The sun. [volume] (New York [N.Y.]) 1833-1916, 1914-07-29
FINANCIAL NEWS
AND COMMENT
Market Endures q Million Share
Day Of Violent
Declines.
WHEAT UP 90. A BUSHEL
More Gold Exports Among Ef-
fects Of Austria's
War Move.
WHEAT UP 90. A BUSHEII

Stock Exchange furnished practically the
only important securities market yester-
day wherein tho whole world could reject
Its alarmed Vows Of tho European crisis.
Indeed with tho exception Of tho London
Stock Exchange there was all day no
primary securities market anywhere out
could DO transacted
After paniclty morning sessions tho er-
changes at Montreal and Toronto were
closed with the announcement that the
Montreal exchange would not open to-
day. this action being regarded as the con-
sequence OF the violent collapse which took
place In Canadian Pacific eharee q fall
which was tho feature OF tho Wall Street
trading. There was a practical suspen-
sion OF business on the Paris Bourse.
and with the actual or practical sus-
pension of the markets elsewhere on tho
European Continent all OF tho Euro
pean excitement was focused on London.
A measure OF protection was automati-
caly adopted there by more or less
tacit refusal of dealers to do business,
bu, tho offerings OF securities caused
further substa ntlal losses in all depart
ments of the London market including
State funds.
American stocks wers once moro de-
pressed abroad before the Wall Street
opening. but for while resistance was
offered here TO the cumulative pressure
of the foreign upheavnL Eventually
quoted values In Wall street were tenn
porarily ovsrwhelnlsd by flood OF liq-
uidating sales. bN n; all times, even
when I'm the early afternoon unsettlement
was most extreme. Wall Street main
tanned n good enough market for stocks
to permit something IN the way or a
rally before the close.
Domestic selling was obviously the
chief cause OF a more severe decline than
Wall Street has seen since the autumn OF
1907. Prices were established which
offered splendid chances for investors and
undoubtedly any further offerings OF
securities downward will encounter an In
creasing absorptive capacity. for there ha.
been a good deal OF money withheld from
investment on account of the various I'M
certantes which have obscured tho
financial prospect
At the going level OF quotations how
ever. everything outside OF general
European warfare has been more than dis
counted and there can he no question that
the shrinkage of securities was carried
further yesterday in an effort 20 discount
the worst possible happenings abroad.
The prcponderance of domestic selling
was explained by pt rturbed doubts as to
what the European markets might do to-
day. but foreign liquidation was ap-
parently In no great volume, possibly be-
cause sales we're !nterfered with by tho
tremendous dislocation OF international
exchange. The aggregate OF Wall Street
transactions In stocks. exceeding a million
shares. was the largest since December.
1912, which was also a Balkan war ses-
sion, and followed the futile attempt TO
support American securities against tho
financial derang, ment which the rcopcnng
OF the near Eastern question had caused
in Europe
A n result Of the untustlfahlv
optimistic tenor OF overnight dispatches
marked resistance was offered IN the Early
wall Street dealings yesterday TO the n
huences making for decline. Very soon.
however. word came from abroad that
Austria had declared war. selling began
to come from every direction and prices
yielded slowly.
The fact that Germany had refused 20
participate in the psace conference pro-
posed by Sir Edward Grey seemed 70
place n sinister construction on Austria $
proclamation OF hostilitics and although
hopes were entertained that a loCalza
ton OF war might be possible It was
recognized that thu chances OF a general
conflict had been vastly increased. Early
in the afternoon selling became insisten,
and for an hour until after o'clock this
market went through a period OF semi
decentralization. in which transactions a..
| reported on the tape were at all times
several minutes behind the actual trading
on the floor.
The tremendous drop IN Canadian Pa
CHIC had a widespread Influence and most
OF the stocks on the international list
showed az the low levels losses ranging
from - TO SO n share and more, North
ern Pacific sold at par for the first time
in thirteen years The weakness OF stand
ard issues like Reading. Union Pacific,
st. Paul and United states Steel had
its natural consequence in breaking
shares OF more speculative grade. while
specialties suffered extensively.
Before the last hour was we'll advanced
the selling movement spent It's force and
there was fairly sharp rebound, hut
toward the close there was fresh unset
Element Induced by the weakness OF the
copper metal group. and the final tone
was very nervous and feverish, The ar
ray OF net losses at the end OF the day
was one of the most dismal exhibits that
Wall Street has contemplated in "A long
time, but they served TO advertise the
investment inducement which the share
list now offers The bond market was
fairly steady. the principal weakness be-
Ing in the convertible issues.
The days disturbance was acutely man
| Tested in other directions. Copper metal
was OHereu down 10 ~ Genus, token Oh
the Industrial reactions OF such a menac'
Ing prospect as Europe has been holding
| out. Cotton added a loss of $3.50 and
more n bale to the shrinkage which the
| danger of war In Europe had previousl,
caused. but It was In the grain and
money markets that next 10 the stocl
market the foreign crisis was most dis
| tressingly reflected. on the news OF Aus
| trials declaration Of war the advance II
wheat was carried TO upward OF cent?
bushel, and before the close OF thu
day total gain OF more than 9 cent
a bushel was effected. Corn and oats wer,
also strong, the rise In grain being fur
Their stimulated by an unfavorable weeNf,
weather report noting continued excess o
heat and deficient rainfall over the prin
oipal crop areas.
The distortion OF the money marke
was emphasized by additional engage
| ments of gold for export, aggregatlni
s1a250 900 OF which all but 100000
goes to London. the fresh engagement
bringing the total OF the present movemen
up TO more than SEA, 900, 900 and the tots
exports of the year to more than sos,
O0O, 600. There was only a nominal opel
market for sterling exchange. deman'
bills being quoted around 4,91la an
cables around 494'a, but there was
sold AT record figures.
Higher discounts abroad pointed to al
vances In official bank rates. although III
fact that official discounts had not We
risen was construed as an indication tina