The Washington herald., 1908-05-20
MARKET PRICES FALL
Break on Wall Street Due to
Top Heayiness.
OPENING STRENGTH IS LOST
Declines Come Toward Close of the
Days business, Following Recess
sion of Several Points in smelters.
Sensational Advance in Missouri
Pacific Gives Rise TO Rumors.

New York, May 19-A reactionary move
ment took place in the stock market to-
day, being the first one Of any i'm
portance within several weeks.
This.sU5s,s a, accounted for. in
Wall street as being due 70 any one Of
several precise and exact developments
IN the days news, but the real reasoT
for the decline was, beyond any question
whatever, the top-heayy condition of IN.
market, which has, for some time beer
apparent to ali self-possessed observer
OF the situation. The reaction may ol
may net run further, according to tn,
amount OF control over affairs whiel
those who had the market In charg,
for the last month may find still in theil
hands. But that a much greater fal
to-day than was actually witnessed nigh
have been recorded viii be disputed by
few people who have in the recent pas
looked az the market with any ordinary
degree of calmness.
Prices opened with a great outburst OF
strength following upon large advances
made IN the London market These gains
in London were indeed so large in com
parison with those daily exhibited Of
late as TO at once excite additional sus-
piciOn Of market manipulation. Never.
theless, the rising tide Of speculation was
not at first impressed with this view OF
the case and the upward movement Of the
market went on in an excited way.
Sensational Rise in Missouri Pacific
A sensational advance in Missouri Pa
eihe stock gave rise to the rumor that
the flowing supply of the stock was
IN a sense, cornered, and all sorts OF
stories circulated as 10 the losses OF vari-
GUS large spectators for the decline In
the last fortnight
The market. after the first half hour,
receded little, but soon became firm
again. After midday. prices began 10 as
sumo more irregulaTity and feVerishness
than had previously characterized them
and IN the last hour of business, follow.
Ing sharp break in American Smeiting
and Refining common stock, the whole
security list declined violently, closing
as a rule. at the lowest prices OF the
day. and at losses running from to 255
points. A greater fall. however. took
place in Smelling stock. where the net
decline was ~ points.
Tho correct technical explanation Of TO-
days market movement is undoubtedly
that the support to the market was with
drawn, At least IN many Of the active
stocks after the break In Smelling stock
and as the market was "honeycombed
with stop-loss orders placed by a great
many speculators for the advance, whC
usually adopt this method OF saving al
least portion of the profits in any event
II. yielded quickly 10 the impulse toward
q tumble that 1t received.
Influenced by News.
Finally to-day the report sent from
Washington shortly before the close OF
business that the outlook was dark for
the passage Of any currency bin at the
present session Of Congress was adduced
in ultra-speculative circles as a reason
for the markets reversal of form; and
If there has been buying Of stocks based
on the idea that Congress was likely al
its present session 70 pass any bill whose
effect would be 10 initiate the currency,
those who have INDUCED in such pur-
ehases must, indeed, begin 10 feel that
their hopes were based on slender
grounds