New-York tribune., 1910-01-28
FINANCIAL MARKET
HEAVY STOCK SALES.
Prices Break from 2 to 4 Points,
RalImng at the Close.

Stock market prices failed TO maintain
the improvement recorded in Wednes-
DAYS operations, and, in the early deal
ings, losses of from one to four points
were reported among the active issues,
selling pressure being most pronounced
in United States Steel and Union Pacif1c,
which found poor support, though SUBJ
stantial houses had buying orders Tor
the two issues on a scale down. Whlle
various reasons based on outside con-
siderations were advanced for the gen.
eral weakness, conditions in the Street
rather than extraneous factors, were re-
sponsible for the downward movement.
which left last quotations well under the
closing figures Of the preceding day.
The chief influence in Wednesdays ad-
vance was the activity on the part of
the shorts and buying by people who
considered the market at or near the
bottom, the stocks supplying the general
demand coming from interests who were
the leading buyers on the recent slumps.
The market opened yesterday without
the support of a material short account,
and with no Indication of speculative
buying by the public or aggressive
operations for higher prices in any sec
ton of the list, this situation naturally
attracting a resumption of professional
selling and some belated liquidation by
commission houses.
In the last hour the general market
advanced under the influence of hasty
retreat by the short interest, and at
the close the leading stocks were well
above the low levels of the morning,
though at subtantial net losses. The
change in the course of prices was
helped by the announcement Of the
declaration of the regular ST. Paul dlvl-
dend, and by the belief that the larger
interests had taken substantial blocks of
stocks on the early break; but at the
close the trading element, as rule, was
bearish and freely predicted further
liquidation before the development Of
sustained advance. There is such a
thing as oversta ying bear market, and
the fact that since the first Of the year
liouiC ton has been extensive ought to
suggest caution on the part of opera
tors who believe stocks a good sale at
prevailing quotations. At a matter of
fact stocks are beginning to look cheap
at current figures for investors, and the
weight of investment buying ought soon
to be heavy enough to encourage specu-
lative opera tons for higher prices. 1t
is an interesting fact that in the last
twenty-seven days stocks have lost most
OF the improvement recorded in 1909. and
that in many cases prices are no higher
a. +Iaoxy lo o1r o
The chief net losses were reported in
Anaconda, Atchison, Colorado Fuel and
Iron, Consolidated Gas, Reading. South
err Pacific, Union Pacific and United
States Steel. The Hill shares and Penn
sylvania were among the few issues that
closed at net advances.
The Bank of England made no change
in its minimum rate of discount yester-
day, and showed a high proportion OF
reserve to liability in its weekly return,
its percentage of 5185 comparing with
an eight year average for this period of
1921. 1t is customary for the British
institution 10 present large reserves at
this time Of the year. just as it is for
our own banks, but there appears little
likelihood Of a further reduction in the
discount rate in the immediate future,
especially as after the new Parliament
meets heavy new ffotations are expected
to come upon the London market. Ease
in money at this centre is due to the re-
turn Of currency from the interior and
TO the liquidation that has been under
way in stocks, but unless there should
be radical adverse change in business
"a l.
conditions in this country loan rates
should grow hrmer in the early spring
and exhibit moderate strength through
out the larger part of the rest of the
year. The vast destruction of property
in France from the heavy floods in that
| country and the consequent injury to