New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1908-08-23
FINANCIAL AFFAIRS
FIERCE STOCK CONTEST.
Harr3man-Standard OIL Interests
Punish the Shorts-Enor-
nous Dealings.

In an active contest between the two oppos- |
ing elements on the Stock Exchange yesterday |
transactions ran beyond million shares, with |
the final range of values in the greater num- |
Der of active issues above the last quotations OF
the preceding day. At times the bears showed
an amount of strength sufficient to bring about
declines Of a point more, but In the late
trading they were forced TO cover to an extent
that resulted in substantial net. gains in the
issues which in the best part Of the week SUI
fered from selling pressure, especially New YORK
Central Great Northern, Northern Paclhc, the
Rock Island shares and United States Steel.
There was much manipulation and, accord
ing brokers the floor, operations fire.
quently reflected the fact that many traders lost
their heads The most significant feature of
the dealings was found in the fact that the
more important market interests are still COM
mitted to the bull side of the market and that
they are in position to make 1t extremely GAN
gerous for the traders who have been selling
stocks short and at the same time circulating
rumors affecting the financial standing of rep
resentative properties. The ticker reported
transactions in enormous blocks, and there were
SO many marked differences between sales that
suspicion naturally developed regarding the
genuineness Of part of the business; indeed,
after the close of trading it was reported that
the Stock Exchange authorities purposed to make
an investigation result of the apparent evil
dence of q form of speculation not permitted
by the rules Though reported sales amounted
10 O99 900 shares the chief part of the trading
was supplied by eleven stocks. in which trans
actions reached total of 1,O324OO. with the
heaviest dealings in American Smelling, Read
ing and United States Steel
Union Pacific and Southern Pacific While
active closed under Fridays last quotations. and
IL was believed that the Hartman Standard OIL
party neglecting for the times these stocks
while supporting other issues in which tremen-
dous selling orders appeared soon after the open
ing Standard Oil brokers were aggressive buy
ers throughout but the fact that short &C
count of more than 100000 shares was covered
in the first hour without advancing the market
more than a point suggested to some minds that
stock was being freely supplied by other impor
tant interests. The days movements were based
almost entirely upon speculative considerations,
and it was thought likely further lively con-
test would develop in to-morrows market be-
tween powerful Wall Street factions.
With money cheap at present there does
not appear much chance of q protracted bear
campaign, especially the bank statement for
the last week does not hold out the hope OF any
change in money rates in the near future. The
return of averages Of the Clearing House insti
buttons shows an increase in cash of s6,081,00O.
reduction in loans Of s34 800 and gain in
the reserve above legal requirements of s5.52s,-
$50, to s63,1479T5, which compares with $685.
400 at this time last year and s429o,o75 in the
year before. The statement Of actual conditions
as of Friday night shows a much larger de-
crease in loans than In the average statement
and an increase in reserve of SOCIETIES. State
crease in cash than that Of the Clearing House
members and a large gain in loans. The com
bined statement of all the banks and trust com
paries shows total cash of s513,27160o in this
city outside Of pocket holdings There was
practically no business in the money market yes
terday but in foreign exchange unusual activity
for half holiday was reported Sterling rates
declined IL points, the weakness being due in
great part to the decline in cotton, which has
brought foreign buyers into the market
The collateral trust per cent bonds of the
Chicago Rock Island & Pacific Railroad Sc
cured by the stock of the old Chicago. Rock
Island & Pacific Railway. and there is reason TO
believe that of the so-caled big men in
the Rock Island company have sold heavy lines
of stocks Of the Rock Island Company of New
Jersey and have purchased large blocks of the
collateral bonds. 1t is not impossible these men
have IN view the development of conditions that
will place the Rock Island In the position 1t once
occupied as the leading granger railroad through
a divorce from both the St Louis & San Fran
cisco and the Rock Island Company Of New Jer
sey Control of the collateral trust bonds prac-
ticaly would carry control Of the old Rock
Island company. and it is not impossible-in-
deed in well informed quarters it is considered
probabie-that the depression in the price of the
collateral bonds has been part of campaign
by which the Rock Island will get out Of its
entangling alliances. but with the same people
IN control who started the companys expansion
policy.
The St Louis San Francisco has not de-
veloped IN the way hoped for, and there
many Rock Island interests to-day who appar-
entity would be willing to let Frisco go its way
alone. just the Atchison reorganizers of more
than a decade ago did when they decided the
Frisco would be Of no value to the new Atchison
company Rock Island got the ST Louis & San
Francisco at large price. and something
has got to be done to finance $1,000 900 Frisco
notes which fall due in December. The Rock
Island by itself is a great property. but II is
carrying a heavy burden, which is reflected in
the attacks upon its securities the Stock
Exchange, with rumors that receiver will be
appointed There is reason in the old Rock
Island companys financial position why receiv-
ershtps should be thought of, but there
tain SPECTATORS who for reasons of their own
are circulating ibelious reports about the Rock
with he effect weakening h.