The Birmingham age-herald., 1908-02-24
SANDS
 IN STOCK MARKET Conflict of Forces Tends to An
 Unsettled State BUSINESS IS CONTRACTED Inroads on Earnings of Corporations Keep Market From Advancing To
 High Figures, But stabil-
 ity Is Continued.
BUSINESS IS CONTRACTED

New York February .23.-Last week s stock and bond markets were kept unset tied by some very drastic liquidation in weakness at those points and aroused considerable apprehension as to the causes which might lie behind this ur- gent selling. The general list of securi- ties, nevertheless, showed good resistance to the sympathetic effect of these points of weakness and reflected the needs of an uncovered bear account. which was re- buying stocks previously sold. The char acter of this buying was pretty clearly revealed in the action of stocks when news unfavorably affecting them, but which had been definitely produced, was published. These events were followed by upward movements In the stock affect in the same way with developments in the general situation which were regarded as unfavorable, thus demonstrating an oversold condition of the market At the same time the course of events will be regarded as offering evidence of a check 
 cral business and industry, leaving room for estimates of the limits of the de- pression and various opinions of the fu- ture- course of affairs. The shifting movement of securities prices and the contest between differing speculative forces in the market were an accurate index of the conflicting views over the future.
 On the all-important question of the re- vival of investment demand for securi- ties. some disappointment was felt over the effect of the New York city bond sale, the success of which was regarded as a demonstration of the available supplies or capital for safe investment at good rate of interest The general bond market nevertheless, was not stimulated by the showing and gave evidence of the oppos- ing influence of the large inroads on earnings of corporations, especially of the railroads. which have resulted from the contraction in business and industry,
 In money some hardening tendency was perceptible and raised the question whether the limits of the decline Tn inter- est rates had been reached.
 Rearing on the outlook, the state Of the government finances has come in Tor discussion, as they may affect the money market next fall when the usual demand for crop moving purposes shall set In. United States treasury operations Tor relief at that time have come to be largely relied on as established custom. At present the condition is complicated by the extraordinary measures Of relief taken last fall, when all available gov ernment funds were placed on deposit with the national banks to stay the panic. The governments necessities are now in- volyed by the large current monthly de- felt in the revenues and the maturity on August 1 of the per cent Spanish war loan, and later of the temporary certlh' cates put out by the treasury as anNemer- gency measure during the financial criss. Large withdrawals of government de- posits from the banks seem to be indl- cated. therefore, as necessity and de- pletion of the usual resources of reiet TOT the autumn money markets.
 The decline in railroad earnings has drought forward the subject 'of wage re- dnctions, and attention is focused on the question by the letter of President Roose- welt to the Commissioner of Labor, with instructions to investigate the conditions. The moderate improvement In the demand for steel products has been accompanied by great dullness in all branches Of that industry. The copper market has been a center of depression.