Burlington weekly free press. [volume] (Burlington, Vt.) 1866-1928, 1909-02-25
FINANCIAL REVIEW.
Developments of the Past Week Were
Anrr niacn,HA1InN

New York. Feb. 2t.-The light and shift
ing currents of tho speculative sentiment
In the stock market veered declsively In
tho direction of Encouragement in the
course of last week and carried values
rap idly d~ownwards. The deciding factor
in this result was the accommodating
evidence Of languishing trade as
~exemplifcd especially in the iron and
steel trade. The hal. in the revival ~
trade had been perceived for several
weeks past ard WITH growing misgivirk,
but the policy % the United states Steel
corporation was announced to be for the
preservation OF stable conditions by
maintenance ot prices based on the
stated conviction that n reduction OF
prices az this time would fan 9. effect in
reyiving demand II was asserted that the
waiting on the formation OF the new
tariff schedules w-s the motive for the
withholding Of orders. II was urged that
such cutting Of prices as was being done
by the small independent steel companies
and that the business thug placed
represented so small a part ~ the total
business as TO be urrepresentatire Of
trade conditions. Insistent reported thai
a cut in prices Of steel was IN contempla-
ton were as persleteNtiv denied. the
latest donials coming from accredited Of
fetal sources until past the middle of
the week.
The reassuring effect m speculative
sentiment Of these assertions was con-
Hrned by the Determined support ac-
corded tho stocks Of the United States
Steel corporation In the stock market.
Repeated bear attacks were resisted end
unwieldly short accounts in those stocks
driven to cover. The impression thus
came to be held that the vast central
lied control IN the steel industry was
to be determinedly employed 70 main
tain stable conditions IN the industry
and to await patiently the turn in the
trade.
When TIE realization came 70 tho stock
market element on Thursday that the
depressed condition in the trade were
to he recognized by a price reduction
and active effort on the part Of tho
leading produce to secure business from
competition the tone Of the specula-
ton became semi-demoralized. The slump
in u-nited states steel itself vas the
most conspicrous feature o! the now
turn in affairs. + was rather notable
that the copper .ndustrials were COM
parotivelv stable. Firn,uess 81 the cop
nor stock. was assisted ny the statistics
Of the newly formed copper producers
association.
The clearing VI Of tho foreign sit
nation was of important effect on all
financial markets.
A decidedly Favorable impression was
made by tho permission accorded by
the New york public service commits
sion Cor tho Issuance ~ Erie bonds.
The freedom Of the money market
from effect BY the various cash 80
ouircmcnts upon 1t which were being
met was considered % good auGury
for the speculative prospect.
The speculative eNoct Of the vari-
Gus favorable factors We're all swept
aside by the later consideration NJ
! tho trade outlook and the realization
! that a scramble was in prospect
amongst steel producers which might
involve serious consequences to earn
irg power. From the industrial
~standpoint Il is felt. ever IN financial
| circles that Tho new policy Of adjust
ing prices to the shrunken demand
offers tho shortest and surcst way
| out OF thc depression into which the
stcel Industry has fallen.
The disorder into which the stock
market was thrown produced hut
| slight effect on the bond market.