Omaha daily bee., 1908-09-23
NEW YORK STOCKS AND BONDS
Sensational Collapse in Values is
Feature of the Session.
ALL SUPPORT is WITHDRAWN
Rally Ensues During Final Hour, Due
TO Extensive Covering by
ShOFts-CIosinE Tone
Feverish.

NEW YORK. Sept. 22.-The disorder Of
the transactions az the Stock exchange to-
day during the demoralized break in prices
was not greater than the excessive con-
fusion and contradiction of the opinions
held as to the causes OF the collapse. That
Il was proof Amounting to a demonstration
OF the fictitious and excessive nature of
the previous advance was agreed to with
out dispute. There has been general ad-
past and also general agreement as to the
responsibility of groups of powerful capt.
talists for the advance.
The sensational collapse which prices
nave undergone has not altered the Convic-
ton as to the source of the operations
which advanced them previously, but the
motives which prompt the abandonment of
the previous position offer a subject for the
most divergent opinions. Nothing indicates
urgent necessity for liquidation, with sur
plus reserves of the banks still above $780,
V0OO, in spite Of the inroads made upon
them, and with call money easily procurable
at l per cent or Slightly above. This
strengthens a conviction that the leaders
or the recent speculation must have been
entrenched with supplies Of credits which
would have protected them from pressure
OF lenders which would precipitate any such
urgent selling on the market as is now
seen. When II is considered that the pur-
pose attributed to the movement to advance
prices was TO help restore confidence, with
a view TO stimulating business revival and
further the intended f~lotation OF new capt.
tai issues, the question arises whether that
purpose has been abandoned or regarded
as luilles FROM tne STANDPOINT OF the STOCK
market considered wholly as such. its sue
cess in attracting any general public de-
mand for securities and a distribution of
stocks at the high prices is doubted by all
close observers OF the market. On the con-
trary, the rise in prices had the growing
effect of bringing to market holdings of an
Investment or partly investment character,
both from home and foreign sources. The
necessity of accepting these offerings in
order to maintain prices proved a growing
burden to the efforts of the supporters OF
I the maFEaf Il ig not halfaNaA hnuyayaP
that II had become impracticable with the
resources credited to those supporters. That
the bitterness of the revived agitation
against corporations and the public resent
ment against the supposition Of corporation
influence in politics has proved a shock to
a feeling of security which had grown up
amongst groups of wealthy capitalists is an
Interpretation of the present market de-
cline much heard. The prolonged rise in
prices was accompanied, almost continually,
by public expressions on the part of prom
inent financiers that public sentiment to-
wards corporations was changing and that
the hostility had spent Its force.
The recent tone of the political campaign
and the sensation created by the Archbold-
Foraker correspondence, has shaken this
confidence amongst capitalists, In connec-
ton with this element Of the situation, there
was the openly expressed suspicion on the
Stock exchange floor that the disorder In
the market was a deliberate purpose OF
forces which had fostered the previous ad.
vance with the object Of pointing a warn
ing of dangers to be apprehended from re-
vival Of political activity against corpora
lions and wealth. Sales of upwards of 1OO,-
900 shares in today's market were ascribed
to brokers who have had the largest share
in executing the orders which carried for
ward the long advance in prices. Blocks of
stocks were hurled upon the market today
from such sources time after time, when
prices showed any disposition to rally. With
the market seemingly lacking all support,
the bears operated recklessly and their buy.
ing to cover shorts towards the end of the
day was on an enormous scale. The violent
recovery thus caused left gains for the day
in not a few instances and materially
altered the whole appearance of earlier
losses. The closing tone was feverish and
excited. with shorts still covering heavily
Bonds were weak. Total sales, par value
$.412,O0O United States bonds were un'