New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1911-08-13
FINANCIAL MARKET
Banks Increase Reserve Account
Through Liquidation of Loans.


Stock market prices were weak in the
two hours of trading. maximum losses
running from / to more than 8 points,
with net losses however, not as bad
Liouidation of speculative accounts that
had been weakened by the decline of re-
cent davs was heavy, the professional
element hammered the general list Win
p ferocity born of long period of fruit
less attempts to make profits on the
short side of speculation and the proml-
nent banking interests offered pracu-
cally no support although they were
the chief buyers Of stocks that were
forced upon the market as a conse-
ouence of the almost panicky selling.
Union Pacific was savaSely attacked
and the price Of the issue sold to oasis
representing return of almost pei
cent on the investment. Various ru-
nors We're circulated tending to affect
adversely the price Of this security, but
from what could be learned in ofilciai
Quarters nothing in present or prospec-
tive conditions underlying the intrinsic
value Of the Union Pacific property war
rauted actual sales Of its stocks. IL
was said that insiders in the Union "a
cifc comUany were fighting; it was re-
,,,.~tod that the dividend would be re-
drcsd and il was rumOred that q ire
,,,,D1ous labor struggle was brewing on
the Hartman lines. There is no dis
aoreenent on the part Of the leadlng
Interests I'm the Union Pacific Company
the labor trouble among the company {
.r,,lnves will be satisfactorily adjusted
according to statements made by Harrl-
mo, bankers. and the dividend Will not
10 r.duced The directors Of both the
1-rio, and Southern Pacific companies
l,,.e inst declared the usual quarterly
dividends. and as the two properties
csrned heavily in excess of dividend re-
-,,,irsnents i'm the last fiscal year, not
,,.;tr,etanding a large increase in operat'
too costs and a falling off in gross re-
GENTS from the preceding year. II Is ap'
surd 10 worry over the Hartman dl'l
dend outlook. especially as the man
zero Of the properties are institutihs
.ll,,o,,,ias that should Offset the IN
iced nrice Of labor and the relatively
lou, rates received for freight trans
.o,,at;on \ line Of Union Pacific stocf
hold for speculative account, 1T IS under'
atood is in the process Of liquidation
"a knowledge of the fact that certain
enecr,ators in the issue have been marc
,rleea6 has encouraged pressure agalhS
the security. .s,,,
rrbe men with the money are ouyihs
-.ool,s an the current decline. ana event
III. e not in the immediate future
.nere will be one Of the oldtime squeeZ'
a., onerations that make hard traVeliihs
80, +bo shorts. Stocks are selling on
r,.;s that ought to attract investors
s..,i+e al the Wall Street talk that VIC
copntrv is going to the dominion %"
COWS At the moment the market Is SUI
e-,,,,o from bear fever. There are ui''
le.-a,otla factors in the general sltu4'
49,, trcb,ding the political activity
y -a.,,et generations. but the country WI
.,,.,i,a and in the mean time STOCKS VII
cortinue 10 pass into the hands Oh ou'
e,roneest capitalists. wall street has
..1,,ancsd the idea that men IKE Henry
- ri, are selling their securities Tht
&C., men do not sell stocks IN ut'
dining market. If every railroad III ',''
country should reduce DIVIDENDS sto'N
,.ould not be dear at present quo'a''oHS
"a ,bere is nothing in the outlook tha'
,,,,,oaets . general lowering Of payments
49, og,ners of American investment Is
spos Total dealings yesterday "'ie
much larger than ordinarily repoileu VII
nalf holiday. the necessities OF specuia-
60. ,oIders rather than unfavorable de-
..,l,,.roents being responsible for the
enormous selling in all parts ol 'he
sltivo list. such sales being most pro-
,ounced In Atchison, Union Pacihc'
peadlng United states steel, st. PAU
and some of the specialties. Covering
of shorts before the close brought about
a relative degree Of frmness in the inal
price movements.
4 reflection o! the heavy liquidation
of speculative accounts on the Stock
Exchange in the last week Is found III
bank statement figures, which show IN
the actual exhibit contraction IN loans
Of more than $4,000, 900. which has been
effective in bringing about an expansion
in the reserve above legal requirements
Of almost $9O00,00G. Cash holdings pre-
sent a moderate gain. With regerye