The Washington herald., 1909-06-09
MARKETS UNSTEADY
UnfayOrable Crop Report
Adds to UneaSiness.
NEW YORK BOND BIDS OPENED
Southern Pacific Plan of Recalling
$76,OOO,OOO Preferred stock the
CauNe of Much SpeeuIation-com-
bined Confusion Brings violent
Decline in Last Few Hours.

New York. June S.-There were three
important developments to-day IN finan-
cial affairs-one the publication this aft
srnoon Of the governments June crop
report. the other the opening of bids al
the city Of New York's S4O,OO0.OOo 4 per
cent bond sale. and the third the action.
or what was assumed would be such. of
the directors Of the Southern Pacific Rail-
way during the day in calling In the
eompanys s75.0OO.OOO OF preferred stock.
The steps taken by the Southern Pacific
management were not officially an
nounced until after the close Of business
hours but they were then found to be
OF the nature that common supposition
had anticipated, and which. in brief.
makes il the most advantageous alterna-
tive Of three offered 10 the holder OF
Southern Pacific preferred stock 10 exer-
cfse his right to convert his stock into
common shares OF the company at par.
Neither was full information OF the re-
suits Of the citys bond sale available
before the official day was over. but ii
appeared 10 be q fact that the prices
realized by the city for the bonds would
be in the neighborhoOd OF a fun point
iower than the price received in Febru-
ary, which was the last occasion OF an
Oflering or lOng-term municipaT bonds.
Report Disappointing.
The government crop report was in
general more jnfavcrable than had been
looked for. II had been hoped that win
ter wheat, taking the crop in the district
nver. had improved in May and conf
dent expectation was that both a large
increase in spring wheat had occurred
and that the condition Of wheat would
be placed at high figures But the WIN I
ter wheat condition was put at so7. as
compared with SIS on May /, and the
spring wheat condition at s52 as com
pared with IS on May l year ago. this I
being the first date OF a governments I
spring wheat report during the present (
year
The increase in the spring wheat as
regard 10 the governments figures was 4
only a little more than $4,000 acres The I
acreage OF oats enlarged by nearly 100000 /
acres. although the condition OF the crop
was lower. In the trade the estimates. /
except in the case OF oats. were uniformly /
held 10 be disappointing, and were greeted /
with sharp upturn in the price OF the I
> F'-4-~iheA - o4A tFtluAc
Market Irregular.
Doubtless, because OF the confusion
produced by all these varying factors.
the days stock market was OF an ex-
iremely irregular character. and without
definite or leading tendency. It was
strong al hrst under speculative antici-
patiOns OF the beneficial influence OF the
Southern Pacific financial plan. but the
general market was inclined. neverthe-
less, 10 follow only comparatively short h
way the advance IN Southern Pacific
The market declined with not a little
violence when the governments crop re-
port was announced. Strong support was.
however, given when It became weak this
afternoon, and there was a sharp recov-
cry in prices just before the session
enced- The market closed showing a {
medley OF advances and declines.