New-York tribune., 1909-09-10
FINANCIAL MARKETS
WALL STREET UNEASY.
Stocks Breah, to ! Points 1CtiJC
Demand for Money!

Stock market prices were weak throughout
the day. with sharp declines in the afternoon
transactions, the selling coming from active
commission houses and from traders who oper-
ated the short side on the expectation of
further heavy liquidation in the last two days
of the week. Conflicting reports from various
quarters regarding the progress of Mr. Harri-
mans Illness and a false reasoning regarding
the effect his death would have the future OF
the Union Pacific Railroad and other properties
in the So called Hartman system created
easiness in speculative quarters and induced an
amount of selling that carried prices to level
that compelled liquidation OF many accounts
that had survived the downward movements in
recent weeks The calling Of loans. due to an
increased demand for money from the interior,
also was something Of factor In the decline.
The extent of the losses was considered in way
4 tribute TO the wonderful ability Of Mr.. Harri-
man as an upbuilder of railroad properties, 5
the chief argument for lower prices the
expected death of the great railway man. Though
the Street had reports before o'clock that Mr..
Hartman dead. actual announcement that
he had passed away was not made until long
after the close of the market. and traders who
in the Street at the time appeared TO be-
lieve that further declines would be recorded at
the opening of to-day's dealings. AS there has
been a large volume of liquidation in the last
few weeks, as the short interest is extended and
al powerful capitalists have been preparing
financially for Mr.. Harrimans death. there is
reason 10 look for acute disturbance In the
ket and certainly no warrant for the predictions
of Wall Street vutuTes that there will be a
panic. The country is moving along toward
prosperity of most pronounced type, and
though captains of industry may die the prog
ress of the nation will run on. Stocks closed on
a rally. but at net losses of from 1 to points,
with the heaviest declines in Union and South
ern Pacific, the Gould shares and New York
Central. Buying orders from strong sources
reported in Union Pacific just before the
end.
Professional ira ders on the Stock Exchange ap-
parently have many queer theories regarding the
future of the railroad situation without the Har
rIinan influence, and at the moment they appear
10 believe that the companies with which Mr.
Harriman's name is identified will now become
a heap Of rusty nails and useless rolling stock.
Mr.. Hartman placed his railroads upon sound
physical and financial basis. and their future will
be safe with the man who succeeds him. In
yesterdays market New York Central was sold
the idea that following Mr.. Harrimans death.
the improvement expected in the affairs OF the
company would not be realized, while for
similar reason Illinois Central declined On this
argument there also should have been heavy
break i'm Erie. Baltimore e. Ohio and Delaware
& Hudson which likewise within the Har
riman sphere OF influence. 1t is TO be hoped that
investors are not selling Hartman shares be
cause of the silly reasons advanced by Wall
Street, and it is suggested that IL further weak
develops investors add to their holdings this
group of securities. As much people may
regret the death of any who has been
power on the constructive side Of American rail
roads, IL is absurd for any to believe that
the death retirement of SUCH will in
terfere with railway development that Is based
the needs of a great and growing country.
The elimination OF important personal factors in
our railway and business world is a misfortune.
but not a calamity. ThOug,- the market may
suffer further declines, ii may be well to bear
III mind that substantial interests taking the
securities that other people sell, and that bear
pressure and forced liquidation a consequence
( of the recent period of reckless and unwarranted
bull speculation will represent no depreciation in
the intrinsic worth OF American investment Sc
| cuTities New York Central win continue with
its Improvement plans: Union Pacific viii con
tinue TO pay 10 per cent, and all railroads will
move along on lines that add strength to actual
values, in spite Of passing adverse DEVELOPMENTS
The demand for money from commission
houses has fallen off materially as n result OF
the changed conditions In the speculative stock
market, but the lending institutions are enioying
a better demand from mercantile sources and
are shipping increased amounts of currency 10
the interior. Foreign houses are putting out fair
sums Of money here. and yesterday as a conse-
quence or heavy Offering of finance bills sterling
exchange rates were weak at a 10 point decline
Money at the British capital remains easy The
Bank Of England made change in its mini.
mum rate of discount yesterday, and showed a
proportion of reserve To liabilities in it's weekly
return slightly above nine~year average Tor
this period