Evening star. [volume] (Washington, D.C.) 1854-1972, 1909-03-21
CONFUSED ON TARIFF
Uncertainty Over the Result in
Congress.
MARKET NOW HOLDING OFF
Restlessness and Weakness Likely
to Follow.
BULLS ARE NOT DISCOURAGED
Trade Exhibits of Last Years De-
pressing Effects in Evidence.
Third Avenue Gold Brick.
BULLS ARE NOT DISCOURAGED
ecial Correspondence of The Star.

Special Correspondence OF The Star.
NEW YORK, March 20, 1909.
Wall street is in state of confusion
over the tariff. 1t had schooieo Itself
TO receive with equaninlity any bill which
the ways and means committee might re-
port, and was. therefore not outwardly
alarmed or disturbed over the measure
which went into the hopper. When the
printed reports of the bill came out In
the newspapers the almost universal &C
claim was that the worst had happened
that possibly could happen. and that
from now on the schedules will be
tempered and modified until the power of
harm to industrial and business interests
will be expunged therefrorn. Hardly a
dissent from this view was heard. 1t
was not only the opinion of Wall street
and the New York financial interests
generally, but the wires were burdened
with dispatches of similar import from
every important community in the coun-
try. Strongly as this theory is held, there
is a growing recognition Of the fact that
there Is wide difference between belief
and certainty.
During the coming ten weeks or three
months in which the tariff question will
be before Congress and the people all
kinds of things are liable to happen, and
even the wisest of opinion may be knocked
galley west by actual occurrences In
Washington. 1t is this uncertainty which
is imparting to the stock market a
timidity which is coming more and more
in evidence. There is observable re-
luctance on the part Of the big people
to step into the breach and give stanch
support to prices until matters are more
settled.
The really big and important men OF
Wall street are prone to deliberati0n OF
action. They, more than. most other
haf ork iC a
here and that in the long run 1t pays
better to wait until a situation settles
and the clouds roll by before jumping
into the forefront Of investment and
speculation. Last year was an exception
to this rule but then last year witnessed
the most amazing speculative campaign
ever known to h,story-a campaign I'M
dertaken by the greatest giants of the
financial world and bulled through re-
CARELESS Of conditions.
Every banking house and operator or
any account as we'll has special lines or
information from Washington Just as
complete in its way as the manufacturers
and merchants. For the next several
weeks the stock market will be very
largely governed by the news It gets
from the National capital. The in1por-
lance of this news will depend more on
clearness of understanding as to the gen
eral situation than upon any specialized
reports, unless an exception be made OF
those relating to iron and steel schedules,
coal. hides and possibly two Or three other
features The general understanding here
is that the noisy cannonadipg and clash
of battles will be directed against the
iron and steel interests. and particularly
against the steel trust, and that while
this is being done the other interests will
do the best they can to keep out Of the
limelight. Thus, while the attention OF
the world is being conferred upon the
quarter in which the most noise is being
made. the real work Of general revision
yvil allowed n DrOcpod n1lfpflv and In
fairly good order in the background.
Everybody except the iron and steel peo-
pie is quite willing that the iron sched-
ule should hold the middle of the stage
and bear the brunt of revision assault.
Appeal to Labor Men.
1t is also the understanding that the
labor organizations are to do the most
OF the drum beating and fusillading for
voting effect on congressman. The Cos
pei is to be preached from every house
top and from every crossroad that labor
must suffer more than any other interest
by serious reduction In duties, and that
it behooves it in self-protection to get
out and yell against cutting In the rates.
That they will do effective work In this
direction is already evident. and the
prophecy is heard that before many weeks
go by millions Of names Of wage earners
will go into Washington in protest against
undue cutting and Slicing. The magnitude
and force Of the approaching campaign
against wholesale revision is probably
appreciated here even more than In
Washington. The view is sometimes bet
ter from a longer perspective than close
to the scene of action. Likewise. 1t Is
possible to observe more clearly the fine
moves of the game from a distance than
from front seat under the orchestry.
A prolongation of business inactivity
and unemployment for wage earners Will
make 1t very much harder for the earnest
tc ft0 Ia
feet of that sort Of campaign that Wall
street is basing it's judgment as to the
ultimate harmlessness Of the bill when 1t
finally comes from Congress. The power
bnation with millions OF working men.
either out OF employment or working on
short time and at reduced wages. Is
force which 1t Is felt Congress Will have
difficulty in resisting.
The present disposition in the stock
market is to hold off for a while. There
is danger however, that this spirit OF
aloofness may develop into restlessness
quite as likely to be forerunner Of
break in prices as an advance. There
are indications that the symptoms OF
feverishnesS now seen are attended by
more or less liquidation of securities. At
the same time they are generating
feeling of bearishness.
Good-Sized Short Interest.
A goOd-SfZed snort interest eXlStS In
some Of the favorite stocks, and it must
be admitted that In some cases these
shorts have been severely punished on
the recent rally from the low levels es-
tablished couple of weeks ago. This
has been notably true with regard to
Reading. the copper stocks. Steel COM
mon, the Harrimans and Chesapeake
and Ohio. The losses inflicted upon this
| element does not seem to have converted
| it, however.
| The bears, while admitting punishment.
are just as stubborn in their opinions
as before. and contend stoutly that gen.
| eral business conditions not only do not
| warrant higher prices than those now
prevailing, but portend certain declines
| They are supported in this view by re-
ports of railroad earnings and of trade
| in general. The stout-hearted bulls who
have the money are not in the least dis
couraged over the apathy everywhere ap-
parent. but their patience is none the