The Birmingham age-herald., 1911-09-25
STOCK MARKET HAS A TURBULENT WEEK
 - Collapse of Steel Corpora ton Securities Feature
  MARKET CONFUSED Disturbing Feature of Situation the Impossibility of Determing the Exact Cause of the
 Upheaval
MARKET CONFUSED

New York, September 24.-Collapse of securities of the United States Steel corporation was the central event of a | turbulent week in the stock market. Enormous liquidation in the common shares eliminated Friday in an out l pouring of the stock such as had not l been witnessed for decade. The en- tire market was eonvulsed and 1t re- quired extensive support from power lfuI interests to check the movement l and restore a condition of comparative calm.
 Tbe problem of the relations between the paramount factor Industrial con-
 ditions and foreign financial and polit-
 ical affairs retained a supplementary | influence.
 1 The extent of the selling of steel common and even more the declines In | the preferred stock and in the sinking fund second mortgage bonds indicated l that a concerted opinion had been ar
 rived at by powerful interests in the company which prompted them to rid thems of their securities. A dis turbing feature of the situation which
 seemed to alarm investors in steel se- ourIties was the impossibility of de- | termining the exact cause of the up- | heava1 In general 1t was laid to the belief that di ssolution of the steel cor 1 poration was impending. Widely clrcu- lated reports that the corporation had
 taken voluntary steps toward that end
 to avoid a dissolution suit by the gov
 ernment were met by the attorney gen | erals statement that no such proposals had been made to the department ot I justice.
 1 The exhaustive investigation which the department had been making of the
 affairs of the steel corporation seemed | to give point to the belief that it was not to escape action by the government | for violation of the anti trust laws MT. Taft's speech at Detroit dwelling
 upon the effect of the trust decisions
 of the supreme court in insuring com l petitive conditions seemed to United l States Steel stockholders to be another | intmation of the announced purpose of l the government. The 1nterna tional | Harvester companys announcement that 1 1t was preparing to dissolve and the in : stitution of new suits against minor | industrial combinations served only to
 increase the uneasiness to which the
 possibility of dissolution gave rise II
 view of the enormous obstacles in the 1 way of such action.
 l Conditions in the steel trade were sti
 discouraging The intimation was received
 from responsible quarters that a reduction
 of wages probably would be necessary Prices of some products approached the | lowest point of a decade, but despite the l concessions offered, new business was oi | smaller volume. Such conditions raised
 fears that the dividend rate might be in | jeopardy.
 Throughout the week the railroad stocks
 were comparatively steady. Defeat oi l Canadian reciprocity was felt severely for
 a time by the northwestern group, which
 1t had been expected would benefit great 1 ly If reciprocity was adopted.
 l Increase in discount rates by all the l great government banks abroad, brought it's train of demands upon the New York
 money market, which made further ad- vances to Berlin. The tone of the New York market nevertheless, retained its
 ease. No suggestion, of financial string
 ency here explains the demoralization In l the stock market. Record exports of ,ner- l chandise in New York made favorable I financial showing that month. The tinan-
 cial depression in Germany affected an im- portant source of demand for copper and
 securities of companies in that trade were | acutely depressed.