The Washington herald., 1908-05-28
PRICES DOWN and UP
Recovery Made After Violent
Downward Plunge.
MANY RUMORs OF TROUBLE
Department OF Justice Denies story
that Anti-trust suits Are to BE
Observation-Disclosures Ter
mimi May Pass Dividend-OIiSSOuri
Pacific Can Hardly Pay Cash.

New York. May 27-The market to-day,
after an irregular opening. took rather
violent plunge downward. recovered to
level for most of the active ISSUES than
last nights closing prices, and closed
with comparatively small changes on the
day, except in the case Of the Gould
stocks which were all materially lower
for special reasons.
The early decline In the general list
was accompanied by a great variety Of
adverse rumors. including the alleged In
tention Of the Department Of Justice to
institute suit against a number Of cor
porations under the antitrust law. the
supposed difficulties Of certain railroads
in arranging their finances. and the prob
able necessity on the part OF others OF
adopting n policy Of greater conservatism
in the matter of the disbursements made
10 the holders OF stocks.
Denied by Department.
The first OF these was denied by the
Attorney General Of the United States;
the second. so far as II related 10 the
Wabash-Pittsburg terminal railroad. the
interest on whose bonds win fan due on
June l. was treated as 1t has been treated
for months by those who know most
, about the company's affairs; that is 20
say, no denial was made Of the story that
|the interest on the bonds might be allow
cd 10 go 10 default. and as for dividend
reductions. Il appeared 20 be the general
belief that Missouri Pacific would not
continue TO make the payments in securi-
ties and could hardly AFFORD to pay at
the full rate In cash.
The stock of the latter was the weak
est feature Of the list during the FIRST
hour and though it afterwaTd rallied
somewhat. its net loss on the day was
the greatest sustained by aLy Of the
active stocks. Transit was another weak
feature American Smelling and Re
fining, on the other hand. was at all
times strong, and Union Pacific although
at one time decidedly weak. closed at q
level that with the dividend was the
equivalent Of last nights closing I'm
quotation. St Paul gained nearly point
and the Hill stocks. Northern Pacific and
Great Northern, were notably firm.
Stocks Can Respond Now.
The action Of the last-named issues
appeared 70 favor the theory that the
liquidation OF the Hartman holdings had
at length been concluded, leaving the
stocks fin a position 20 respond more
readily 60 a reasonable volume Of buying
No announcement was made regarding
the Union Pacific financing. but 81 was
itimated that the bonds would not be
offered for sale at present
Additional engagements OF gold aggre-
eating $2J00.00) for tO-mOrrOw's steamer
were announced. bringing the total for the
present movement up 20 about $3S, 600 000
! and the firmness OF the foreign exchange
market indicated that the demands upon
this side for the metal were not yet
satisfied.
All the grain markets were lower I'm
the forenoon. on the reports Of favorable
weather. but became very strong later in
the day, when May corn. which has been
practically cornered. rose 10 so cents q
bushel In Chicago. a new high record
for the present movement. and the high
est at which any corn option has sold
since 1902