New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1909-10-27
FINANCIAL MARKET
STOCK PRICES DOWN.
Heauy Liquidation an U. S.
Steel and Union Pacific.

Speculation in stocks was light in vol
unle until the last hour. when heavy
selling movement developed, under the
influence of which the general list sold
off sharply, with losses of from ! to ,
points common among the leading active
issues. In the early operations prices
showed improvement as compared with
the closing Of the preceding day. the ad-
vance, however, soon being succeeded by
a reactionary tendency that carried quo
tations fractionally under Mondays
final figures, but it was not until the late
transactions that noteworthy weakness
developed, the selling at that time re-
hecting actual liquidation of long stock
and aggressive pressure from the profess
sional element, the latter being effective
in uncovering stop orders in quantity
among commission houses. There were
no developments affecting adversely the
intrinsic value of securities, the down
ward movement being wholly in line with
the speculative situation, the weakness
Of which frequently was pointed out in
this column in the recent period of ad-
vancing prices when most of Wall Street
was quite convinced that the advance
factors that clearly pointed to the neces-
sity of liquidation.
rumor that the directors Of the
United States Steel Corporation would
not increase the dividend on the common
stock accompanied the decline, but ac-
cording to expectation the issue was
placed on 4 per cent basis announce
ment Of which came too late to be an in
fiuence in the trading. The figures show
ing the corporations earnings for the
last quarter and the untitled tonnage on
hand at the end OF that period supply
ample justification for the action of the
directors in advancing the dividend, net
income amounting to $3S, 246, 907, an in
crease of $S,906,416 over the June quar-
ter, S11. 140. 633 over the corresponding
time last year and S1J,325, 639 over the
March quarter this year, when the steel
industry was at a low ebb. After divi-
bends there was a surplus of So 155, 113,
from which S10OO0000 was appropri-
ated for additions and betterments. This
splendid record has been fully discounted
by the advance in the price of the COM
mon stock, which closed yesterday at 81,
against Ak, the low point made last
February. The general market ended
fractionally above the poorest prices of
the day, but at substantial net Losses,
Steel common, Union Pacific, Brooklyn
Rapid Transit, Great Northern preferred
and Wabash preferred being the chief
sufferers.
The local banks have lost more than
s., 100000 In the current week on their
operations with the Sub-Treasury, while
they also have lost on their transactions
with the interior, owing to the increased
demand for currency at the West and
South in connection with the require
ments incident TO the marketing Of the
grain and cotton crops. The high price
of cotton and the active movement Of
the stable to market call for an I'M
usually large amount of bank accommo-
dalton, but the money so employed will
return TO New York at no remote time,
while the early heavy receipts for export
account are making exchange at a rate
that soon should become an important
factor in eliminating the possibility of
heavy gold exports from the United
States, especially as the export demand
for Grain also is increasing. London's
money market disturbance. which was
reflected yesterday in a q per cent rate
on American stocks in the fortnightly
settlement, has not upset conditions at
this centre. though it has brought about
a more cautious speculation In stocks
and has served the useful purpose Of
freeing the market OF mass Of weak
accounts accumulated on the silly prom
ises OF certain bull interests that moth
lag could happen TO change the general
tendency OF securities prices in favor Of