Evening star. [volume] (Washington, D.C.) 1854-1972, 1909-01-17
PUT THROUGH A TEST
Stock Prices in a General
Shake-Up.
PROFESSIONAL PROBLEM
Uncanny Wisdom of the Public Dis
played.
MARKET JUGGLING EFFORTS
Operators Keep Eye Peeled on WASH
ington Actions-Revision of the
Tariff a Vital Theme.
MARKET JUGGLING EFFORTS
Special Dispatch to The Star.

Special Dispatch to The Star.
NEW YORK. January 18.-rhe stock
market is going through a test period
There has occurred an important reac-
ton, which carried most Of the active
issues well down the grade, the loss
ranging from 6 to 10 points, taking no
account Of the Appoint slump in Con-
solidated Gas. The last to lose ground
were the low-priced things, but they, too.
got into the current and went with the
rest of the stocks and sloughed off. In
deed. they developed features that
proved drag and weakness
These stocks were the last to feel
the buying impulse. and when it was
discovered that they were out Of line
there was rush to load up. The public
enlisted en- masse to put the cheap things
On market parity with the favorites-
not on even terms in a quotation sense
of course. but 'in line" relatively In
SO doing the public bought enormously
Office in New York and in every other
city was plastered with the stuff, and
when the reaction set in the market was
in heavily overbought condition.
Technically this is regarded as weak
position for market to get into, and
1T proved to be the case on this occa-
sion; but to the general surprise the
decline In prices failed to dislodge hold
1ngs in anywhere near the volume antici-
pated. The present problem is whether
1t will be dumped in quantities in the
event Of further marked recession OIL
whether such decline will not encourage
new public buying and the replacement
OF lines for account Of sold-out bulls.
The public received encouraging and
impressive returns from its heavy and
wholesale investments during and after
the panic Reversing the usual order OF
procedure, ii got In at the bottom, IN
stead of the top. and rode up with the
extraordinary market boom originated
William Rockefeller, H. H. Rogers, H. c.
Prick and their associates and follow
ers- AS q rule. the public stuck right
by the Investments. and whether II
bought on margin or outright Is away
ahead of the game. For a wonder the
public did little pyramiding on the rise
again displaying unusual and almost
uncanny wisdom. With this glowing and
satisfactory experience behind 1t, no won.
der the public fails to take fright land
to 10 point reaction after 20 to &C
point advance. 1t simply smiles. Later
on, If, say, 40 or 30 per cent Of the &C.
cumulated profits pass into the limbo OF
the vanished. then the public. may take
notice and possibly haste to grab off the
unconfiscated remainder. The public has
certainly enjoyed a novel and thorough.
ly delightful experience in its dealings
with Wall street. Consequently. it Is In
position and mood to regard with 9
feeling Of mixed contempt and indiffer
ence the market Juggling attempts to pu
through one of the old-time shake
outs"
The shaking out thus far has beer
confined largely to the light-waisted
thin-margined fraternity OF eleventh-houl
bulls. The great army of investor-spec
| ulatOrs has been thus far unmoved ant
| apparently deaf to the clamor and thu
ghost stories Of the bears.