Norwich bulletin., 1910-07-23
FINANCIAL and COMMERCIAL.
SHARP RECOVERY
Late in the Day the Result of Bears
Covering.

New York, July 22-Thef bear party
vas not much molested in its opera
tions in stock today. The decline in
| prices encountered little effective re-
sistance in the form of buying orders
| except such as the bears themselves
| supplied when they covered shorts
| from time to time. At other times the
| buying consisted simply in acceptance
at concessions. and the concessions
were made rapidly for the most part.
The operations were congeSted largely
in a few of the speculative stocks, but
the price concessions applied to the
whole list, active and inactive. The
sales effected in the active stocks and
the proportions of the declines Obvi-
ously represent important progress
towards the liquidation and the adjust
ment to conditions which are sought in
such movement. Bear covering
caused the sharp recovery late in the
day.
The cut in the National Lead divi-
dend was the oStenSible motive for the
sentiment of encouragement in the
speculation which overcame the mar
ket. The incident was thought scarce
ly adequate to explain the extreme de-
preston of speculative sentiment and
other causes were sought. The show
ing made by the national banks in the
compilation of returns to the controller
and the fears of poor quarterly
statement by the United States Steel
corporation at next Tuesdays meeting
of directors were cited as possible fur
Their grounds for the tone of the mar
ket. The National Lead itself was
much more influential from differences
drawn from it than for the Importance
of the action itself. AS the company
is comparatively small engaged in ar
industry subject to individual lnfiu-
ences, and, moreover, with varying
dividend record, owing to the custom
of disbursement up to near the. limit
of earning power the reduction in the
amount of the disburseme might
pass ordinarily with little notice The
personality of the ca capitalists credited
with the control of the company, how
ever. made the action influential as a
possible index of financial and specu-
lative policy. The parallel interests in
copper of the same financial interests
and the suspicion of conflict OF
opinion over the allotment of copper
production in the effort to settle on an
agreement for curtailment begot the
suspicion that there might be a sign
of a stock market contest that might
prove damaging to onlookerS as well
as participants.
The consideration of the condition
of the national banks of the country
was more limited to bankers, but may
not have lacked influence on the stock
market for that reason. The nominal
decrease in loans since March. report
ed on June 80, when considered in con-
nection with the greater loan contrac
ton by the New York banks for the
same period as no decrease at all. but
an increase of over s2s,000,000 outside
New York In the same way the in
crease in loans of 1894, 900 in the
yearly comparison has to take account
of the New York decrease for the same
time included in the total, which indi-
Gates that outside of New York there
has been credit expansion of $476,-
$4,000 in a years time. The pre-
vailing note of warning in the banking
world was amply explained by this
showing, and also the active prepara-
srN1A, 4l,-
ton of the banks.
Bonds were irregular. Total sales,
par value, 1928 0G0. United States
bonds were unchanged on call.