The times dispatch. [volume] (Richmond, Va.) 1903-1914, 1911-06-01
New York
Stock Market

New York. May s1.-Prices of stocks
ffuctuated with considerable violence
to-day, and trading was more active
and excited than had been the case
for a long time. The decision OF the
s Supreme Court in the American To-
bacco case and the extension of the
open market in steel and iron. both
of which became known after the close
of business on Monday. resulted in
much confusion and II sharp conflict
OF speculative opinion. The market
opened with general gains, except for
United States Steel and the coppers.
wherein 1t followed the pace set by
London. Vigorous onslaughts which
were directed with particular severity
against United States Steel quickly
caused a reversal. and before trading
was we'll under way bearsh sentiment
was predominant Severe losses were
sustained through the list.
The sensational fluctuations OF the
day were in American Tobacco, COM
mon. on the curb. The stock broke
sharply after the first transaction. fall
ing ten points or more between sales.
until It had lost eighty-two points
from It's opening quotation of 500.
Later In the day ii rallied to 435. The
preferred stock. which Is traded In on
the Stock Exchange. declined SIP.
and the e per cent bonds seven points
to io5, The break in prices of Amer
lean Tobacco bonds was due to the
belief that they might be redeemed at
par, in connection with the dissolution
of the tobacco combine a ordered by
the court For the same reason there
was a temporary rise of SIG points
in the 4 ner cent bonds to 90 I-2.
United states Steel gave way three
points under the persistent pressure
The whole list fell back swiftly as
the selling movement gained volume,
and large blocks OF stock were thrown
on the market Reading and Anal
gamated Copper lost three points. and
almost all of the other active stocks
from one to three points. No effective
support was offered until late in the |
DAY, when short covering and the buy
Ing of long stock at the lower prices |
caused q sharp recovery
The divergence OF opinion which
existed. end still exists. as to the sig
nincance OF the American Tobacco de-
cision is marked. 1t was assumed In |
some quarters that the effect would |
be beneficial. since Il removed the I'M
certainty Of the last few months and
pointed the way TO a readjustment on |
a plan which would have the sanction
of the. courts. The contrary view arose
from the fact that the Supreme Cour,
included In Its structures a number of
subsidiary companies which had been
practically absolved BY the lower
courts, it being felt that the difference
was Unexpectedly sweeping. Although
Wall Street mas not yet reached a de-
clslon as to the meaning OF the courts
decree, 1t is obvious that the first eff
fect has been to modify the optimistic
View which was taken as a result of
the finding in the Standard Oil case.
TO the latest developments In the
steel trade II is generally recognized
that business Is IN a more or less
chaotic state. and that the situation
as whole is not likely to be benefited
by the congressional Investigation nov,
under way. On the other hand. IL ISL
not thought that the all-around cut
In prices will lead to any such amount
OF competition as followed the 20
duced schedule In the early part of
1903. Reports of contemplated reduc
uon OF wage scale by some of The
steel companies suggested one possible
outcome of the present situation. M
M Union Pacific's early strength was
associated with the successful fiota ton
OF the S25,o00.000 bond Issues Of sub
sidiary company. which was over.
subscribed both here and in London
where part OF the issue was Offered
strength OF the Hil stocks In the lstc
iraolng was concurrent with the an
nounccment of plans for new financine.
on a large scale
BONDS were easy Blocks OF s10oo0o
TO $4,000 Of various Issues were sold
Ioial sales, par value. S4,6so,Ooo.
United States bonds were UNCHANGED
on cali.
total sales for the day, sse. 7oo
fa