Omaha daily bee. (Omaha [Neb.]) 187?-1922, 1909-12-06
STOCK MARKET
IS SENSITIVE
Contradictory Rumors About Presi-
dents Message Sends Prices
Up and Down.
AMERICAN SUGAR IS LOWER
Vulnerable Position of Stock Due to
Undesirable Prominence.
ROCK ISLAND DEAL A FEATURE
It Tends to Raise Values of Issues of
Property Affected.
BRITISH POLITICAL OUTLOOK
Bank of England Increases Its
Reserve Because of budget
Fight and. This Makes
Money scarcer.
POLITICAL OUTLOOK

NEW YORK, Dec. 5.-various factors
served to disturb special sentiment In the
stock market last week. The vunerabillty
Of the market to these factors was largely
owing to the restraint on speculative opera
tions exercised by the money position.
Ever since the Bank Of England began to
assert its opposition TO the expensive en-
Payments of credits in speculation by fore
ing up the London money market there
have been evidences of a scaling down Of
commitments in the New York stock mar
ket and a restriction on the concentrated
operations in that market by which prices
had been advanced and held.
The political crisis in England which cul-
minated in the rejection of the budget last
week by the House OF Lords constrains the
Bank of England to maintain its extraordi-
nary proportion of reserves and continues
London's control Of New York gold sup
plies. Gold went to South America last
week on London order in undiminlshed
stream, and combined with the special re-
qulrement of the December settlement and
some large syndicates' transactions, this
made the call loan market subject to some
fluerries. The maximum rate for the year
was touched again and the calling of loans
by the banks restricted the supplies avail
able Tor operations in the stock market.
Anti-Trust Agitation.
The dropping tendency of prices thus In
augurated gave weight to the missivings
which arose over the antitrust agitation
and the prospects that 1t would grow and
intensity. Reports from Washington of the
tone exercised in the presidents message
on that topic had much influence in send
ug prices downwards as did lated the modi-
fled report In the vigorous recovery.
The break in American Sugar to the low
est price of the present year was due to
the undesirable prominence Of that cor
porations present position before the Grim
inal courts and the attention it was ex-
! pected to receive from the executive and
| legislative branches of the government.
The sale of ST. Louis and San Fran,
cisco by the Rock Island was prompt q
avowedly by The chance that the combl-
nation would come under the dsaprovai
of the government author, ties. This did
not prevent eager conjecture over the al
tentative purposes supposed to be intended
by the parties to this divorce. The entry
of Rock Island OF this into Lehtgh Valley
gave color ana direction to these surmises
The inclusion of Wabash in these surmises
served only to lift those few stocks out
Of the prevailing depression in the mar
ket.
Movements of Morgan.
An even more striking process OF cen
trallzaton emerged In the trust company
field in New York in spite Of the solicit
tude towards combinations. The purchase
Of control OF the Guaranty Trust company
by a partner of J. Pi-rpont Morgan and
company and the purchase by j. p. Nor
gan individually of the control Of thc
Equitable Life Assurance society, carry
ing with It control OF the Mercantile and
Equitable Trust companies, involve suct
Widespread held on credit institutions al
to prove staggering to the financial i'm
Imagination. This matter had a strong
stimulating influence in rallying stoks
The railroad shwitchmen's strike in tht
northwest and the wider problem of wage!
adjustments suggested were not soothing
to the prevalent ,uneasiness felt in tn,
stock market.