New-York tribune., 1910-06-29
FINANCIAL MARKET
Forced Liquidation Marks the
Course of Stocks.

Further heavy liquidation was re-
ported in the early dealings in yester-
days stock market, though prices failed
to record such extensive losses as
marked the course Of business in the
late transactions Of the preceding day.
while only a small part Of the morning S
decline was shown in final quotations.
Forced selling was marked in st. Paul.
Atchison, Reading, Union Pacific and
United States Steel, and one of the IN
cidents of the trading that plainly re-
hected compulsory liquidation was sale
Of six hundred shares of Lackawanna at
$50, decline of 20 points from the last
preceding transaction in the stock The
extent of the decline in prices in recent
months has weakened many accounts
that ordinarily would be called strong
Cnes, and the break in Mondays market
has compelled investment selling in vari-
GUS parts of the list to protect specula-
tive commitments. In addition to this
sort OF liquidation there has been a
large volume Of selling by people who
have been frightened by the course Of
prices into the belief that the only thing
worth holding at this time is cash. This
is q development that often marks the
approach of the end of bear market.
Stop orders were caught in many issues
in the early decline, especially in st.
Paul, which sold down to 119, new low
record for the year, representing a re-
turn to buyers of the security Of about
6 per cent, on the assumption that the
stock is to be maintained on a Z per cent
dividend basis. United States Steel
common touched 73 5-S, also a low rec
ord for the year, while in all thirty-two
issues made new low points for 1910
The activity Of the morning was not
maintained in the afternoon, and in fnal
dealings a decided lack of interest was
manifested, though in a few issues
notably Atchison and the Wabash
shares resumption Of operations fol
lower prices was reported. In most
issues fractional net declines were
shown. The wheat market was strong
on further adverse weather reports from
the spring wheat belt
complain of an absence of investment
demand in the stock and bond markets
and they find that in spite of the attrac
tive buying prices at which the large
number of high grade issues are quoted
individual investment capital is mac
tive as far as the securities markets arr
concerned There appears to be a fail
supply OF idle capital in the country, bu
il is in the hands Of the few, and at th'
moment is not seeking investment In
diViduaI capitalists, rule, have thei1
funds locked up in good securities, il
real estate and in other forms of invest
ment, and they are not in position t
take advantage Of the current Oppor
tunities on the Stock Exchange, where
the forced liquidation of speculative ac
counts. and even of investment hold
ings in cases where operators have beer
compelled to raise cash to protect specu
latiye commitments, is being taken car,
of by institutions and multi million
aire interests who eventually will secure
handsome profits on purchases made OF
the declines Stocks like American Cal
and Foundry preferred, United States
Steel preferred. International Harvester
preferred and American Sugar Refining
preferred, among the industrials. and
Baltimore & Ohio preferred, Grea'
Northern preferred, Louisville & Nash
vile. Manhattan Elevated, Pennsyl
vania and Union Pacific are among tn,
many railroad issues that are worth buy
ing at prevailing quotations. Union Pa
citlc, for instance, yields about q pei
cent, and United States Steel a little
more than q per cent on the basis o
yesterdays low prices. The list presents
many more solid investment securitie:
that are cheap at present figures, ever
though prices should go lower. Th'
market for railway and industrial com
pany mortgage issues offers similar op
portunities. Adams Express Compan.
Is. American Tobacco is, New Yorl
Central 315s. Frisco 5s, Seaboard All
Line adjustment 5s, Southern Pacif'
| refunding As and United States Stee