The Richmond Virginian. (Richmond, Va.) 1910-1920, 1913-06-13
GEAR PANIC ON
IN WALL STREET
STOCKS TAKE RALLY AND WORST
INFLUENCES ARE THOUGHT
TO BE PASSED.
K UP
FOREIGN TRADING rs ON BOTH
HIDES WITH BALANCE OF
ENTHUSIASTICALLY rs
STILL WEAK.

NEW YORK, June l2.-Ordinarily
such a rally as took place in stocks
today after prolonged decline leading
to a convulsive collapse of quoted
values would have but one signi-
fcance. 1t would mean that the share
list had passed through and beyond
the worst Influences which had been
affecting il and that, while the re-
storation of prosperity prices might
be delayed underlying financial con-
af,tons had been adjusted TO eventual
possibilities Of improvement In the
su perstructure,
whether or not there is n reason
for regarding today's developments
as less conclusive in this respect de-
ponds on more than domestic factors
and accordingly conclusions should
not be hastily drawn. Nevertheless,
thu rebound in Wall Street stock
market should hav the effect OF help
ing the foreign markets with a con-
sequent favorable reaction here and
so far as the domestic position is IN
cerned encouragement Is afforded by
the evidence OF the rebound itself.
Recovery Exceeds Single Days Loss.
The volume OF stock transactions
today Appropriated the aggregate OF
the worst day OF decline this year.
The recovery in prices was much
greater than the loss in any one day.
All standard stocks were from 3 TO 6
points and more higher at the end
of h session than at the close on
Wednesday and the upward movement
lost none of its activity and vigor in
the late dealings.
Foreign trading was on both sides
of h with a balance of
purchases n Canadian Pacific made
the most conspicuous 1t
was not, however. as influential over
the rest of the list as Union Pacific
and Southern Pacific. while Reading.
Amaigamated Copper and United
States Steel provided by their ag-
gressive strength powerful incentives
for general repurchases including
short covering.
There is ne doubt tina the retire
ment of short contracts contributed
largely TO the strong upward move
ment all around and buying for this
purpose gave the session an appear
ance Of what IN called Il bear panic.
Berlin Is Still Weak.
The Bank of England's weekly re-
turn disclosed some impairment and
securities at Berlin were rathe weak
TO the paniment of reports that
less than a SO per cent subscription
Hdu SO iaT Deen Tlalb 10 the $ob,UuUt-
600 OF government 4 per cen bonds
offered a fortnight ago.
While banking circles failed to dis
cover any connection betwee the
necessities OF the situation and Secre-
tary McAdoo's announcement about
the treasury's readiness to issue
emergency currency on application
the McAdoo statement distinctly pro-
NOTED the more optimistic sentiment
which the stock market reflected.
The money market was easy, the
bulk of the call oar accomrnoda-
ton was supplied at 2 per cent and
there was a sharp fall in time funds
ranging from IL Il l per cent in
the Offering rate.
Another factor In the market was
the surprise furnished by the supple
niertary plan which the Union Pacific
presented TO the court for complying
with the mandate to sell Its Southern
Pacific holdings. The proposal to ex-
change 1000. 600 Of Southern Paci-
hc at par for sac. 900, 600 of Balti-
more and Ohio common and preferred
shares held by the Pennsylvania sug-
gested something in the nature Of. a
deal such as IN past years has pro-
yoked n strong rise in stocks.