New-York tribune., 1910-01-14
FINANCIAL MARKET
STOCKS CLOSE STRONG
Il Day of FMctuation-Rock
Island Case.

Opening at generally higher levels, the
stock market yesterday soon developed
an uncertain tone, and upon the formal
announcement Of the governing commit
tees action in the Rock Island case a
sharp break occurred, due to concerted
selling. Thereafter the market pursued
a fiuctuating course, with alternate rail-
lies and declines. until late in the after
noon, when heavy buying orders in Steel
common We're sent in, the execution or
which started rally, which extended TO
the general list, the shcrts Fastening to
cover. The close was strong, with net
gains in not a few issues and with prices,
as a rule. well above the lowest of the
session. The total business was in excess
of a million shares, of which Steel COM
mon supplied nearly one-third, Reading,
which made the largest gain Of the day
. 1-S points-being second in point OF
activity. London was large factor,
buying about 10000 shares OF various
stocks on balance, out Of total OF 50,-
900 shares dealt in for that account. The
call money rate declined to 3 per cent,
although the ruling rate was 4, and
time money was easier for all maturlties.
The December statement of exports IF
domestic products was regarded as bear
ish, as it showed a falling off Of more
than $26, 100000 in value as compared
with the same month in 1908, and of
S25, 100000 from the figures of Novem-
Der, 1909 but it had no market influ-
ence. The total Of SSS, 100000 was the
smallest for December In several years,
the shriukage in the volume Of exports
of cotton and grain being a direct conse-
quence of the high prices ruling for those
commodities on the exchanges of this
country.
The break in prices which followed
the announcement of the suspension of
the two board members of one of the
largest Stock Exchange houses had no
reasonable basis and was accordingly Of
short duration. The action of the gov
erning committee establishes a precedent
of great Importance, and will probably
go far toward lessening the popular
criticism of the methods Of trading per-
mitted on the Stock Exchange. as indi
eating that the management is resolved
to do what is in its power to correct
practices which may result in injury to
the interests OF customers Of Stock Ex-
change houses, although such practices
may not be specifically prohibited by
any single section of the constitution.
The disciplinary step was decided upon
in the face of many protests from in
fiuential interests. the majority of the
governing body taking the position that
it was charged with a duty of a
semi-public nature. Although there was
no way in which the principal in the
transaction in Rock Island common could
be reached by the exchange authorities,
the penalties inflicted upon his direct
representatives will serve as a warning
which will deter other houses, however
important, from accepting orders for ex-
ecution in a manner similar to that of
the one in question; for the disposition
made of this case undoubtedly means
that exemplary punishment Will be
meted out to houses which in future
may venture to place orders the execu-
ton OF which must cause panic, con-
fusion and loss" The disciplined house
acted in accordance with long estab-
lished custom. but the exchange mas now
taken a forward STEP