New-York tribune., 1910-06-28
FINANCIAL MARKET
Losses of from | to q Points in
Active Issues.

Weakness in stock market prices yes
terday was based in large part on the
absence of an active commission house
demand for securities and on adverse
weather reports from the spring wheat
belt, advices from the Northwest being
extremely pessimistic over the present
condition of the crop. Reports from
other agricultural sections were encour-
aging. and from the action Of stock
ouotations one might have imagined
that spring wheat is the only crop our
farms produce. Spring wheat is one
of our smallest crops, and while serious
damage to the growing plant supplies an
unfortunate development, 1t need not be
assumed that dispatches asserting that
the injury represents a loss In the nnaI
WELD Of from 15 to so per cent from the
early June estimates correctly reflect
the actual situation. Wheat acreage
that has been lost will be reploughed
to fax. q paying crop. Cotton and corn
are our most important crops and both
are doing well. Moreover, there will be
a large harvest OF winter wheat, Whlcn
IS now being gathered, and heavy har-
vest Of oats and hay. Wall Street imag-
ined yesterday that damage to the wheat
crop Of three states would drive the
railroads of the country into an exten-
sive retrenchment policy.
Prices dropped from 1 to points,
with one of the heaviest declines in
Reading, which does not depend on
grain traffic for its profits. Speculative
liquidation was noticeably heavier
throughout the list than recorded in re-
I cent Declines and it was helped by un-
founded reports that the country's lead
| ing banker was i'll. The market prac-
tically was under pressure from start
to finish, with such losses as AS in
Reading, 2lz in Amalgamated Copper
3l6 in ST. Paul, rs in United States
Steel and 45s in Union Pacific. In the
late afternoon trustworthy advices from
the West were optimistic regarding the
position of the crops, even the reports
from the Northwest being more cheer-
full. but these factors failed to attract
| demand, except to a small extent from
the shorts. Stocks are going into strong
hands, reflection Of which will be
found in higher prices later in the sea-
son The constant pressure on the mar
ket in recent weeks, however, is forcing
| liquidation from quarters where IL Is
financially impossible to maintain po-
sition on the long side Of the market
The relatively light gain by the banks
in cash holdings last week, as disclosed
by Saturdays Clearing House statement
| anparently indicates an increasing de-
mand for currency at interior points ana
foreshadows earlier Withdrawals of out
side bank balances from TINS cehtre
than usually recorded in connection Win
crop requirements. Fortunately the 10
cal institutions are well prepared TO
meet an interior drain, ana, ihoieoHei'
conditions in the sterling eXchahse mar
ket suggest that it would not require
r,,,ch of an advance in money rates mere
TO encourage a movement OF goiu iioiii
Europe Demand rates are no" Iioie
than . cents to the pound sterilhs uiiiei
/ the level prevailing at tins tlihe d NeN'i
ago. the decline being due TO easier us
1 counts in London, Improvement III ou1
export trade and the offering OF bllls
against sales of American securltles
abroad. Interest payments due by TINS
country in Europe on July ! nave peeh
arranged without affecting sterilhs
rates. and the fact that these payments
cali for unusually heavy sums makes
| the operation especially slgnlncahL as
| showing the marked Improvement that
| Tac recently taken place in our exchange
market. In the London settlement yes
! ferdav the contango on American stocks
was AZ per cent. against 4E per cent
! fwo weeks ago, while the banks charged
az per cent on Stock Exchange loans
as compared with "A per cent at the
/ preceding settlement. large account
! i'm Americans WAS shown.