Omaha daily bee. (Omaha [Neb.]) 187?-1922, 1910-06-08
NEW YORK STOCKS AND BONDS
Spasmodic Recovery Follows News Of
Railroad Agreement.
PRICES JUMP AT OPENING
Market FavOrabIy Affected by Com
putatIons Made by Officials of BiE
Lines-Excess of specu-
Iative Operations.

NEW YORK. June The stock market
greeted the news OF an agreement on the
rate dispute between the government
authorities and the railroad executives
with spasmodic recovery of the de-
clines Of several days past. The excess
OF speculative operations for the decline
based on that conference was demon
strated beyond dispute. The demand from
uncovered shorts was so urgent and inn
perative as to cause an opening jump in
prices rarely equalled for wildness and
disorder. When the first wild scramble of
the bears to cover shorts was over there
ensued more conservative view Of the
situation and IL was not until the end of
the day that prices rose again to the
best.
The difficulty of appraising the news
grew out OF the stress laid on the pre-
Nious speculation on the immense inn
portance TO the railroads increased freight
rates which the government was oppos-
ing. The Generalization in stocks caused
by the injunction against a small percent
age OF the proposed increase contrasted
with the violent rebound of the postpone
ment by the railroads of all the proposed
increases and their voluntary submission
to the provisions OF the pending railroad
law constituted a seeming anomaly. The
explanation came partly from the fact of
the greatly extended short interest which
was forced to buy stocks, but which hoped
to do so at a. further decline. 1t was
evident also that great relief was felt by
the railroad officials over the abandon
in return for the surrender Of the proposed
rate increase.
The influence of the announcement from
the White House was enhanced by the pro-
LESSONS OF satisfaction from railroad Off
Gals who had expressed most alarm over
the suit to enjoin the rate advances and
their opinion that threatened cessation of
Improvement might not prove necessary.
Negotiations, II was said for the sale OF
900 of Michigan Central bonds in
Paris, which had been suspended, would
be resumed and this assertion was of more
effect on sentiment than yesterdays news
of the sale Of $25,0O0,O00 of Southern Pacific
bonds in Germany In spite of the rate in
junction.
The unsettled tone which interviewed after
the opening jump was much emphasized by
the atural tendency to realize profits on
so considerable a rebound. This selling pro-
ceeded to such lengths especially in st.
Paul as to arouse a suspicion of renewed
LIQUIDATION on account OF an important
capitalistio group Public expression OF
lukewarm satisfaction by a prominent
member OF the group seemed to shift sus-
piclon to that of a purpose to Ndepress
The agreement made by the railroad eX-
| ecutives to leave the rate increases TO
the operations Of the new railroad law
shifted attention to the progress or that
measure through its final stages ana the
definitive for which it might take.
the computations made by railroad Of
ficials of the time that could be saved ir
putting into effect new freight rates by
| the consideration that could be given tc
| the new schedules by the commerce com
mission pending the enactment OF the new
| railroad law.
Bonds were irregular. Total sales, pal
value, $276S, 600. L. 5. bonds were un
| Nun,her ~ sales and principal quotation.