New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1914-07-29
Continued from page l

having apparently an unlimited sup
NV Of stocks TO throw over. Con
tents lead was followed by many
other professional traders, and selling
to protect weakly marglned accounts
helped force prices down.
Canadian Pacific. the favorite inter
national stock, led in the decline. ms
broke rapidly until at one time II was
almost 20 points below Monday close'
the announcement that tho exchanges
cf Montreal and Toronto had closed 10
nrevent failures and further democrat
1ation in those centres helping along
those seeking to make lower prices.
Lesson for Statesmen
Here was offered an example OF the
value Of the short selling that states
men from the alfalfa belt would pro-
hibit as immoral.
The stocks that Europe was throwing
on this market an idea Of the volume
may be gathered from the fact that
one house little known even to the
trading public sold 10000 shares -
could not have been absorbed by any
investment demand or commission
house buying. II was taken by the
shorts. who. having sold at higher lev
els in anticipation of some such hap
pening, were converting paper profits
into balances at the bank.
The amount Of this short interest
was large. much larger than usual at
this season. because OF The desire TO
anticipate adverse news from the In
terstate Commerce Commission and
other Washington sources. and 1t stood
as buffer between Europe's selling
and such Generalization and smashing
Of values as the Stock Exchange has
not seen in years.
While this was going on on the floor
of the Stock Exchange, customers
rooms in commission houses were
crowded, and for the first time in more
months than most could recall the
ticker was minutes behind the market
and the now uncom on spectacle of
two or more boys having the busy
times of their lives putting up quota
tions was the rule.
Seemingly everybody knew where the
selling was coming from without ask
ing Who was doing the buying was
the query. The answer that most often
came from the floor was "the shorts"
When it became known that Canadian
exchanges had been closed and rumors
that Russia had come out into the open
and was massing troops on the border
preliminary to attacking Austria, stocks
came forth in their largest volume.
more than 100000 shares being done
in the last hour.
Then, when the Street stopped TO
take breath and look over the work of
the day 1T found that, after all, the
decline was not so great. The average,
measured by the change in thirty rail-
roads and industrials, commonly used
in such computations, was but -
points.
The heaviest loser OF the day was
Canadian Pacific. Selling at one time
nearly 20 points down, ut l57, it closed
at 1919, net loss of Is points on
transactions of almost 10000 Anal
gamated, also an international favor
lite. was off 5ss Reading, selling eX-
dividend. was off 4A. Southern Pacific
was 4bs lower. Union Pacific was off
5i2 points, and Steel, in which transac-
tons were approximately 100000
shares, was off 3i2 points.
New Haven Stiffcns.
New Haven, of late the football of
the Street, was comparatively strong,
it losing but IS points.
Nobody could estimate with any de-
gree Of accuracy the amount of stocks
that had been sold here for the ac-
count OF Europe, and opinion was di
vided as TO the extent to which the
short interest had been eliminated.
There was no doubt that the old short
interest was largely covered. The real
question was the extent of the new
short interest created during the dag.
II was announced as considerable, but
that was as far ms any one cared TO %.
Review further showed that what
was TO have been expected had hap
pened. The first shock Of war in Eu-
rope was bound TO find reflection here.
for, as Henry Clews, who has gon.
through every disturbance Of the
wo-lds markets since the great par G
of 1857, said: "Thc impulse OF he
timi6 is to turn securities into cash"