Omaha daily bee., 1909-02-26
NEW YORK STOCKS AND BONDS
Strong Rally Which Starts Wednesday
Ends Abruptly.
DEMoRAL1zED BREAK IN PRICES
values I'm some Cases Drop Below
the Low Point of Tuesday-
bond Market L.
IrreNalar.

NEW YORK, Feb. GS.-Thers was an
abrupt ending today of the strong rally
IN stocks, which developed yesterday. The
reaction reached a viole1ce in some quar-
tiers that psralleled the demoralized breaks
Of Tuesday, and. in the stocks most af-
tected, carried them to lower prices than
were touched on the previous break. specu-
latfve opinion, In consequence, was much
unsettled again and great confusion was
reaction after a rally from a severe de-
cline Is usual, and Is easily explained from
The same satisfaction Of the demand from
the bears. whose necessities to cover shorts
always result in a sharp rebound from
a sudden relapse in prices. The reaction
today however, was somewhat early In
developing and proved more violent than
was anticipated. The renewed check to the
decline and the later wavering Of the mar
the trading, were normal symptoms OF the
after effects Of a liquidating market. The
rowing fluctuations which are looked for
70 follow are a preliminary to renewed in
ttiaive, whether downwards or upwards.
The special point Of weakness I'm todsy's
market was the copper group of industrials.
The vagueness and lack of confirmation
OF many of the rumors which
their decline pointed to a professional bear
origin. Shutting down Of copper mines to
limit production, a coming open market for
copper similar to that inaugurated In the
steel market and damaging competition In
a scramble to market stocks were some OF
the rumors set afloat during the day. Some
were OFFICIALLY denied. Foreign markets
seemed to be notably impressed by the ru-
mors, owing TO the known weakness OF the
statistical position in the copper trade.
Heavy selling for foreign account of Anal
gamated copper was a main factor in
breaking it's price. In the railroad group.
Reading proved especially vulnerable again.
on the strength Of predictions that the SUI
preme court would hold the commodities
clause of the Hepburn bill invalid. Now,
when the belief has gained currency that
the supreme court may approve this law.
Reading cannot be exempted from any I'M
favorable effect by assertions against the
firmation. that the coal mines OF the COM
pany were to be closed down.
The depression abroad, which prompted
renewed selling of stocks here for foreign
account was due largely to the tension
between Austria and Servia and the fears
That war y inevitable. There was reported
settlement during the day and a cessation
OF foreign selling was the result. The
condition of the steel trade remains q
tive element, as much from lack of UNI
~derstanding Of the various Developments,
those Developments. The determination
Of the principal interest in the trade "a
make its prices effective In securing bust
ness. coupled with admissions already made
showed that the ultimate basis Of the set
Elements remains to be defined. Specula.
tive opinion on the outlook was in a cor
espondingly fluid state. The possible collat-
eral effects of this readjustment on wages,
freight rates on steel. and in other direc-
ton were made the subject OF the broaden
slant Increase of its complexity. There wa
not much expectation of any clearing OF tht
speculative outlook until some APPROACH &c
STABILITY should appear in the steel trade
After the decline in stocks was decisively
the day.
Bonds were irregular: total sales. pa,
value, A.900.oOo. United tSates bonds were
unchanged on call.
Number OF sales and Leading quotations