The sun., 1909-06-24
FINANCIAL AND COMMERCIAL
"WEDNESDAY, June 20.

WEDNESDAY, June 23.
The movement Of prices Of securities
to-day very plainly derived at least an
initial impulse from the significant action
OF the market in the last quarter of an
hour OF business yesterday afternoon. At
that time what seemed TO be In the nature
Of final "jab" at values, whether either
by speculators for the fall or as the result
OF manipulative orders designed to render
the market as weak as possible in order
that buying operations might be the more
profitably conducted, failed to cause any
appreciable amount Of stock whatever to
be forced from the hands OF holders. A
quick rally followed, making 1t apparent
on the face of things that the market had
become oversold and that 1t was in mood
to resist further pressure. These CON-
siderations over night led to decided
change Of feeling on the part Of many
professional operators, 80 much so that
this morning they were disposed to reduce
their commitments for the fall or in other
cases even to make additional contracts
for the rise; and under the influence of
buying of this sort the market maintained
a steady and creeping strength through
out the earlier hours of business. Then
more definite market influences began to
develop and all Of these were Of favor
able nature. An encouraging feature OF
the situation presented at the outset was
of course the decided change in the gen.
eral plan of the tax on corporations meas
ure proposed at Washington, this sssum-
ing the form of an abolition of those in
quisitorial methods of collecting the tax
| which constituted one Of the chief sources
of dissatisfaction with the idea manifested
, in the financial district. Moreover, the
view is still generally entertained in Wall
Street that there Is no strong prospect
that law authorizing the levy of any
tax on corporations will be passed at the
present session Of Congress. OF much
more Importance to-day. however. was
the favorable character OF the crop news
proceeding from so many different Sec
tons of the agricultural belt and because
Of which there was an all around decline
in the wheat and grain markets. People
giving close attention to the security
market began to consider with more at
tention than they did yesterday the mean
ing of the report OF the Kansas State Agri-
cultural Bureau. made public by Secre-
tary Coburg. as to existing crop conditions
there The substance OF this Is that the
Kansas winter wheat crop bids fair to
turn out about 2o.000,0Oo bushels more
than many private calculators in the
grain trade estimated month ago and
that the present promise is for a corn crop
in Kansas this year far in excess Of bumper
records in the past. To-day hot forcing
crop weather was reported from practi-
oally all points Of the West.
There was still more or less gossip in
financial circles to-day. as there was on
Tuesday, regarding the execution Of a
possible plan Of retiring Union Pacific
preferred stock, and this stock made a
further advance in the market Of So |
points. rising to a new high record. The /
suggestion OF retirement" OF the Union |
Pacific preferred shares Is OF course alb
surd so far as the use Of the literal words |
goee. since the charter OF the Union Pacific |
company does not allow it and the sub |
stitution for the preferred stock OF any |
other security bearing a greater rate Of
interest would be an obvious impairment |
OF which the courts would take instant |
heed What is possible, however, is
that the long discussed holding company |
may be organized. taking over at oer-
tain ratio both the Union Pacific common |
and preferred stocks and capitalism e |
also the banking assets OF the Union
Pacific company. But it is to be doubted
il holding organization OF this kind is |
any nearer an actual creation than it was
eighteen months ago. The demand for |
sterling cable bills to-day was strong. but |
sight sterling remained nearly unchanged.
relatively small amount OF gold was
taken for export to Argentina. but in
general the prospect for gold exports
from the country was rather more remote
than it was earlier in the week. This was
the fact although the call money rate here
to-day fell as low as ~ per cent. and the
banks were in receipt OF large quantities
OF funds from the interior OF the country.
A minor matter Of interest was the ap-
pearance OF numerous signs that the fight
against the open shop rule recently in
stituted by the management Of the Ameri-
can Sheet Steel and Tinplate Company
was not likely TO amount to much. 1t
was said. at any rate, that the union en-
ployees OF the company at New Castle,
Pa. where a large number Of the plants
Of the concern are located. would decline
TO obey strike order il such was issued.
As the result OF all these factors the
strength of the stock market exhibited
in the early dealings was continued
throughout the day, Closing prices were
almost invariably at the highest and at
levels at which substantially the entire
recessions earlier in the week were re-
covered.