The Montgomery advertiser., 1909-12-06
FINANCIAL REVIEW

New York. Dec 5--yarious factors
 served to disturb speculative scnti-
 nent in the stock market last week.
 The vuinerability of the market to
 these factors was largely owing to the
 restraint on speculative operations exercised by the money position.
 Ever since the Bank of England be-
 gan to assert It's opposition to the ex- pensave employment of credits in speculation by forcing up the London money market there have been evil dences Of a scaling down of commit
 ments in the New York stock market and restriction in the concentrated operations in that market by which prices have been advanced and held The political crisis in England, which cu,minated in the rejection of
 the budget last week by the House of Lords. constrains the Bank of Eng
 land to maintain its extraordinary
 proportion of reserves and continues supplies.
 Gold went to South America last
 week on London orders in an undimin- ished stream and combined with the special requirement. of the December settlements and some large syndicate transactions, this made the call loan market subject to some flurries. The
 six per cent maximum rate for the year was touched again and the call-
 ing of loans by the banks restricted the supplies available for operations in the stock market.
 The dropping tendency of prices thus inaugurated gave weight to the
 misgivings which arose over the anti trust agitation and the prospects that 1t would grow and intensity. Reports from Washington of the tone expected in the Presidents message on that topic had much influence in sending prices downward, AS did later the modified reports in the vigorous recov- cry. The break In American Sugar
 to the lowest price of the present year | was due to the undesirable prominence of that corporations present position
 before the criminal courts. and the at. | tention 1t was expected to receive from the executive and Legislative I branches of the government.
 The sale of the St. Louis and Sar | Francisco by tho Rock Island was l avowedly prompted by the chance that l the combination would come under the I disappreval of the government author ities. This did not prevent eager con- I lecture over tho alternative purposes l supposed to be intended by the par ties to this divorce. The entry oi 1 Rock Island interests Into LehlBh val ley gave color and direction to these surmses. The inclusion of Wabasf
 In these surmises served only to If those few stocks out of the prevailing depression of the market. An ever I more striking process of centraliza tion emerged In the trust compan, I field in New York In spite of the sol icitude towards combinations. Th' | purchase of control of the Guarant! Trust Company by partner of J. F Morgan & Co. and the purchase by ] I F. Morgan individually of the coitro | of the FIsqtsi table Life Assurance So
 ciety. chrrFing with 1t control of tn
 Mercantile and Equitable Trust Com fpanies, involves such widespread hof, l on credit institutions as to prove stag l Rering to the financial imagination i This matter had a strong stimulatins | influence in rallying stocks.
 l The railroad switchmen's strike II | the Northwest and the wide problem I of wage adjustments suggested wer' not soothing to the prevalent uneasi ness felt in the stock market.