Daily Kennebec journal., 1908-11-16
FULL CONFIDENCE.
Continued from Page One.)

speculative advances usually cui-
inmate. The WarinesS of this eApe-
ricncd class was emphasized by the
evidence of artificial stimulation for
,he spe, ulation at some points and the
lcar that the excess of this kind would
bring early exhaustion and relapse.
With all these restraining factors act
ing as a curb, the undertaking progress
| al the buying of securities and the sus-
taining strength OF the undertonc of
the market were doubly impressive.
Two incidents were of especial in
huence in causing the reactionary
movements Which characterized the
market. On Monday there was a heavy
unloading of securities by the more
tinid on account of the decision by Il
United States court i'm favor of the
government contention for the unaW-
funess of the formation of the Amer
lean Tobacco Co The legal interpre-
tation there given of the scope of the
antitrust law showed so drastic an
application to practically all the mod
crn corporation formation that fresh
alarm on the part of capital was fear
ed For q moment the financial world
saw the possibility of such q course Of
consequences as followed in the wake
of the trans-Missouri freight decision,
the dissolution of the Trunk Line AS
sociation and the Northern Securities
merger decision.
The quick passing of the influence
of this episode was due to the convic-
ton, strongly held in all quarters of
| the financial world, that the late elec-
b.,I1 pT e
sentiment in the country from the rS-
| treme hostility towards corporations
and q determination to conserve the
| interests of capital for it's encourage
| ,nent in renewed employment and out
| lay. This conviction was indicated also
| in the confident predictions that were
current that an amendment of the
| Sherman antitrust law was likely,
| which would limit its application to
| merely unreasonable combinations in
| restraint of trade. The impression of
| the curbing OF anti-corpOration forces
| was lightenod by the refusal of the
| United states court of appeals to en-
| tertain the governments motion
against the decision setting aside the
$40 900, 900 fine of the Standard Oh co.
| The second incident. by resisting which
| the market demonstrated it's underly-
| ing strength. was the failure OF the
very positive rumorS that the Union
| Pacific and the Southern Pacific div
| idends We're to be increased. The
| furious speculation engaged in these
stocks by false rumors and the Violent
| reaction in them which followed on the
| disproval of the rumOrs had It's mo-
nentary unsettlns of the whole mar
| kCt.
| The speculative turmoil in the stock
market is backed by the continuous
| publication of facts, showing the re-
sumption Of business. Expert au-
| tthorites in the different trades while
| detailing authentic facts of the re-
vivial quite generally give warnings
| of eXagScration i'll the more generally
| circulated reports of the rate of the
| Improvement. The speculation has re-
| fused to be bridled by these warnings
| and has continued it's unabatcd activi-
! ty. Supplies of money are abundant.
| The Guictng of foreign politics has
relieved the securities market from one
source of pressure and the stiffenine
of the domestic money markets has
carried down the foreign exchange
rate.