The Birmingham age-herald., 1910-04-03
THE ICE IS THIN
 ON WALL STREET Hard Lines for Odds and Ends
 of Stocks SOME LOSSES IN COPPER Ac.uni Reforms Are Reported In New York Stock Exchangc--some of
 the Abuses Are to Re
 Eliminated
SOME LOSSES IN COPPER
By ". G. NICHOLAS

New York, April 2.-(Special. .)-The Ice mas been thin and full of rotten spots the iast week or more. In a big, broad sense 'i'e general market has been fairly well sustained but 1t has been hard lines for odos and ends and for several specialtiee or hitherto good repute. There have been enough accidents on the wrong side of the market to cause indefnable distr,,si ana good many traders who act on instinct when they see something they dc Eot understand closed up their deals and became spectators until the situation cleared. The average of prices has re- eeoed somewhat and there seems to have ceen a weakening of the buying powers
 very essential element to a live. heaithy s'och market. At the same time there does not appear to be a very important enlargement of the short interest. The bears act as though they were as much
 III doupt as to the future course of prices as the bulls.
 For one thing the decided reactionary tendency of the bond market has been d decided influence in the stock depart ment. There goes on continually a drip plng of bonds on account of a large mass of individual holders. Insurance com panies trust companies and estates are also letting go of bonds where they can do so without loss, although both insti- tutions and carefully managed estates are handicapped by the fact that they have trouble In reinvesting capital thus released. They are compelled by law and by rules of common prudence to put their money into safe things, and the list of safe things with good income re- turns is notably restricted and becoming niore so all the time. Since the first or the year the bond market has been over-fed and that is one of the reasons for the present torpidity. Given time to digest the stuff that has been taken into the system there may and pos sibly will be recovery.
 New England at this particular juncture is a quarter In which especial weakness has developed. This is possibly on ac- count of losses which New England in- vestors have sustained in copper specu- lation for the last year. losses which have been piling up steadily and which }. The collapse in Granby stock has served to call attention in a very ugly fashion 10 the fact that New England is tre- mendously overloaded with copper securi- ties. Granby is a comparatively small copper company, it's entire capital being S,3,00 GOO, but it has been supposedly a very safe proposition and a great many conservative people went Into 1t.
 The sudden discovery that it's ore re- serves had been exaggerated was fol- lowed by big slump in the price, and that right on the heels of new issue The general copper situation has been weak for good while and the public sense of decency has been shocked by the preparations going on for a stupen- dous merger of copper companies on an absurdly inflated valuation.
 All of these things have contributed to an awakening among New England in vestors and speculators. The prospects are that they are on the road to very bad fall and when these canny Yankee people get stung on stocks they get stung for keeps. New England runs to fads and crazes. It was burnt alive years ago on Union Pacific and later on Atchison, losing scores of millions of hard earned dollars. It has hundreds of millions in tested in telephone and telegraph stocks
  that industrial speciality.
 For several years past 1t has been put ting immense sums into copper stocks, the astounding record of Calumet Ss Iiecla having been the great incentive and stimulant. Today New England probably has $500, ,00O,0o0 in copper stocks, a great deal of which is in margins on speculative ventures. The future for that huge mass of investment capital is certainly not bright at this time. Indeed the situation Is SO serious as to endanger the entire stock market fabric, for there cannot be heavy losses in one division without its effects being felt in every cirection
 It is a positive pleasure to be able to mention actual reforms in the New York stock exchange. The writer has been very free in criticism of the methods and prices on the exchange and in call ing attention to abuses which have grown up under the system allowed there.
 This week the board of governors of that institution took official action, which will have a most healthy result in purg- Ing the exchange of many of the most serious abuses which have for years oper- ated to the losses and disadvantage of the public. The authorities of the ex-
 
 claws of the ''speciallsts,' many of whom lave grown rich scalping orders and jug sing the market. and also of preventing the plungers and brokers for cliques and pools manipulating prices by dealing only in round lots of 5000 and 10000 shares.
 By refusing to take cognizance of of- fers to buy or sell small lots they have been enabled to artifically manipulate prices all out of proper lines. The lit- tie fellow trying to buy or sell 100 shares of stock has been unable to get the at t. rltion of the plungers as for an insur- gent to catch the eye of the speaker. Hereafter they can compel the big fel- lows to split their round lot trade.
 Tn accordance with action taken some ago the unlisted division on the exchange was abolished by limitation the last day of March. These are the most important reforms inaugurated and they will go long ways to re-estabHsh the confidence of the public in the Integrity of the institution. The next and by all means the most important issue to be tackled will be q plan to stop the misuse of the funds of banks and trust com panies by the high fnanciers of stock market purposes This Is probably be-