The Washington herald., 1908-02-09
MARKET IN DECLINE
Drops Caused by Real Sales
of Paying Stocks.
sPECULATORS NOT IN MOVE
Confidence Not Impaired by Action
OF Securities, H0wever-MOvement
show Reserves Are Higher Than
Compelled by Law.

New York. Feb. SIN response to no
other impulse apparently than TO a vague,
but general. impression which steadily
gained ground yesterday that a good deal
OF liquidation. forced and otherwise, was
overhanging the security market prices
OF stocks to-day declined more violently
than on any previous day during the
week. and indeed, it did seem as if much
of the selling of stocks was in the nature
OF real liquidation rather than of mere
speculation for the fail.
Large sales OF Reading common stock
constituted a feature Of the opening deal
ings, and after this time and continu-
ously up to the end Of business. there
were further notable declines IL the
Union Pacific. Northern Pacific. Balti-
more and Ohio, Missouri Pacific, and in
all the leading railroad and Industrial
shares. Closing prices we're generally at
or but very little above the lowest figures
of the day and the net declines varied
from 212. rs. and pa points in Reading.
American Smelling & Refining, and
Brooklyn Rapid Transit stocks to be
tween l and points in other active and
standard shares, while there were the
usual larger recessions in other quarters
where inactivity and wide variations in
quotations is the accustomed rule.
No Cause for Recession.
To-day, as was the case yesterday and
the day before. a reactionary movement
seemed to pervade all the worlds finan-
ciaI markets without any definite or strik-
ing cause therefor. In banking circles
however, no other particular reason for
the decline was generally ascribed than
that certain indefinite quantity OF
stocks were being sold for the account Of
individuals who had been helped through
last years troubles ana that the bear
party among the stock exchange specula-
tors. seeing this condition of affairs and
the current torpor of the investment mar
ket We're assisting the decline in the ira
ditional fashion.
Although more or less curiosity was
manifested to-day regarding the figures
OF the weekly bank and trust company
statements, which for the first time in
the history Of Wall street We're 10 be col
lated and published simultaneously, the
matter cut very little. if any. figure in
the stock markets actual operations.
Trust Companies Debtors.
1t was realized that the local trust
companies had been drawing money heav-
fly from the banks during the week in
order to fortify their reserves against the
time of exhibit and, Furthermore. that
the absence Of past showings of this
kind left no basis for a comparison of
the statements when they were published
late i'm the afternoon. so they were not
regarded as being particularly illumina-
tive by the small number Of people then
remaining in their business Offices.
Owing to the influence described. the
average statement OF banks to-day. COM
piled after the former fashion. reported
a decrease in cash Of slO,9ISS00 and "a
decrease in surplus reserve Of SlO.6g5, $50
These figures differed very little from the
return printed for the first time of the
actual figures at the close OF business on
Friday Of the clearing house banks. Bank
reserves We're in each instance nearly 2S
per cent a very high rate for this time
of the year. The statements of the trust
companies and State banks exhibited sur
plus reserves Of 25.2 per cent, or nearly
10 per cent more than the legal minimum