The Washington herald., 1908-05-05
MARKET TEST HARD
Wall Street Called Upon to
Support London Fall.
COPPER PRICES IN DECLINE
Disturbances in India Have Effect
on Markets in the English Capital.
French Influence Also Felt In New
York-UniOn Pacific Demands for
Money Do Not Aid Situation.

New York. May 4-The stock market
was called upon to-day TO sustain
genuine. il not very severe, test of its
strength in the outbreak of rather unex-
pected liquidation here for the account
!. OF London.
Prices Of all the leading securities on
the London exchange were unsettled and
depressed by the news OF the trouble on
the Indian and Afghan frontier, and by
further rumors received during the day
Of a conspiracy in Calcutta TO assassinate
Lord Kitchener, all of these reports going
to show a state of decided unrest in
Great Britain's Indian possessions.
Sentiment in London, too, was not a
little disturbed by an impression that
prevailed there that the forthcoming
English budget would. in its necessary
reQuisitions for money, be more or less
Of a disagreeable financial factor; while
a cause for uneasiness was a decline in
the continental markets, which seemed
TO focus principally upon stocks in Paris,
and brought selling orders for securities
in general from the French capital.
Copper Prices Down.
The price of copper also declined in
London. because, as was commonly
thought. Of the large addition made to
the flowing supply of the commodity in
Europe by the exports of the metal that
have recently taken place from the
United States. Because of all this, the
price Of consols suffered a sensational
drop to-day of rs points, and London
was a seller in this market of guam
tity OF stock currently estimated be-
tween $1,000 and $1,000 shares. The mar
ket here, however, sustained itself under
this test, Ia what was popularity re-
garded. all things considered, as a very
satisfactory manner. 1t declined gradu-
ally, and in a well-ordered fashion, and
the movement did not seem to be pro-
ductive Of any assaults on values by
Spectators for the fall.
Prices Are strengthened.
Later on, prices strengthened consider
ably. being at one time very nearly at
Saturdays closing, but in the afternoon
they again succumbed under selling
pressure that seemed a little more vio-
lent than that which had preceded it,
so that as a rule net declines Of be-
tween one and two pounds in the prom
inent issues were shown.
No doubt the course Of the market to-
day was governed not simply by Euro
pean developments. but by a continu-
alton Of realizing sales from local op-
erators that very plainly put IN an ap-
pearance at the last stock exchange
session. and undisguised manipulation for
the purpose Of pTof1t-taking went on in
deed in a very open way. Two stocks,
the Missouri Pacific and Southern Pa
cific shares were both very sharply
active, while the rest of the market
was weak for no especial reason that
any one could think OF, except that pos
sibly a squeeze" OF a supposedly large
short interest IN them was in progress,
and both OF these stocks although losing
a large share OF their rise, closed at
small net gains
linton Pacific Bonds.
The second reaction in the market in
the aftegnon was due 10 some extent 10
the not wholly agreeable announcement
made by the president Of the Union
Pacific Company that the stockholders
of the company at their special meeting
tomorrow would be called upon to au-
thorize bond issue twice as great as the
largest estimate Of the probable size of
the issue heretofore made. It was said
that the company would in no event
actually put out more than $50, 600 of
the new bonds at this time, but that
il would ask that s100 000. 600 of bonds
be authorized in order TO provide for
future expenses as urgency for these
might arise. AS these bonds are a first
mortgage. the fact probably is that they
will be sold without excessive difficulty
70 banking syndicates that may be
formed.
A more doubtful probability is. how
ever, whether the bonds will be bought
freely by the general run of individual
investors.