The Montgomery advertiser., 1908-12-28
FINANCIAL REVIEW
WEEK PAST WAS SHORT ONE. BUT
 OPINION WAS UNsETTLED.
Great Financial Groups Have Been Brought Into narmonious Re- iations to Adsast Panic's
 Hav0ea.


 New York. Dec. 27.--The closing of the stock exchange last week on Thurs day evening. to remain closed until Monday morning. made the week a short one in financial affairs. the bank ing business on Saturday proving largely nominal with the exchange not in session. There were developments of importance notwithstanding the shortness of the period and the sudden shifts in speculative sentiment in re- gard to the identical circumstances in- dicated rather unsettled state of opinion.
 This fiuctuating state of sentiment was fairly illustrated In the change of views of the- significance of the Colo rado and Southern purchase by, the Chicago, Burlington and Quincy. In the eni-demofalized break in prices on Monday this incident was made to figure as one of the inipelling causes and again in the later strong rebound, t was assigned equally as the ground for enthusiastic speculative buying.
 The first point of view was due to professed apprehension that this new departure in policy on the part of the Hill railroad interests might forestall struggle similar to that precipitated by the first control of the Burlington in the joint interest of the Great North ern and the Northern Pacific which had such disastrous consequences to the speculative position in 1901. The fact of a rupture of old relations having occurred between E. Hawley, the con- veyor of the control of the Southwest ern property and E. H. Hartman, was made to seem to corroborate this.
 Other circumstances conduced to the break in prices on Monday, the forma- ton of influential opposition to the American Smelling and Refining Com pany bringing into hostility other im- portant groups of financial powers. The substance of the testimony of Andrew Carnegie before the Ways and Means Committee of the House of Represen- tatives, besides the bearing on the tarfn revision question, was interpre- ted as rather sharply critical of other influential powers In the steel trade and as outlining divergence of views here which might foreshadow hostile acts.
 A large factor in the hopeful spirit which has grown up over the financial prospect is the conviction that the most powerful of the great financial groups had been brought into such state of harmonious relations in the adjust ments of the havoc wrought by last years financial crisis that insurance was secured against. any destructive hostilitles for an indefinite time The misgivings felt in the carly part of the week were shown to be largely dissipated 'by the subsequent rebound in prices. t
 In this rebound. the alleged exten- sive plans of E. H. Hartman for re- adjustment of railroad relations once more played an important part al- though that gentleman's supposed se- rious illness was cause of acute weakness of stocks in the early part of the week. A revised estimate of the Colorado, and Southern transaction saw in 1t a prelude to other combinations along the same lines which would bring all the available South western and Gulf outlet railroad systems into combination with the different North western railroad powers.
 This line of conjecture opened up an extensive field for speculative activity and was the motive for striking mar ket movements in various groups of securities The speculation in the fixed interest securities of these corpora tions was, consequently as active ad- vantage in the stocks and price move ments were as wide. It was this phase of the bond market which accounted for its great volume during the week The money market gave evidence by It's tranquility and it's rather easier 1 tone of the renewal of confidence that the year end period of extra require ments would be safely bridged and the | returning ease of the period of rehux | to bank reserves after the holidays l reached without serious danger. En- i eroachments on the cash holdings of | the banks continued large but the | early liquidation in the stock market | and supplies attracted from outside | sources relieved the requirements