Los Angeles herald., 1908-07-25
NEW YORK STOCK
AND BOND MARKET

NEW YORK. July s4.-speculative liquida-
tion on a large scale broke prices Oh s.ocks
badly today. The fall was sraaual anu re-
strained in the early stages, but became more
nrecnitate as it progressed, uncoVering stop
loss orders. knowledge OF the exisence Oh
such orders emboldened the professional ope-
RAZOR "a make short sales and to offer conces-
sicns in prices in making these saless thus
forcing declines. Speculative liquidation and
short selling have been in evidence this week.
hut were overdone by the force of the buying
demand 1t was in this respect the market
showed notable change today the buying
orders except in prices below the opening
level showing material shrinkage. The order
from President Roosevelt to push retrlal OF
the Standard OIL company was professed
motive for much Of the selling, especially
amongst those who had bought stocks largely
~, the ground of the decision in favor of the
Standard Oil company. The buying demand
prompted by that decision was fed by releas-
ing sales yesterday and the day before by
those who had bought stocks at lower level
The digestion of profits in that way is sup
posed to have been very large and TO represent
moreover the passing Of stocks from the hands
Of the powerful groups which have fostered
the advance into those OF scattered holders.
much less wealthy and much less skilful ana
practiced in the conduct of speculative ope-
rations and the manipulation of prices. Ihere
was developed an element in the speculation
whose dealings had been largely reduced at a
handsome profit and which was thereby maze
Indifferent to further maintenance or advance
and an opportunity to get back stocks at an
advantage. That such technical considerations
were largely responsible for the turn in the
price movement there can be no doubt The
extent and duration of the advance which had
already occurred emphasized this condition.
The nature of the reports put in circulation TO
sustain the upward movement has pointed to
the excess into which 1t was running. Yester-
days reports, for instance, that the United
States Steel corporation subsidiary officials
were meeting here to concoct measures for the
starting up Of full capacity of the companies
was met by the formal statement Of President
Corey that the present activity Of the plants
represents % per cent of its capacity.
There has been active speculation based on
the assumption Of favorable outcome Of the
litigation affecting various corporate inter-
ests in a large way, such as the suits under
and against fixing rates for gas
The influence Of the success Of the Standard
OIL appeal against the fines levied upon 1t was
seen in the jump in prices of some of the
stocks affected by the speculation and in
which realizing sales in consequence have
been unusually heavy. The days news offered
little change in general conditions. The week s
currency movement indicated another huge
accession to the cash holdings Of the local
banks the subtreasury operations and the
movement on balance from the interior tndicat-
ing an increase of about S1O,000,00O for the
week. The stock market was quiet in the
latter part OF the day. but showed no effective
recovery, the days losses running quite gen
orally from to points.
There pronounced contraction In the
volume Of the bond market and the tone was
easy. Total Sales par value, s3,020,OO0.
Government twos registered declined u in
the bid price.