Albuquerque morning journal. [volume] (Albuquerque, N.M.) 1903-1926, 1910-07-01
FINANCE AND
COMMERCE
Wall Street.


New York, June $3.50 violent a
crash in prices of stocks as that which
eliminated today is not to lie explain
ed by the surface causes which have
been advanced from day to day, such
as the impaired spring wheat pros
poet. the reduction Of railroad rates
on the transcontinental roads ordered
by the interstate commerce commits
sion and dim explanations. Deeper
causes are indicated and were sought
by inquiries in the financial district
today.
From the high point of last Thurs
day Union Pacific sold today at a de-
cline OF 30 points, and from that max
imum there were varying losses
through the whole list of active stocks.
The June advance followed the agree
ment reached between President Taft
and the railroad presidents to submit
the proposed rate advances to the OPP
Grafton of the new railroad law and
the movement by the representative
of the great private banks to secui
assets from great shipping interests to
the. proposed freight rate advances.
The violent eclipse which has followed
brings forward the operation of more
general causes.
The stock market of today and yes
torday showed how drastic a read
iustment remained to be made. That
the rogress of conviction may hay
to extend yet beyond the speculative
field of the stock market Is an infer
ence that was common today. Prob
III. 1s.s1-..1 ,-1.4f,n1 H. Af
the railroads were discussed as events
f~oreshadowed from the reaction of the
stock market. The outcome follows
the conviction of the unstable condi-
lions which were the outgrowth of
the premature ecovery from the crisis
of three years ago. Starting with
powerful artificial stimulant for the
stock market last year, there followed
an initiation of values in all directions,
an era of extravaganza in living and
in business and industrial methods,
i~mmobilizing of capital In
land speculation and irrigation pro-
iects at Il time when business was
most in need of resources.
There has been a conviction that
extensive commitments in speculative
holdings of stocks which were carried
through the elimination of last years
rise in october have been held over
since in the faith hat each success
sive downturn in the market was a
simple reaction destined to be follow
ID by a resumption of the march of
progress. 1t was current belief that
market pools involved in such hold
ings were being liquidated yesterday
and today in response to the imperd-
tive admonition OF authorities in the
banking and financial world. The
process proved a painful one and in
Volved conclusive price adjustments
The quieter tone in the later deal
ings was proof of the relief already
offered.
The more immediate circumstances
bearing on values indicated improve |
ment in some respects. The drop In
wheat was accompanied by reports of
beneficial rains in the drought-strick-
en- district of the northwest. The
Kansas state crop report was held to
give excellent promises for winter
wheat.
Private estimates of the cotton crop
were held to ~foreshadow a good gov
eminent report of conditions tomor-
row. More attentive p%erusal of yes
terday's order by the interstate COM
merce commission modified the I'M
preston of their inclusive scope over
practically all railroad rates.
Money on call went no higher thah
, IL per zen in spite of the disturb
ance of loans connected with the days
impairment of arsins. Closing
stocks: