The Washington herald. [volume] (Washington, D.C.) 1906-1939, 1910-01-13

New York. Jan. 12-Another severe
break in prices to-day carried the stock
market as a whole to a level that was
not only lower than any seen in the
present year, but was also below any
recorded In the last six weeks Of the
year just ended. Up TO noon the ten
dency was toward a moderate recovery
from yesterdays decline. The market
was at no time demoralized and seemed
to be entirely in hand. For all that an
urgent desire TO sell stocks was obvious
and nothing like determined support in
the face OF the selling movement was
visible anywhere.
At the close there were no active stocks
Of Importance higher than at the end
Of business yesterday. and declines Of
one TO two and a half points in promi-
nent shares were scattered. Among the
few stocks that did make net advances
were the Pacific Coast common and sec
ond preferred, for which sufficient reason
was to be found in the advance Of the
quarterly dividend on each of these issues
from Ii to Il-2 per cent
Small gains were also exhibited on a
limited volume Of trading by the Ameri-
can Cotton oil Company General Chemi-
cal. American Linseed common, and one
or two other stocks of like class.
Northern Pacific Weakness.
While the declines created a more or
less disturbing impression in view OF
the steady heaviness that the, particular
issues named have exhibited for many
months back. the weakness Of the North
ern Pacific and Great Northern preferred
shares commonly known as the Hill
stocks, was a feature. The strong de-
clIning tendency in these stocks spread
Immediately TO the Chicago. Milwaukee
and ST. Paul. Union Pacific. Southern
Pacific. and other railway stocks Of stan
dard grade. The industrial issues for ii
time seemed 10 hold better than the rail-
way list, but they. too. weakened as the
fan gathered force Final prices were
/ in general nearly at the lowest Of the day.
Specific theories TO account for the
change in the character OF the market
since the beginning Of the year were
again to-day numerous. Talk OF the like
/ lihood of a tariff war with Germany and
/ among the Republicans in the House Of
/ Representatives, evidences Of the deep i'm
pressions made upon public sentiment by
the high cost Of commodities, rumors
that liquidation had been directly or In
directly brought about as the result Of the
Rock Island scandal, and the prospective
discipllning OF members of the stock ex-
change in connection herewith we're, with
many others. reasons" prominently ad-
verted TO in Wall street gossip.
IN the main. explanations Of this sort
did not appear 70 be as convincing 20
the rank and file OF those interested in
the stock market as they did some days
ago.
Effect of Cotton Futures.
On the other hand, d collateral cause Of
to-days decline was undoubtedly a fur
/ Their collapse OF the speculation for the
rise in cotton futures, which has lately
been carried 20 such extravagant limits.
/ At one time to-day the price Of the lead
/ ing cotton options was nearly 80 points
/ lower than the highest point touched a
| few weeks ago.
| A fairly large proportion OF the Gus
| toners OF Wall street stock commission
firms have engaged themselves OF late IN
cotton speculation, and the current calls
! for margins by cotton houses may very
/ likely have had something to do with the
/ Liquidation of stocks
Again, too. the results Of the conference
held yesterday and the day before by legal
representatives Of the Union Pacific and
Southern Pacific railroad systems regard
| ing a proposed settlement Of the govern
ment suit to dissolve the connection be-
tween these two railroad companies have.
| It is believed, been highly disappointing
TO the corporate interests concerned.