New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1910-08-04

FINANCIAL MARKET
Further Liquidation of Big Stock
Accounts Reported.

ON a 1nOUPTdlplN dCllNS NoidihS VI
business stock market prices moved
toward lower levels in the best part Of
the day, with the heaviest maximum
losses among the prominent shares IN
Reading. Amalgamated Copper, Union
Pacific. United States Steel and North
ern Pacific. the last named issue making
a new low record for the year and
showing at it's low figure a decline from
the high of 1909 of As points. Selling Of
Northern Pacific was accompanied Dy
reports that the dividend would be cut
at the next dividend period, but as ac-
ton on the next quarterly rate is as far
off as the end of September the Sugges-
ton Of a readjustment of the stock to
lower income basis appeared TO be rather
premature Dividend reductions are In
the air. and according TO the bear party
in Wall Street all the representative
American railroads propose to pay less
on their stocks, not because Of falling
earnings, but as an object lesson to the
Interstate Commerce Commission in its
study of the propriety of granting per
mission to the transportation companies
TO advance their freight charges. The
theory that the railroads are determined
to show a poverty stricken condition to
the Interstate Commerce Commission Is
accentuated, from the Wall Street point
of view by the current reported de-
clines in net receipts in the face of gen
orally heavy gains in gross returns. 1t
hardly appears likely, however, that our
great railroad managers would employ
d:screditable bookkeeping methods in Or
der to gain the sympathy of the govern
ment.
The cost of operating the railroads has
increased to a tremendous extent in the
last year, and according to railroad Off
GERS further economy in expenditure &C
count is impossible, except at the ex-
pense of the physical welfare Of their
properties. The general decline in prices
was helped by the strength in the cotton
and grain markets, while bear sentiment
was encourag ed by reports from Chi
cago that the demand for finished steel
produrts in the Middle West showed a
material contraction in the last few
DAYS: also by the report Of The Iron
Age" which was not bullish. It may be
worth recalling that the United States
Steel Corporation more than earned Its
twelve months dividend on its common
stock in the first six months of the cur
rent wear. In the late afternoon cover
ing of shorts caused d sharp rally
throughout the list, last prices closing
we'll above the low range of the day,
with NET gains in most of the inactive
issues. It was learned from trustworthy
sources that forced selling was chiefly
responsible for the weakness in North
ern Pacific. the decline in which exerted
a svmpathetic influence upon Great
Northern.
Current stock market conditions are
stronger than they have been in many
weeks. as a consequence of recent heavy
liquidation on the Stock Exchange and
the taking over at private sale Of large
blocks Of securities by substantial flnan-
ciaI interests from certain people who
have become overeXtended in their spec
ulative and investment operations.
Whether or not the liquidating process
has been completed is, however, an I'M
known factor 1t is thought in many
quarters nevertheless, that the chief
weak spots have been eliminated from
the speculative situation and that the
market will present little of interest in
the immediate future, barring develop
rnents with pronounced bearing upon
industrial and railroad properties, as,
for instance, a radical change in crop
conditions, which at present are less
favorable than recently reported. The
July government report on cotton
showed material falling off in cond-
ton as compared with the figures of
month ago, but the increased acreage
should serve TO offset 70 a considerable
extent the deterioration in the plant,
though just now there appears 60 be no
disposition in the cotton market to take
a bearish view on prices II is expected
that the forthcoming report on grain
will indicate d reduced yield of corn as
compared with the estimates based upon
the June exhibit. which suggested a rec
ord breaking harvest Local money
rates showed no change of Importance
yesterday, while in London discounts
were firmer. Demand here for accom-
mediation is inactive in all departments
of the market. Gold is again moving
from the British capital to South Amer
lea