The times dispatch. [volume] (Richmond, Va.) 1903-1914, 1913-05-02
SHARP DRIVE MADE
AGAINST PRICES
New Low Records Scored, but
Recovery Shows Strength of
Market.
ny BRoADAN WALL.

view FORK, May IA sharp drive
was made against prices in the carly
stock market dealings to-day. and
while new low records were scored for
such issues as New Haven, Illinois
Central. st. Paul, Sears Roebuck and
Northern Pacific, liquidation did not
follow. and an attempt TO cover stocks
started n recovery that extended from
to points, with closing prices near
the top of the day.
healthy short interest is the best
support that q market can have. and
professional trading had carried prices
to point where the shorts became
urgent buyers.
Foreign exchanges were closed and
little business was done for London
or Continental accounts. Arbitrage
houses had orders, but these were UNI
der the market. Foreign news was con-
tiictins. though in the main Indicating
better feeling, and this was more the
excuse than the reason for the rally
that occurred in prices
Northwest gained over 3 points. Ct
Paul, Great Northern preferred and
Northern Pacific a point or more apiece
and Louisville and Nashville rose ! Al
on the announcement that s6.50O OoO
. per cent equipment bonds had been
sold to bankers. these securities were
being privately offered at a rate IN
yield per cent. The United Frpit
Company announced a $4,000, BOO issue
OF one-year notes to be sold on 1a
per cent basis.
The rally brought some sharp adj
yances Reading rose from 1877 34
to l6l, Union Pacific from l4s is to
149 3-S. .Amalsamated gained over .
points and Steel. after touching 5s SIS
closed at GO 5-s
New Haven made n net loss for the
day after sharp rise from new low
point of l02 S-4. The decline In these
shares is tragic, for the New England
stockholders who. In many cases. re-
present executors, guardians and trus
tees. have relied upon the income from
this property for many years past
A flood of inquiries has come into the
Street from stockholders who are much
confused over the situation and the
probable outcome OF the investigation
of the company's affairs. 1t is felt
that the decline has been so drastic
that a partial recovery is probable, yet
n severe reduction of dividends will
be necessary before the affairs OF the
road can be satisfactorily adjusted to
the new conditions that prevail
There were. some sharp rallies in
the industrlals. Rumely issues gaining
5 points, and the tobacco shares from
= to POINTS each Amalgamated
Copper was decidedly strong. closing
at 73 3-S, gain of . IA. 1t is felt
that the technical position OF the COP
per market is probably letter than
that of the other metals
Rock Island issues made new low rec
ords, the common selling at Tx and
the preferred at 29H, and although
there was advance from these fig
ures, the shares sustained n net loss.
There was considerable irregularity in
the final dealings. Southern Pacific
gained points from the low. while
Wheeling and Lake Erie lost more
than 3 points each.
The bond market was dull. There
was a drop in Rock Island collateral
fours below 5S. a well-known bond
house called up successfully one of the
large insurance companies, a trust COM.
pany and one of the large mercantile
banks, quoting some of the low prices
at which investment bonds are selling.
The answer came from the insurance
company that they were not buying
bonds; from the trust company that
their clients demands absorb their
surplus funds, and from the bank came
the reply:
"The requirements of the depositors
precluded any thought Of investment,
however attractive
IT may be added that the casual in
yestor shows very little disposition to
be attracted by the admittedly low
prices now ruling
The announcement from Washington
that Secretary McAdoo would deposit
100000 In national banks brought
over 800 applications for these funds,
a total that is several times greater
Tho rho amount available