The times dispatch. [volume] (Richmond, Va.) 1903-1914, 1910-07-03
Loss, From High to Low,
Amounts to Billion
Dollars.
PUBLIC GETS CAUGHT
Big People Are Clearing ii
Decks for Reorganization
Basis.
Especial to The Tlmes.Dispatch1

from high to low amounted to $1,000
100000. High-class stocks broke most
severely, and no sufficient reason was
given for the liquidation that comes
chiefly from high places. The general
public has stubbornly refused to sell
and is now involved in heavy losses.
which Will grow more heavy as the
year advances. There is no longer
any doubt that tho big people are
clearing the decks They are putting
the stock market al level where gen.
eral reorganization of corporations can
be brought about without further dis
aster.
Quotations declined on Wednesday
and Thursday SO rapidly that 1t was
necessary for bankers to call meet
Ing and agree 10 support the market
There was quick rebound from the
low prices. and Fridays opening was
strong and fairly active. Prices shaded
of again, however, and little comfort
could be had out of the weeks trans.
actions. Even the professional bears
were afraid to follow the decline, not
understanding exactly whore they
stood.
Make Much Money.
party OF daring professionals made
a great deal OF money this week, and,
hypnotized by their own success, mag
tie break. The decline has been due
to fundamental reasons, and It is
doubtful whether the rate decision by
the Interstate Commerce Commission
or the reported loss in the spring wheat
belt had anything to do with the break
In stocks. The most important men in
finance said positively that these things
did not influence them In selling.
The Interstate Commerce Commits
~ nrH n ~ -
the Pacific coast shall not charge in.
land towns higher rates on westbound
traffic than is charged TO the seaports.
corrected an abuse of twenty years
standing. The decision is absolutely
fair, and the railroads cannot maks
any successful objection TO It, They
have promised the shippers of the in
land towns an adjustment OF rates for
many years, but have never made these
PROMISES good. That the Interstate
Commerce Commission has finally en-
forced justice is very strong poin.
in favor Of American securities. The
new order or compelling railroads TO
maintain the square deal is starting
of we'll
AT the same time that these un,us.
rates were ordered reduced the com
mission permitted the advance OF man.
rates in various parts OF the country.
me record OF the commission is splen-
did SO far, and there is every promise
OF hishiy prosperous times for both
railroads and shippers when once the
numerous disputes are adjusted
Heavy selling of wheat late In the
week with sharp decline in price
Verihed the belief that the crop dam
age IN the Northwest had been Gag
serated There will be some shrinkage.
but the spring wheat crop will NOT he
5o,Oo0.00o bushels less than expected.
Copious rains have improved material
ly the last few days. ,rhe actual har-
vest returns from the winter wheat
belt prove that the crop killers wen,
too far in their work in that region.
1t is only fair to assume that tley
have been extreme in the spring wheat
belt also. The corn crop promises
from 30o.ooo,O00 to 40o.0oo.ooo bushels
more than last year. The hay crop is
short in the Northwest, but with a.
100000 acres more Of crops planted
In the United States this year. than
last. there is certainty of greater
crops this year. even making allow
hnces for losses imagined. Following
the departure of E. II. Gary, chairman
OF the steel trust, for Europe, the
street got reports that the earnings OF
the trust for the quarter ended June 30
would be under s4o.ooo,ooo, High Of
hcials of the trust do not hesitate to
say that they expect record breaking
earnings for the whole year Orders
IN the books are sufficient to keep
The trust going, even though there
should be curtailment of new business
Tor the balance'of the year. The Union
Pacific and Southern Pacific reported
record gross and net earnings for May.
The Pennsylvania had heavy increase
IN gross. but operating expenses were
20 large that 1t was turned into small
Jet decrease. The Northern Pacific is
understood to be preparing a report
that will show gross increase turned
INTO net loss
To Curtail Copper.
1t was disclosed late in the week
that officials OF the Amalagamted Cop
per Company are in England confer
ring with the Japanese ambassador
and the Rothschilds for curtailment of
copper production in Spain and Japan.
Persons who know the stock market
habits of the Amalgamated party are
of the opinion that these negotiations
will be drawn out as long as possible
to cover up liquidation OF Amalgamat-
ed and Anaconda. An agreement to
aurtail production of copper is absurd,
Modern machinery Will produce
all the world needs. The day Of the
over capitalized high cost producer is
ended.
Another important feature OF the
week has been movement among
trust companies to guarantee bills of
lading so as to give these documents
free circulation among banks The
Idea is to have trust companies in |
the agricultural districts guarantee
that the goods described in the bill of
fading have actually been put in tran
sit This will undoubtedly be success
full, and will remove apprehensions OF |
a money disaster this autumn. Banks |
of the West are liquidattng many of
their loans and preparing for the
crop moving. They have done this at |