Norwich bulletin., 1909-06-05
FINANCIAL AND COMMERCIAL.
ENTHusIArIc SPECULATION.
Strong, Dominant Tone Of the Market
Existed All Day.

New York, June 4.-Powerful forces
obviously were at work in the specu-
lation in stocks today the volume of
the transactions and the size of the
individual operations showing the uses
of the most abundant resources, such
as are accompanied only by specula-
tive capitalists of the first magnitude.
The example yesterday of what could
be done In the case of Southern Pacific
brought in the speculative element to
Wall street in troops today. Their
first efforts were directed to the stocks
most directly suggested by the South
ern Pacific movement yesterday but
they ranged up and down the list at
will during toe day, exploiting first
one stock or group Of stocks and then
another, using purchases Of fresh se-
lections to cover heavy realizing sales
In others. 1t was significant OF the
enthusiasm OF the speculative senti-
ment that no depressing effect was
produced by the week tone Of United
States Steel, which sold below yester-
days closing price throughout the
sessions. Not since May II has it
hapuened before that United States
Steel failed to sell higher every day
than on the day before. This oontin-
uous advance in United States Steel
has been the backbone of the whole
market during that period. Its reac-
ton today was even made a favorable
argument Of the general market sit
uation. That reaction was not gem
orally ascribed to pressure to get
out of the stock at q profit on the part
of the long holders, but to the MERCK
full and, it was considered, polite pur-
pose of the syndicate which has been
accommodating the stock for the Paris
Introduction to allow the shorts to
cover at the existing levels. and not
to push the punishment of the uncov-
cred bears to the point that would
threaten financial deamage that might
hurt the whole market. incidentally
there were rumors ahoat of a private
settlement effected over night of a
short interest alleged to amount to
$4,000 shares and at a price consider
ably above any yet touched by United
States Steel in the market. This ru-
NOR was additionally interesting from
the intimation that capitalists consid-
cred high authority in the steel indus
try were involved in the abQrtive bear
campaign. In the preliminary burst
of the days speculation there were
wide openings in Southern Pacific, I'm
ion Pacific and Atchison. Besides the
expected exchange of Southern Pacific
preferred for common stock, there fig
ured in the discussion a supposed
treaty Of comfy between the railroads
in that group. The new Atchison
convertible bonds when issued were
quoted in the curb market at figures
to make the stockholders rights worth
nearly 1 per cent. Views of bankers
on the volatile market were rather
.cautionary in character, but did not
extend apparently to the point OF
withholding money credits from much
smalleV accession to the cash hold
ings of the banks this week than last.
Bond flotations and the increased spec
lllatiye activity have involved expan-
sion of loans. but foreign money mar
kets have continued to place funds
here. London Joined in the buying OF
stocks here today, which helped to
keep down the exchange rate. The
constant digestion of profits kept the
movement of prices irregular. but the
strong dominant tone of the market
was unchanged until the end of the
day The great activity in the con-
vertible issues was the feature of the
bond market. The tone was strong.
Total sales, par value, $1O,74.000. Unit
ed States bonds were unchanged on
call.