The Birmingham age-herald. [volume] (Birmingham, Ala.) 1902-1950, 1909-12-06
VARIOUS FACTORS
DISTURB STOCKS
Political Crisis In England Is
Felt In American Markets
CALL MONEY GOES HIGHER
Shipping of Gold to South America and
Sugar Inquiry Depress Stocks But
They Recover on Purchase
of Equitable Life.
CALL MONEY GOES HIGHER

New York, December 5-various fac
tors served to disturb speculative senti-
ment in the stock market last week The
vulnerability of the market to these fac
tors was largely owing to the restraint
on speculative operations exercised by
the money position. Ever since the Bank
of England began to assert its opposition
to the expansion of employment of credits
in speculation by forcing up the London
money market there have been evidences
of scaling down of commitments in
the New York stock market and a re-
striction In the concentrated operations
in that market by which prices had been
advanced and held. The political crisis
in England. which eliminated in tho
rejection of the budget last week by the
House OF Lords constrains the Bank of
England TO maintain Its extraordinary
proportion of reserves and continues Lon
don's control of New York gold supplies
Gold went to South America last week
on London orders in an undiminished
stream and combined with tho special re-
quirement of the December settlements
and some large syndicate transactions,
this made the call loan market subject
to some ffurries. The per cent maxi
mum rate for the year was touched again
and the calling OF loans by the banks
restricted the supplies available for oper-
atoms In the stock market.
The dropping tendency of prices thus
inaugurated gave weight to the misgiv-
ings which arose over the antitrust agi-
tation and the prospects that 1t would
grow and intensity. Reports from Wash
ington of the tone expected in the Pres
dents message on that topic had much
influence in sending prices downward, as
did later the modified reports in the Wig
orous recovery. The break in American
Sugar to the lowest price of the present
year was due to the undesirable prom
inence of that corporations present posi-
ton before the criminal courts and the
attention 1t was expected to receive from
the executive and legislative branches of
the government.
The sale of the st. Louis and San
Francisco by the Rock Island was avow-
eddy prompted by the chance that the
combination would come under the disap-
PAofdA VI tuc 6Of0IIilltnL AUTHORITIES.
This did not prevent eager conjecture
over the alternative purposes supposed
to be intended by the parties to this
divorce. The entry OF Rock Island se-
curities into Lehigh Valley gave color
and direction to these surmises The In
clusion of Wabash In these surmises
served only to lift those few stocks out
of the prevailing depression of the mar
ket. An even more striking process Of
Capitalization emerged in the trust com
pany field IN New York. in spite OF the
solicitude toward combinations. The pur-
chase of control of the Guaranty Trust
company by a partner of J. P. Morgan
a. Co., and the purchase by ]. P. Morgan
individually of the control of the EQuit-
ably Life Assurance society. carrying with
it control of the Mercantile and Equit-
able Trust companies, involves such wide
spread hold on credit Institutions as to
prove staggering to the financial imagi-
nation. This matter had a strong slim
ulating influence In rallying stocks.
The railroad switchmen's strike in the
northwest and the wide problem of wage
adjustments suggested were not soothing
to the prevalent uneasiness felt in the
stock market.