New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1910-07-01
FINANCIAL MARKET
Further Liquidation Marks the
Course of Stock Trading.

Stool, market prices went to new 10"
-.cords for the year in yesterdays carry
transactions on a volume OF business
that amounted TO 1.539277 shares
Tio,,idation of accounts representing eH-
bausted margins, actual llquldatloh VI
investment holdings by people WIZ
either were compelled to secure CASH.
though at a sacrifice, or else were frlsht-
o,,ed hv the gloomy atmosphere OF wan
Street into the belief that the railroads
&c tho country are going into bankrupt
OK. and professional bear pressure in'eii
.;ead hv heavy selling by foreign houses
were the factors responsible Ior IildNi-
Mum declines that ran from 70
noints among the prominent issues sen
;r,o NV London encouraged the idea that
foreign interests were alarmed oNel TIC
nosition Of affairs in this country, anu
naturally suggested to the speculative
,i,,d the theory that our railroads would
Ia unable to secure further creolt
abroad. A large volume or the puSlheSS
WAS made UP OF forced sales. Many peoplo
were compelled to sell, no matter "h"'
their ideas may have been regarding 'lle
intrinsic value of American lINes'iileh'
securities. for the good reason that lile
aoo1;,a in prices in recent days pract-
ooIl,- had wiped out their margins, While
+be,- had no additional credit TO place
against their commitments. There nave
heen many similar movements on lie
Stock Exchange. and there VIII De many
more in the future.
At the low points the shorts were active
buyers. and In the early afternoon au-
1-ances from the maximum decline ran
from to 4 points, with closing prices at
NET losses Of from fractions to as much
as , points among the active ISSUES
The general character OF the tradlhe III
the last two hours of business appeared
10 indicate that liquidation had run us
course for the present, but preolctoHS
were not lacking that on all rallies Iur-
Their liquidation would occur 1t would
seem. however. that based on technical
market conditions the rally that devel-
oped after the severe break in yester-
DAVIS operations would run materially
further. Stocks are in stronger hands
to-day than at any time in the last
twelve months. Sterling exchange was
weak yesterday. despite the fact that
under normal conditions higher rates
would develop as consequence of
demand for remittance incident TO in
terest payments due abroad in July, and
the absence of such a demand was
thought to represent an accumulation of
credits here for London account for
stock market purposes.
The local banks are losing substantial
amounts or their operations with the
Sub-Treasury and the chances are that
the weeks interior currency movement
will be against this centre on net re-
suits As a consequence Of heavy re-
ceipts from customs and from the cor
poration tax. the federal Treasury came
through June with an excess Of receipts
over expenditures of more than SS,UOp,-
900 on ordinary account, while for the
fiscal year the deficit amounts to only
little more than S5,0O0,0oo. compared
with q deficit Of more than S64 OOU.pO0
in the preceding year, with the deficit on
all accounts S40,576 100 against $123,
SAL, S39 in 1909. In the year upward Of
$40, 90 900 was paid from the Treasury's
gene. al fund for Panama Canal con-
struction. but this amount will be re-
turned when the Secretary of the Treas
ury sells Panama bonds, which he can
do to the extent Of $3.50. $50, 900, this
sum representing the unissued balance
of an authorized issue of 1919, zoo, $50.
The total amount of money spent on the
Panama Canal since work on the project
started is 500, ga 700, Of which SIG
49,, ia has been paid from the general
fund Material improvement has taken
place in the governments cash working
balance IN the last month, and from