Norwich bulletin., 1910-06-04
FINANCIAL AND COMMERCIAL.
VIOLENT BREAK IN STOCKS. Speculation Fairly HystericaI at Times Last Prices About the Lowest.

New York, June 3.-Prices df stocks broke again today with a violence al most unexampled outeide of times of absolute panic. This was after 8 show of resistance to the forces of depres- zion during the early hours, when the heaviest selling that appeared seemed to be easily absorbed and prices re- bounded repeatedly from the declines. Uncovered shorts were made nervous by this action of the market and helped on the tendency by their ssouying to cover.
 The kind of explanations offered for the recovery showed plainly how at tent6on remained centered on the dom inant topic of the governme entS policy towards railroad rate increases. There was circulated, for instance, an ex- preSsion of confidence from an anony- nous legal authority that the injunc- ton against the western trunk line rate advances would be promptly dis solved. There was no authority for it.
 On the other hand, there was no lack of authority for expressions of the glooniest views by prominent rail road officials of the disastrous conse- quenees they saw threatening from the holding up of the intended rate ad- vances by the railroads. President Brown of the New York Central was quoted in published interview, which was quoted and commented upon in Wall street, as saying that the credit of the railroads had been almost wholly destroyed by this action (the rate in junction. and it will be almost impos- sible in my opinioH for any railroad to secure a loan here abroad.
 President Brown was quoted furth CT as saying that $10,000. 900 of New York Central bonds had been sold in France at S8 1-2 cents on the dollar. Almost at the same time President Browns colleague. Albert H. Harris, general counsel of the New York Central, was quoted, on his fresh arrival home from France. as expressing great satisfac- $1e:ooe, ,o00 Cleveland, Cincinnati, Chi caso and St Louis bonds, which are to be issued to the French people at discount of per cent, or 8 price of 97. So far as could be learned, the two references were to the same trans action and the discrepancy in the two views of the matter went unexplained
 The use made of the Brown inter view was very effective in spreading the spirit of anxiety, in precipitating liquidation and in brea king prices to the lowest level of the year. Use wa made also of fra gmentary extra cts from President Tafts speech at Ada, Ohio, especially the passage it is req sonable to suppose that at some time within the next decade there will be some reaction or some financial strin- sency or perhaps a financial panic" Also the passage, "I think the issue of of the preservation of private property or Its destruction and the substitution of a certain kind of cooperative joint requirement. of everything which is the ideal of socialism These words of the chief executive were reported on the news tickers almost without context and in sensational suddenness of extra spacing between the lines. The mood of speculation became fair ly hysterical at times and last prices were not far from the lowest. Union Pacific was down 3-4 on the day, and Reading, New York Central. the, other Pacifics, United States Steel, Amal- gamated Copper and the railroad equipment stocks in the Reighborhood of 4 points.
 Bonds were easy. Total sales, par value, $2.637,0O0. United States bondr were unchan nged on call.