New-York tribune., 1908-10-29
FINANCIAL AFFAIRS
DECLINE IN STOCKS.
Steel Report Not a Stimulus Public
.Serlice Issues Weak-GoUernor
and Stock Exchange.

E-vnectafjons of further advance in stocks.
based upon the encouraging quarterly report OF
the United States Steel Corporation which was
issued after the close of the market on TUESDAY
were not realized Yesterday. The opening was
fairly strong. and in the course Of the first rev
minutes moderate advance occurred, IN Wh'ch
United States Steel common rose a 10 ne"
high record for the year and Union Pacific also
reached a new high level for 1908. The steer
stocks were offered in heavy volume, however
by holders acting on the policy OF selling Wheh
the good news Is out" and the price soon pegah
TO decline the weakness extending to the gen
eral list. Selling Of Consolidated Gas in large
quantity causing maximum decline of S1a
points. which was partly recovered before the
close added to the depression. and the tendency
continued slowly downward during the rest OF
the session the weakness being most pro-
r1ounced in the last hour and the close being at
about the lowest figures Of the day. The sell
ing Of Consolidated Gas was attributed prl-
marily to the increasing probability OF the re-
election Of Governor Hughes. with its corollary
of the retention of the Public Service commits
siors in their present form and with powers un-
curtailed, and that consideration tended to eX-
plain also the weakness Of the local traction
stocks In the afternoon was published the
Governors reply to the inquiry CT Stock EN-
change house respecting his attitude toward the
exchange. in which he reiterated his declaration
in the speech Of acceptance of his denomination
that he favored inquiry into the facts relat-
ing TO speculation In securities and commodities,
with view to asCertaining the manner in
which ilegitimate transa ctions- may be prevent
ed and legitimate business safeguarded-' and
the appearance of that letter was the signal for
the late selling of stocks which caused the weak
and heavy close. although the Governor in his
speech had clearly indicated his purpose that
the investigation if ordered by the Legislature.
should be conducted by body Of experts and in
no spirit Of anmosity to the Stock Exchange
Although the statement of the United States
Steel Corporation did not have immediate
market response in the direction of advancing
prices Of securities. ii nevertheless every
where regarded as thoroughly satisfactory and
as indicating that definite change for the bet
ter had come in the iron and steel industry. the
barometer Of trade" Since September so the
end of the quarter, orders for new business are
understood have been coming in in larger
quantity than before that date in spite of the
fact that q great many orders being with
held until after Election Day, and only yester-
day announcement was made of the awarding
TO the steel corporation of contracts for fur
nishng 5000 tons of structural steel. The c.
tivity in the building industry. which has been
among the most significant indications recently
of the revival Of business confidence. is evil
denced by the estimates of the two leading or
gans Of the iron and steel trade that orders ag-
gregattng 150 900 tons Of structural steel are
likely soon 10 be distributed among the large
steel companies, and similar activity is noted in
the pig iron market in which there have of late
been heavy transactions. In the copper indus
trv too demand is increasing and the price Of
the metal is advancing
Call money went TO ! per cent yesterday, and
did not rise above ". Inactivity still prevails
in the market for time money, the extreme ease
in call money causing borrowers to prefer that
form of accommodation