The Washington herald., 1911-04-19
WALL STREET NEWS
Mexican Revolt Credited for
Drop in Securities.
MISSOURI PACIFIC DECLINES
}. London Market Buys American
Shares-Liquidntfon Evfdent-Ru-
mOrs Cause Fall in Railroads.
Wheat Market Weak-BOnds in
Demand-Paper Makes Record.

New York, April 1s.-The war news
from Mexico was commonly credited to-
day in Wall street with being the cause
CT the rather violent drop that occurred
in security prices, and there is no, doubt
that the fall originated in speculative
selling based upon the development re-
ferred to.
1t was, however, absurd to suppose. and
few people really did so, that the de-
cided enlargement in the volume of stock
exchange business and the days general
break in security values was to any great
extent connected with this matter.
There is little in the Mexican situation
to lead to financial fears or even to
speculative misgivings. If anything. has
been made plain regarding this subject
in the last few days it is that interven-
ton by our government in the affairs Of
Mexico will only take place in the last
extremity and then only at the direct be-
hest of Congress.
true guide to the Interpretation prop
erly to be placed upon the Mexican diff
ficulty, so far as its logical effect upon
prices for American stocks was con-
. .cerned, was found to-day in the strength
|shown in American shares in the London
market before business opened here ana
in the relatively large buying of our
stocks by London houses that occurred
during the decline
The fair proba OIlity is that our stock
market would have weakened consider
ably to-day no matter what the general
news might have been in consequence of
the pressure of liquidation in the two or
three special quarters of the market.
Cotton Oil Falls.
The American Cotton Oil common
en- orpII 70 hrin
in question the likelihood that a semi
annual distribution upon the common
shares would be ordered by the directors
:, of the company at the full regular rate.
drop was natural in the Inter- Met.
issues after the publication OF the terms
CT the Brooklyn Rapid Transit Com
pany's bid to the city authorities for the
construction of the new subway, and a
more decisive cause for general weak
ness was found in the renewed decline in
Missouri Pacific stock which was based
upon rumors that banking interests that
have lately concerned themselves with
the rehabilitation of the Missouri Pacific
property were about to withdraw from
the undertaking.
All these unfavorable influences played
a part in the action of the market, but
the broad truth is that the decline was
due chiefly to tired liquidation of stocks
by disgusted holders whose patience has
become worn out by the prolonged spec
= ulative inaction on the stock exchange
and in the financial districts as a whole.
Fear is now generally expressed that
the Supreme Court decisions in the anti
trust cases may not be announced until
the end of next month, when the court
adjourns for its summer recess, and there
is a possibility that the expected verdict
will not be rendered before the fall of
the year.
Cotton Futures Rise.
Quotations for the cotton futures to-day
were higher, the rise being based, as
throughout the present month, upon a
general idea that substantially all of the
seasons cotton crop has been moved to
the market, and that existing prices,
even il high. are justified until the pros
poets as to next seasons crop become
more definite.
The wheat market was again weak,
chiefly because of the continued preva-
lence OF favorable weather conditions
throughout the entire agricultural sec
ton.
The strength of the days bond mar
ket as distinguished from the weakness
in stocks deserves more than passing
mention.
Transactions in bonds were nearly twice
as great as on the same day a year
, ago and the high grade issues were in
the majority of instances higher. The
New York State bonds that were taken
by the syndicate when issued a short
time since at price OF 1O43s. sold to-day
at 1854. the last issue of the New York
City "a per cents sold at 1924. the high
csc price on record: and it is beyond per-
adventure that a broad and strong mar
ket for investment securities of the first
rank exists.