New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1913-01-07
STOCK MARKET REVIEW
Prices Broke Sharply on An
nouncement of Supreme
Court Decision.

No better illustration or the uncer-
tainty regarding Supreme Court deci-
sions prior to the period of their BENG
handed down can be cited than the
ruling reported from Washington In
the case of the Union Southern Parific
dissolution plan made public yesterday.
The Judgment that distribution to
Union Pacific stockholders OF the Sl2o,-
100000 # Southern Pacfc stock now
in the Union Pacifc's treasury through
a sale or as a dividend would not meet
the requirements of the decree OF dls-
solution was very puzzling to wan
Street. It is very evident that
change has come over the order or
things. and that hereafter the Sher-
man law will mean more of an ini1u-
ence over corporations violating It's
regulations than ii has heretofore
sanguine expectations regarding the
Minnesota rate case were not so pro-
nounced after the publication OF the
Union Pacific decision, and the buoy
ancy Of the market suggested In the
early transactions had disappeared In
the later trading, and at the close
prices indicated a weak tone. Inc
opening Of the stock market yesterday
morning did not point to any consid-
cradle business, as transactions were
limited to few stocks and price move
ments were narrow. In the early part
of the second hour the market showed
some Improvement and trading became
more active, with a tendency toward
an advancement OF prices In most OF
the active issues. Union Pacific prior
to the decision was particularly strong
and most of the standard issues dis
played marked firmness until the an
nouncement Of the Supreme Court
ruling, when q general selling move
ment caused a drop in prices. especial
ly in Union Pacific. which fell several
points from Its high level Of the morn
ing session. There was some recovery
later. but the market did not present
the character of recuperation that q
confidence in III future would suggest
The specials which began their eXhibi-
ton Of weakness last week continued
on the downward scale yesterday.
American Beet Sugar, Western Mary
land and the petroleum stocks all de-
clined. The news Of the day OF a
general character was Of slight i'm
portance. One Of the favorable feat
ures was the continued easy tone In
the local money market and the In
formation cabled from abroad that
money would be plentiful after a set
Element Of the political situation. These
was in evidence yesterday bearish-
ness which was not entirely the result
Of the Supreme Court decision, but was
more distinctly due to the apprehen-
sion regarding the prospect after the
Inauguration of President-elect Wilson.
OF course IL is very difficult TO Judge
Wall Street sentiment by the daily
current expression Of traders. but the
stock market Is always vulnerable, and
with a disposition to lower prices in
an endeavor TO readjust methods and
bring about new levels for a buying
movement II is possible to see the mar
ket move directly opposite to the
course warranted by fundamental fac
tors. Speculativeiy stocks are in a
very uncertain position The foreign
war clouds have not yet entirely dis
appeared and Industrial conditions in
some lines are threatened by serious
labor troubles. The former has been
hanging over the market so long that
financial interests as whole regard
its final settlement as practically as
| sured, but until more is known regard
| ing the actual results Of the pending
| uncertainty ii would seem to be nat
ural that the stock market would show
corresponding irregularity.