The Washington herald., 1910-01-15
WALL STREET NEWS
Heavy Liquidation Carries
Prices to Low Level.
NOTHING TO WARRANT FALL
Developments of Day, Excepting the
Weather, Not UnfavOrabIe, and
London buying Is GOOd-DecIines
OF from Two 10 Four Points Just
Before Close of the Market.

New York. Jan. 14.-Heavy liquidation
Of stocks on e scale greater than any
witnessed in recent months. and which
indeed carried the average price OF secur-
files down to q lower level than any
touched since the middle of last August,
was in progress on the stock exchange
to-day
Il was time, also, as seemed, Of a top
ping over OF speculative pyramids every
where, for a large fall occurred In the
price OF wheat, and there was a break n
cotton even greater proportionately than
there was In stocks. The price Of cotton
declined over So a bale, OF to q price OF
" S14 bale below the high price OF few
weeks ago.
All this was the more noticeable be-
cause there was nothing In the develop
ments Of the day, except the damage
that viii doubtless be caused by the
current storm. and the temporary Grip
ping Of transportation and telegraph
services incident thereto. that was in any
way unfavorable. News from abroad
was. on the other hand. distinctively IA
vOrable, the London security market being
described as almost buOyant before the
beginning Of business here, owing 10 OPP
timistic financial views concerning the
result Of the coming Parliamentary cleo
ton, and TO a decidedly easier undertone
in the general European money situation
Money Rates Lower.
Here, to, money rates most or the day
were lower than they have been at any
time thus far this year. the majority Of the
days call loans being made at 80 PEI
cent. with time money abundantly
offered. All surface indications were that
to-morrow's bank statement viii show a
large increase in the surplus reserves,
The banks have gained. according to the
usual advance summaries, over a6,00o,Oo(
in cash. as the result of the weeks money
movements. while the decline in stock
valuations ought to be, and almost GER
tainly have been productive OF a proper
tionate decrease IN loans. II would not
be surprising If the bank surplus in to-
morrow's statement is shown to be en-
larged by over 100000.
But these considerations were not re-
garded at all during the day in the specu-
lative quarters OF the financial district.
It was obvious even TO tyros that the
UNDERMINING Of the stock market was
being vi5lbly shaken. not only by 'bear"
operators but also by a strong and wide
spread pressure to sell stocks held for
the same rise.
Gains Not Commensurate.
At the opening OF the market prices
were higher than they closed yesterday
an initial impulse to the advance being
afforded by the more elevated range OF
quotations sent from London. and by
fairly large purchases Of gtocks here for
foreign account Attention was excited.
however, by the fact that the gains thus
made were in no instance commensurate
with those sent from London. and 1t soon
became plain that our market was in no
mood 70 share IN the more cheerful feel
ing prevalent on the other side Of the
Atlantic.
Selling OF stocks was resumed. and VI
to noon the decline IN the market went
on in a more OF less steady and sag
ging. as distinguished from a violent
manner. From then on the pressure was
applied with greater vehenence, and ex-
erted the more effect because one or two
rallies that took place in the early part
Of the afternoon were exceedingly short
lived
In the last half hour OF business I,
could truly be said that the market was
in a state OF decentralization, and declines
at this time OF between two and four
points were frequently exhibited among
the leading stocks In the main, final
prices were but little above the lowest OF
the day. The Rock Island common and
preferred shares were the only ones
showing no declines.