New-York tribune., 1909-01-05
STOCK DROPS 26 POINTS
Gas Decision Break Causes Sym
pathetic Declines TN Other Issues.

News Of the Supreme Court decision caused a
break of twenty-six points in Consolidated Gas
with sympathetic weakness in the general list
The brokers had inkng Of the nature Of the
decision or indeed that would be handed
down yesterday Consolidated Gas opened point
up from Saturdays close. 1854 and in the
of the three hours before the news Of the decision
came had settled to 164
The announcement of the decision by the New
York News Bureau at 12:5s created the greatest
citenoent In the brokers offices and the board
and Consolidated Gas was thrown on the market
for ANYTHING 1t would bring. the price plunging
from 1s4 in not much five minutes 10 13s. its
lowest officially recorded figure for the day, al
though there reports of sale OF 100 shares
at 1856.
The first thirty transactions we're at successive
fractional declines and then from los down a point
decline between sales became the rule, with occa-
sional long drops. 100 share lot going at 16S
and the next sale being at 1854, and little later
q sale of 100 shares at AS being at once followed
bv one of 1000 at 40 The stock had rallied
from 1ss to 1852 before o'clock. and in the final
hour huctuated wildly, rising to 1891 and then
declining to 14o, the close being at 14. a net loss
of 23A points.
Brooklyn Union Gas sustained its reputation as
an inactive issue as there transactions
in it yesterday. The closing bid and asked prices
vvera 12sdl45 against 14711A Saturday.
Heavy losses were suffered by operators and
brokers In the Consolidated Gas collapse. and many
insuA1cientIy rnargined accounts were wiped out
So great was the rush to sell. movement which
extended throughout the list that the tape record
was for while eight ten minutes behind the
market and orders were executed far under the
prices which customers expected
The svmpathetic decline not Of great sever
ity most OF the stocks losing only from one 10
three points with the most marked weakness IN
New York Central. during the last few days the
market leader, which dropped six points TO 12o@.
and closed at 12S2. a net loss Of two points IN
Union Pacific which declined fom 1S TO I7s7s
closing with net loss of 2S4 points at 1a. and in
Reading. which lost nearly hVe points anu '
q. under Saturday.
The Supreme Courts decision favorable 10 the
Standard Oil Company, which came later. was
Factor IN the late recovery and the fact not at first
known that the decision in the gas case was not
absolutely adverse to the company. also tended to
.+aad,, tha market but the close showed net losses
for almost all of the long list of issues traded IN
The total sales were 15l7272 shares the largest
davis transactions since November 10. When 'he
sales amounted to 1.S39,7Se shares
The highest market quotation for Consohdated
Gas was 2ss in April. 1901. when the company was
having per cent yearly dividends Subsequently
10 1903 the annual rate was raised to 10 per cent
b,,t IN Nav 1906 the stock was again placed on an
ner cent basis in view of the legislative investi-
CATION of that year. which the management tnought
would ba followed by hostile legislation.
Tn 1on5 the stock sold high as 34 in March. and
down to 175 In November. and In 1906. the year In
which the 50 cent gas law enacted. its price
range was between 1HA. in January and 1905 in
Aprfl In the spring OF 1905 the quarterly dividend
was reduced to per cent. placing the stock on a
4 per cent basis as a result Of the new law regu-
latins the price OF gas; and that rate has since
been maintained.
In the panic OF October. 1907, Consolidated Ga:
touched "a and it's lowest price in 1908 %. early
in January the stock thereafter gaining steadily
on the general expectation of Supreme Court de
cision affirming the unconstitutionaiity OF the s
cent law and going high l67 by the middle
of December
The Brooklyn Union Gas Company paid a pc
cent dividend in the frst quarter of 1906 and
/ per cent in the second quarter. and then sus
pended dividend payments. not resumng them unit
1908 in which year the total declaration was "
par cent