New-York tribune., 1910-06-03
FINANCIAL MARKET
Sterling Exchange Weak at Is
Point Decline.

In the early dealings in yesterdays
stock market prices showed declines Of
from TO points. as compared with
the closing OF the preceding day, while
in the subsequent operations an irregu-
lar recovery was reported which car
ried quotations for the larger number Of
issues 10 within small fractions Of the
final figures in Wednesdays operations.
4 cessation Of frightened liquidation and
an apparent determination on the part
OF banking interests 10 prevent q con-
tinuation Of professional attacks upon
the market were effective in attracting
an active covering movement, which
was most pronounced in st. Paul, Anal
gamated Copper. the Hartman issues
and Reading. although profit taking
sales on the advance in these stocks
were large enough 10 interfere with the
expectation Of closing at net gains
ST Paul ended at q net loss OF S.. its
final price, however. being Is. above the
low level Of the morning. Reading
closed = down from Wednesday. but
IL up from the low OF the day, while
corresponding Improvement from the
first hour prices was reported by Union
Pacific. United States Steel and other
leading issues. In spite Of the advanc-
ing tendency IN the afternoon specula-
tive sentiment was bearish. and the ad-
vices sent out by many commission
houses suggested selling on all ad-
vances. on the theory that prices will go
10 a lower level in the course OF the
summer months. II prices go lower in
vestors should buy. Little attention was
attracted by the reduction by the Bank
Of England in its minimum rate OF dis
count 10 81 per cent. or by the govern
ment report on cotton showing a condi-
ton percentage much higher than the
cotton trade had expected. The two
factors, however. doubtless will receive
the recognition 10 which they are en-
titled as soon as Wall Street forgets its
present morbid theory that industrial
ruin confronts the. nation. Foreign
houses again bought stocks in this mar
ket-
Sterling rates moved toward a lower
level in yesterdays foreign exchange
operations as 3 consequence OF heavy
offerings Of bills against sales OF Ameri-
can securities abroad. At the low price
recorded, the short interest was an ac-
tive buyer. but in spite Of purchases for
this account the market closed we'll
under Wednesdays fnal quotations.
with the character OF the operations re-
ported suggesting cheaper figures in the
immediate future, although the idea Of
decline 10 the sold importing point
was not entertained in yell informed
banking quarters. There have been
heavy purchases OF our securities by
foreign houses in the last two days. but
the chances Gre th2; or the development
ot a rally in prices besed upon technical
market conditions stocks taken for
European account on the heavy break in
Stock Exchange quotations. following
the announcement 81 the decision o. the
government 10 proceed against the rail-
roads that have combined 70 advance
freight rates, viii he offered for sale for
the realization of quick profits. Outside
y the foreign speculative operations in
The current lacal market further buying
fCr European investment aCcoant IS re-
ported Notwithstanding The efforts Of
hez- interests 70 convey the impression
that tae federal injunction proceedings
2eajns, the Western railroads mean the
Development of Industrial chaos in this
country There Is a strong prooa biIity
5hat tie United States viii not 50 cut %
b1sinsss- Such q statement VIII not be
vel received N hear circles, bIi q; this
particular time bears on the country are
not entitled 10 The small, 81 amount %
cvIslderat-1n- Il IS Nc; unlikely That
he differences between The railroads
ana Ihe govsrrneng viii te adjusted IN
basis Jhz, eventually VIII strengthen
or transportation business and add in
IriEstc- slut 10 Amerio an investment
securities -heush fer time therc may
bs ,lheastness = s1e speculative Gem
-1nity-