Evening star. [volume] (Washington, D.C.) 1854-1972, 1909-10-11
STOCKS TAKE A DROP
Further Decline Follows Reac-
ton Begun Last Week.
MONEY THE MAIN TOPIC
Real Liquidation Follows a Firm
Opening.
PRESSURE WAS PERSISTENT
PRESSURE WAS PERSISTENT
List Develops 1rregularity After
Gains in Early Dealings-Heavy
Volume Of Sales.
Special Dispatch to The Star.

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NEW YORK, October 11.-Although
Wall streets talk was all OF money
today as the cause Of the further de-
cline which took place in stocks fol.
lowing the reactionary movement which
developed last week coincidently with
the tightening Of the money market
1t seemed almost certain that interest
rates did not furnish an adequate ex-
PLANTATION. To be sure. the Imperial
Bank of Germany advanced its dis
count rate to 5 per cent this morning
and there was an all-around advance in
open market discount at foreign f1nan-
cial centers. albeit the rising tenden.
cies of discounts abroad is no more
than has been customary at this sea
son for many years back.
The rate of the Berlin bank has been
per cent or higher in every October
since 1902. Still. the realignment of the
money markets. especially after a period
Of low rates. would be sufficient to &C
count for any readjustment which might
take place in the speculative markets
which are most directly and easily at
fected by changes in the price Of credits.
This being so, perhaps the movement
downward which defined itself in the
Wall street stock market last week might
properly. be regarded as an. effect of
monetary developments.
Situation Puzzling.
However. there. have been certain fea-
lures of the reaction in stocks which have
been somewhat puzzl.ng. and in thought
full quarters there was toward the end
Of last week a disposition which was
Their reasons than those which Wall street
has been lahely diScussin1
Perhaps the dispatches from Washing
ton relating to the hasty summoning ~
our new minister to China to the capt
tai on the eve of his departure for the
far east furnish them.
At all events. this is the only important
piece Of news of the last fortnight which
could have such a marketwise bearing
as to deserve more consideration thar
the money market.
There was no doubt about the char.
acter of much Of the selling, indeed. II
not most Of the selling. during the
days stock exchange session. 1t was
real liquidation and apparently con-
Quoted with a view to supplying the
would take. without breaking badly.
The opening was generally firm, at
fractional advances all around
Prices Fell Steadily.
In the early dealings further gains
were scored. but the list developed ir-
regularity before the end of the first
hour and toward noon became heavy
During the noon hour. while business
was not active, pressure was persist
ent. In the early part of the after
noon prices fell steadily away under an
increasing volume of sales.
The liquidation was most importune In
recently active issues like Atchison, New
York Central. Reading. Union Pacific.
Southern Pacific. American Smelling,
Amalgamated Copper and United States
Steel Amalgamated Copper. was one of
the earliest stocks to show weakness and
Its special decline was facilitated by the
report Of the Copper Producers Associa-
stocks increased $3.50. 600 pounds
There was no other definite news to ac-
count for particular price movements. al
though 1t was rumored that a postpone
ment Of the new Missouri Pacific financing
had been definitely decided upon. London
was a rather heavy seller on balance. !,
Call Money Firm. -
Call money was firm around the high
average rates which obtained last week
Time money was firmer in tone. but there
was not much activity in the market.
There was. a rather free demand for
loans at Az per cent to carry over the
year. but offerings were firmly held at
~ and were limited in supply. The banks
started the week with a substantial cash
loss to the subtreasury of s.. SIG, 900 Friday
and Saturday, and the calling Of loans
today indicated that the process. of i'm
proving the banking positions which
was reflected in Saturdays bank state
ment was continuing. 80. -
New York exchange at Chicago was at
10 cents discount