New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1909-12-07
FINANCIAL MARKET
MOST STOCKS DOWN.
Sterling Exchange Strong at
abnormal LereI for December.

Irregular price tendencies marked the
course OF business on the Stock En-
change yesterday. with the final move
ments i'm the direction of lower levels.
Declines as a rule were not heavy, and
i'm the early part OF the day decided
strength was shown throughout the list,
the advance, however, meeting with lit
tie support from commission house in
terests. except in a few issues. notably
the local traction shares, Rock Island
preferred. Norfolk q Western and St
Louis & Southwestern preferred. the
last named enjoying a net gain OF is.
Buying OF this stock came from substan-
tial sources, and the character of the
operations suggested the probability Of
the payment OF a higher dividend rate,
especially as the earnings Of the com
pany would justify per cent. At its
present price the issue returns a little
mere than ; per cent, and if. as gener-
ally expected. the dividend advances 10
) per cent. the return even at a price
OF So would be close 10 per cent The
fact that the issue is selling below its
intrinsic worth attracts attention TO il.
as there are not many securities OF which
the same thing may be said.
Absence of active buying Of United
States Steel and Union Pacific on the
mornings strength attracted renewed
pressure from professional traders
against these stocks in particular and
the whole list in general. and while there
was what Wall Street calls good selling
i'm Steel, the decline was not accompa-
MED by important liquidation. the chief
selling coming from the bear element
and from commission house traders Of
small means and timid temperaments
The Street naturally Was somewhat up
set over the threatened labor troubles
among the railroads and some selling
Has based on the theory that a wide
spread strike would seriously affect gen.
crsl business and cause reductions in
dividends. and that. on the other hand
willingness on the part of the companies
10 avoid a strike by increasing wages
likewise would result in lighter payments
to stock holders. Operators for the de-
cline endeavOreG TO create uneasiness
over the recommends tions in the Presi-
dents message, but the fact that the
general features of the document were
known and approved by the banking
community offset speculative efforts To
induce liquidation. Stocks do not go
down easily and general factors affecting
the market do not encourage the eXpec-
tation of the development of success
iul bear campaign.
Local banks continue to lose money
on their operations with the Sub Treas
ury on regular account. while they also
are losing through government transfers
OF currency to San Francisco. with the
prospects OF suffering from further with
drawals of gold for shipment To South
America. Sterling exchange was strong
yesterday, but domestic exchange AT
Chicago and ~. Louis on New Yorl,
favored additional heavy receipts of
cash from the Middle West and the
Southwest i'm the current week with no
Indication OF money rates advancing 20
prohibitive figures. Around the end Of
tho year the call funds may get above .
per cent, which has beer the maximum
in the last two months bat the fact that
the larger Wall Street interests are anx-
iOus 10 maintain stability la securities
prices and arc committed to many prof.
ects she success OF which depends on
attractive quotations for stocks assures
none of the manipulation i'm money rates
for the purpose OF depressing the mar
lIei as often witnessed in other years.
The monetary situation is being ably
handled by the banks. and their de-
termination 10 maintain close watch
OF the safety valve Of the market Is re
fected in a contraction in loans i'm the
last four weeks Of more than 1000 900.
Demand sterling was at a point yester-
day which ordinarily would be accom-
panied by gold engagements for Europe.
and If IL were not for the high rate Of