Conditions Prevailing
During Early Days.
MONEY MARKET is EASIER
Growing Confidence in Crop
ProniseD Discussion Of New
Currency Law.

NEW YORK, June 1.-The early
strength and the later unscttlement
in the sucurtties market last week were
attributed to tho elimination Of some
Of the influences relied on to advance
prices and the development OF some
moro doubtful factors in the situation.
The conclusion OF the session Of
Congress with the enactment OF an
emergency currency law was made the
occasion for quite demonstration in
q the stock market. Such a movement
has become almost a fixed tradition in
the market with the professional Gle
mcnt since the era when control and
regulation of corporation affairs be-
came prominent subject OF leglsla-
tive attention. The adjournment OF
Congress is regarded from the point
of view OF that element as promise
OF surcease from threatened activities,
which are viewed with more or less
nervous apprehension by security
holders.
Tho reports later In the week Of
further prosecutions in contemplation
against the Standard Oil Company. and
OF possible fine running to maximum
even greater than those In the former
suits, caused revision of sentiment
in the minds OF spectators who had
assumed period of exemption for
corporations. This feeling was re-
sponsible in part for tho sharp re-
action in prices.
New Currency Law.
There was perceptible also some
change of sentiment in prices as 10
tie effects to DO expected from the
operation of the new currency law.
The terms of the law were pointed out
az first as serving to relieve the
United States Treasury from some Of
It's responsibility for making the Gus
tomary provision for meeting the fatl
stringency of the money market
AS the running deficit in the govern
ment revenues keeps the treasury cash
resources drained, the question OF re-
sources to put into tho autumn money
market threatened some difficulties.
On the other hand the financial dis
trict was somewhat concerned over
the assumption that the new form IF
taxed currency. might be issued to meet
the ordinary needs of expansion in the
crop-moving period, and not reserved
for such extraordinary exigencies as
those developed last fall. Such an
assumption was regarded as invo1y.
ing a possible threat of Initiation which
might precipitate a sentiment of dis
trust amongst foreigners and send
American securities home to this mar
ket
Some Of the earlier bullish enthusi-
asm in the stock market was associated
with the concerted demonstration in
some parts of the commercial and m
dustrial world Of protested confidence
In the early resumption of prosperous
activity. The placing of some large
orders in the st. Louis district and the
enlargement of production among the
New England textile mills were effec-
tive aids tothis demonstration. 1t was
counteracted sharply by the announce
ment of a cut in the price of steel
bars. which was given formal sanction
by the United States Steel Corporations
Union Pacific Bond Issue.
Outside the element of professional
and habitual stock operations, 1t is
difficult to realize how large a part the
expected Union Pacific bond issue has
played in the movement of the securi-
ties market. Large operations have
been based constantly upon the sup
position that the friends of the Union
Pacific property primarily and bank
ers and capitalists, moved by similar
motives have fostered and protected
the upward movement of prices to help
on the demand for projected new capt
tai issues. The action of the market
from time to time seemed to show the
powerful control exercised by these
forces. With the conclusion of the
Union Pacific transaction there arose
misgivinss over the future action OF
the market.
Conditions in the money market
moved steadily toward greater ease.
Money on call loaned as low as per
cent. and rates for time loans also
were shaded. Foreign exchange rates,
nevertheless, yielded in New York. and
the end OF the gold export movement
was believed to be reached. There
was growing confidence in the crop
promises.