The Washington herald., 1910-03-16
WALL STREET NEWS
Market Weak; Heavy De-
clineS in Steel Common.
EXPLANATIONS ARE MANY
Threatened Strike of western Fire
men, and signs of a Closer Work
ing OF the Money Situation Given
as the Chief Causes-Drain on
Money Due TO Export Much Felt.

New York, March l5.-To-day the Sc
curity market exhibited more fully than
at any previous time the effect OF the
large proht-taking sales of stocks made
IN the course of the last week. Nester-
day a strong sustaining feature IN the
market was the fact that to-day the
United States Steel common shares would
sell, with an unusually large deduction
and extra dividends 10 be distributed at
the end of January. Not intrequently
at such times the market valuation OF an
active stock RECEIVERS its dividend rather
quickly and spectators for decline
are as a rule wary in extending COM
mitments for the fall under these cir
cumstances. To-day this helpful factor
was not operative and the Steel common
shares made an extreme decline. making
due allowance for the dividend deduction,
of Is points, although, the net decline
was not quite as large.
The case of this particular stock was
not exceptional. Recessions between l and
points, and in some instances. an even
greater fail, occurred in the Union Pa
cifc, Reading. Southern Pacific, Copper
Northern Pacific. and other leading
stocks.
Explanations Are Numerous.
Explanations OF the usual Wall street
sort were. of course. current for the
weakness of the market, these having
reference chiefly TO the threatened strike
of nremen on the Western railroads and
to the signs of closer working of the
money situation and II may very well
be that a more thoughtful consideration
of the last named factor was, indeed
potent in causing the drop.
Cal money rates to-day touches
higher level than they have for more
than a month, and time money grew
continually frmer. Quoted rates gor
time finds are now decidedly higher
for all dates than they were thirty days
ago. Upon this point It can only be said
il would be remarkable If any other
course had been followed by the price
Of money than that which has been
witnessed in the last few days. The
conditions of the clearing house banks,
as disclosed in both the average and
actual forms OF the return is now
number of past years. excepting those
in which a great monetary plethora ex-
lists, and with the balance Of trade run
ming so heavily against US as II does.
Drain on the Money Market.
With every indication that the Bank
OF England's discount rates may be sd-
vanced in the present week. il is not
improbable that the drain OF money to
the West for agricultural purposes just
now. causing such heavy daily losses to
the banks. may be increased by exports
or gold to London. It is admitted that
sterling exchange is still considerably
below the point at which metal remit
tances can be made abroad, and that the
large quantity Of securities, chiefly bonds
that have been sold to foreigners I'm the
immediate past, will serve as an infiu-
ence counterbslancing whatever natural
movement Of gold 10 Europe might other
wise take place from this side. At the
same time. the general money position
seems hardly such as to give stout en-
couragement just at this time TO any
ideas Of a sustained rise in stock market
values. AS regards the foreign pur-
chases Of bonds. TO which so much at
tention has been justly paid recently.
there were international bankers to-day
who declared that the European demand
for these securities was at the moment
less vigorous than it was a week or a
fortnight since.