The Birmingham age-herald., 1910-11-14
STOCKS TURNED BY
 ELECTION RESULTS Stock Prices Take an Abrupt
 Decline LABOR HAD INFLUENCE London Economist Says 1910 Has Been Year of Lowest Recordssfn His tory of British Stocks-Banlx
 Loans Increase

New York, November 13--The e1ec- tions proved to be a turning point in the stock market but not in the d. rection anticipated by the speculative movement. For weeks nearly everyone who took any part in the specula- tion had been buying and bidding up stocks on the assumption that the passing of the elections would release waiting demand which would prove to be an absorptive movement for profit taking sales. The condition was that every speculative holder was de- termined to sell stocks on the day be- fore election, whatever the political re- suit might disclose. The general out side demand was entirely lacking. The abrupt decline in prices resulting from the realizing sales demonstrated how narrow and restricted had been the circle of the participation In the operations preceding the election from which 1t resulted that all previous buy CTS were turned into eager sellers.
 The prediction movement was based on correct forecasts of the coming po- litical overturn but the extent of the reversal was greater than looked for and disturbed financial sentiment by the new possibilities presented.
 With the passing of the political fac tor and the failure of their expected effect, other doubtful factors derived renewed force. The position of the banks, the money market and capital supplies as we'll as the labor outlook came forward again and asserted their nrtt l,of cure new capital are confronted with the condition that after months of al- most total abstention from new is sues the best terms offered by bank ing syndicates are considered practice ally prohibitive. The contention that the difficulty would be removed by permission for the railroads to increase freight rates and thus improve their earnings and their credit does not take account of the wider existence of the conditions complained of. The fall in British consuls to 74% prompted a review of investment conditions by the Economist of London, which led that authority to this conclusion:
 Tn point of fact 1910 has been year of low records. On looking through the price of the best classes of invest ment stocks, we find that many of them stand lower than at any previous time in British history"
 The sustained high cost of living and the difficulty thus engendered of settling terms for wages of labor, go hand in hand with this problem of re- turn on capital. The persistent growth of the excess of bank loans over de- posits is allied to 1t. So also, Is the keen demand for currency and credits by interior banks which came to the New York banks again last week. Re- newed attention Is thus called to the expanded loan position of interior banks and to the pressure upon this position involved in the crop moving demands.
 The decrease in unified orders on October 31 reported by the United States Steel corporation, the sustained production reported by the Copper Producers association of October, and the expressmen's strike in New York were disquieting influences of specula- tive sentiment.