The Birmingham age-herald., 1911-10-08

l port gets lax or is withdrawn. Contin- uous buying by the great banking com bination which has taken upon itself the
 job of holding up the market is neces-
 sary. This support seems to come alto
 gether from the Morgan party, and even
 there considerable division of sentiment
 is to be found. The Morgan party is at
 the present moment the main arch in the
 bull structure. This attitude has been es- pecially pronounced ever since the Nor gan-Gary pronuneiamento that the Steel trust would fight the department of jus
 tice should it attempt to compel the dis solution of the giant industrial To give
 force to this 'deh'' the Morgan party
 bought enormous quantities of stocks and not only checked the decline but forced a 5 to 10 point recovery. It has been
 found exceedingly difficult to hold the advance then established and there is reason to believe that immense specula- tive lines taken on 10 days or two weeks ago could not be liquidated to advantage,
 and still remain on the hands of those
 who so boldly stepped into the breach.
 The whole of Wall street seems to be
 arrayed against the Morgan faction at
 the present time. Unquestionably heavy
 and continuous liquida ton has been and
 is still in progress. The street is not in
 sympathy with attempts to bolster up
 prices. It sees nothing in the situation to
 warrant wholesale buying of stocks at
 this time and makes it's position clear in
 very effective way
 By common consent the street has now
 taken the expressed stand that national politics is to be an important if not a controlling factor in stock market and business affairs until the next presidential
 election and probably longer. It is Wall
 street against the country at large, and with singular obstinacy and blindness the view is held that Wall street will win out
 The view now most strongly urged is that
 the programme of trust dissolution to
 which both of the great parties seem
 committed will bring about industrial and commercial desolation. The thought .s
 being very generally voiced that the only
 way to teach politicians sense (Wall
 street sense) is to starve their constitu- encies into compelling their representa-
 lives to do the right thing-that is, to let the trusts have their own way. It is a very simple theory and has directness
 about it which leaves little to the imag- ination. Undoubtedly Wall street Is working itself into the belief that the starvation object lesson must be taught the people before the realization comes that the big interests must be let alone. The situation is the most serious that has
 confronted the country in years. Forces
 are organizing rapidly and in distinct alignment for a great battle between Wall street and Washington. and we are only in the beginning of it. The speeches by President Taft and the announced pol icy of the department of justice makes it plain that the trusts will either have to bend to the laws or engage in fight that may materialize the worst forebod- ings and prophecies yet expressed
 At the time MT. Morgan and Judge Gary issued their famous "Declaration of In- dependence' there was a very general sentiment among the leading spok esmen for the big interests to cooperate in a friendly spirit with the powers that be at Washington and in some way effect a | friendly readjustment with as little fric-
 ton as possible. The stand taken by Mir. Morgan has changed the situation very materially. How much cannot as yet be determined. but there is no longer una nimity of opinion among the captains of
 industry and the kings of high finance as l tp the best policy that ought to be pur-
 sued. One faction Is for fighting and de- i lay in the hope that conditions may be
 softened. The other still leans to the i theory that the easiest and smoothest way 1 is the best. The stock market will un- doubtedly reflect the ebb and flow of sen 1 timent on this point as developments may warrant. Turmoil and disturbance can i not be- tortured into bullish ammunition 1 They are distinctly and emphatically 1 against prices. There cannot be a bull market in stocks without widespread and
 deep seated confidence in the business fii- i ture and that is signally lacking at the present writing.
 The market as 1t is found now Is in very