The Washington herald., 1909-01-23

New York Jan 2.-The same impr0T.
ing tendency in security prices as thai
noticed yesterday continued 20 prevail in
the stock market to-day during the frs,
two hours OF the Stock Exchange ses-
sion.
Then after the unusual midday inter
va Of duIIness the market developed
weakness. so that al the earlier gains
were lost, and net recessions were con-
monty substituted in their place.
It must be confessed that such a re-
suit had been rather uniformly prophesie6
by the more experienced observers, their
skeptical views as 70 the permanency
OF the rise being largely based upon E
relatively small number Of stocks, and
that the strength in these particular
quarters did not induce buying Of the
list Of stocks as a whole.
Indeed, the rise in the morning to-day
was practically centered upon two stocks.
the American Cotson OIL common and
United States Steel common shares The
frst-named stock has been moving up
ward in a distinct way for some time
past, because. so far as generally under
stood, Of improving prospects for the
American Cotton oil Company's bust
ness that have been especially heighJen-
ed IN recent weeks By an unfavorable
prognosis for the seasons olive oil crop
in Italy. which, II borne out. will natu-
rally cause larger purchases Of the
American product
A Market WTEterT
The sudden starting up into lie OF the
United States Steel common shares IN
the last few days is admittedly more
OF lcss Of a market mystery Reason for
i IS certainly not TO be found IN any
frightening outlook for the iron and
steel business. for the reports from trade
centers is TO the effect that business IN
iron and steel does not show any quick
eHing, although still holding IN a fair
average volume TIE explanation com
monty heard, therefore. to-day for the
strength OF The steel stocks was that
the proposed reduction Of the tariff on
IRON and steel weGld not be as severe
as has been anticipated.
May BE Drastic Cut
Il would surprise no one If the next
rumOr on the subject was that after all
a drastic cut In the iron and steel duties
was meditated. and il is manifest that
from now on constant and varying re-
ports Of this kind viii be a factor in the
security market What did become clear
n the case Of the United States Steel
common stock was. however, that after
its rise was carried to-day somewhat
beyond yesterdays closing figure q large
amount Of stocks was offered for sale at
the current quotation. This led 10 q ces-
sation OF that urgent buying that had
previously been IN evidence. and in the
decline IN the steel stocks that followed
the rest OF the market shared
There. were those. however. who at
tributed tO-day's reaction in prices to
reports here that subscribers to that
portion OF the new Russian loan set apart
for London had been allotted a per cent
Of the subscriptions-this being a larger
amount than il had been supposed they
would receive-and that the new loan
was already selling at q discount Of one
eighth OF 1 per cent in the English mar
ket
The local banks continued 10 gain
money in such large sums from the IN
terror that their net cash gain from all
sources in the week, as shown in to-
mOrrOw's bank statement, was estimated
to-day as being between 10000 and
100000