The Birmingham age-herald., 1908-02-12
BETTER FEELING
 IN STOCK MARKET  Some Recovery Is Made In the
 Leading Issues SENTIMENT FAVORS RISE While a Reaction Followed the Ad- vance and DuIness Set In Prices
 Retained Good Grip On
 Higher Basis.
SENTIMENT FAVORS RISE

New York. February 1.-The needs of an uncovered short interest, which began to make itself felt even before yesterdays s session of weakness was over, asserted it's influence decisively in todays stock markN and effected a substantial but temporary rally in prices. Recoveries though material, did not cover more than part of yesterdays declines and the force of the demand was decidedly less felt at the higher stages of the rally and seemed exhausted in a final reaction, The market, in fact, became profoundly dull in the latter part of the day. Some of the rumors which were in circulation yester- day looked somewhat absurd in the more sober atmosphere of overnight consider ation, the news publications practically ignoring them by reason of their unau- thentic character. A covering movement by the bears was a natural consequence of these conditions. There was at the same time a cessation of pressure to sel which looked like liquidation yesterday, and was pressed with some urgency.
 The technical condition of the market was so far altered that unfavorable devel-
 
 the tendency towards recovery Senti- ment on the industrial outlook was some what cheered by quite a variety of re- ports of resumption of work by factories which have been closed down. These re- ports were mixed, however with others of fresh reductions of working force in some lines, as for example, the reported intention of the American Car and Foun- dry company to shut down plants in va rious states, employing 15,O0O men. The companys stock advanced a point in the price at the stock exchange. There came a report also that the Pennsylvania rail- road had 36 per cent of it's equipment idle Pennsylvania did not share in the gentral strength of the market. The Rock Island securities also showed some unfavorable effect from the heavy cut in earnings reflected by the decrease.
 The incident of the day that was of con siderable influence in improving sentiment was the recovery in the New York city AZ per cent bonds on the stock exchange, which gave a more hopeful feeling over the prospects for success of the $50,OOO,0OO new issue on Friday, an offering of great CT volume by the way than has ever be- fore been made at one time. Nominal quotations were made for the new bonds in the outside market when and as is sued" at 104 bid and 1051a asked The price realized by the city on the previous sale is likely to have an important effect on financial opinion, if it results either in a pronounced success or a marked disap- pontment
 Railroad and other corporations are in urgent need of new capital to push ex- tension work and even to pay for new equipment already delivered. Their abil- ity to secure it may be of far reaching importance in settling the period of re- newed productive activity by numerous industries. The holiday tomorrow was an influence towards eurtailment of activity in stocks, brief selling movement at the end of the day made rapid inroads