The Washington times. [volume] (Washington [D.C.]) 1902-1939, 1908-09-20
DECLINE IN SECURITIES PAST DUE,
SITUATION is THE BETTER FOR
THE REACTION.

NEW YORK. Sept. I9.-Wau Street
has heard the down-brakes whistle and
considers that the right-abOut-face
movement, executed during the week
Just drawing to a close. is about N line
with what was to be expected. and
nothing more than a wise trimming of
sails for the possible eventualities of
November with special relation to the
dOings OF the third day thereof.
That the market has continued TO
score advance day after day for the
last ten weeks, with scarcely an inter
ruption in it's upward flight in the face
of the political uncertainty. has been
an evidence. not OF underlying strength,
but OF boosting support. of a we'll
conceived scheme to make use of the
millions OF cheap money and distribute
a few thousands of shares at the top
or not far from it to the army OF
trailers who have been following the
market on its record breaking flight,
simply pryamid!ng their profits and pro-
tecting them with stop-lOss orders.
Agree on a Scare.
There appears to be y considerable
unanimity of opinion on the part of
the big men of the Street on the ripe
ness Of the present for political
scare. Mr.. Hartman returned from
the West, and instead OF going into
particulars regarding the various
schemes that he was supposed to be,
maturing, he deliberately threw a
bomb into the market by declaring that
the Presidential candidate Of the Dem
ocratic party had a chance for cleo
ton. calling attention to the apathy in
nd -,
the final result.
Mr.. Hill came down from the North
western stronghold with just about the
same brand Of gossip. and then Mr.
Bryan hit New York, where his pop
ularity caused a sensation.
All this had its effect.
It is doubtful if there is anything
in the financial. industrial, crop, or
political situation that is depressing.
II was time that stocks turned
around and sold on the down grade.
1t was a movement desired by the
banking interests OF New York in an
effort to reduce the loans. not because
of any strlngency, for there are ample
funcs in all banks, but because stocks
wela at too high a level for the last
Of September with a Presidential cleo
ton at hand.
HaTriman's Plans.
UnquestionabIy Mr.. Hartman and his
associates, including the richest oper-
ators in New York. contemplate a
higher range OF prices and develop
ments along lines that have not been
made public, but pending the closure Of
the campaign, the trend will be toward
conservatism and speculative market
based on speculative conditions. chiefest
Of which is the election outcome. Wall
Street has its theories regarding the
eventual outcome of the campaign now
being waged. Mr.. Hartman has pro-
mulgated an alleged feeling Of indiffer-
ence on his part as to the nations
choice. and the theory is advanced that
the market would not sv~er from
Bryan's choice Other magnates have
apparently shown apathy, but financial
interests and stock market circles want
no experiments. preferring rather the
opposition that they know and are IA
miliar with rather than the announce
ment Of new and old theories that would
brighten the man with q dollar.
Crop conditions have been influential.
. but only to a moderate degree. Indi-
cations point to less bountiful harvests,
a prolonged dry spell being responsible
for a shortening Of wheat and corn
estimates At the same time prices are
advancing and high, and the farmer
faces a fine outlook. while the consumer
pays the price for farm products.
Favored Securities.
In the rather violent fluctuations. of
the week some stocks have been ia
vored and some soaked by the bears
Fries. Reading. Southern Pacific. SteeIs,
Union Pacific. Baltimore and Ohio, ard
Wisconsin Central were especially
worthy Of note. They lost 2, 3, 10 8
points, Reading losing 80 and Southern
Pacific 612. with Steels 2d3 points on.
In the group in poor favor were the
Hills, Union Pacific, Shelters, and St
Paul. with losses varying up TO 10
points, Shelters being the goat" of the
list. In the latter's downward career It
carried Tom LawsOn's prediction OF III
for the common stock TO the boneyard.
as the stock dropped just 10 points.
despite the big advertising campaign
The Hill stocks lost severely, sal
points net for the week, on question Of
the ability of the roads TO pay their
usual rate of dividends In the face Of
decreasing business and talk Of de-
creased yield. Mr.. Hill himself has
been delivering pessimistic utterances,
and advances are not in keeping with
the trend of events.
1t Was Due.
As a matter of fact the reaction Of the
week was past due. It was indicated
in the closing days of the previous week
by the calling of margins; by the
plethora of stop-loss orders a point OF
two under the market, which when
caught went even further. tuiablirg on
top OF each other. unpyramiding ths
pyramid OF profits in rapid fashion.
Higher money rates and higher for