The sun. [volume] (New York [N.Y.]) 1833-1916, 1914-07-17
FINANCIAL NEWS
AND COMMENT
Stocks Offer Resistance TO a
Continuation Of Specu-
lative Pressure.
4 RALLY In NEW HAVEN
Aspects Of the Recent Decision
to Oppose Corporate
DislntegratiOn.
A RALLY In NEW HAVEN

Speculative pounding again directed At
few issues was generally resisted in
yesterdays stock market and before the
end of the day there was n fair rally
which loft the average of the list little
changed from the night before. The
close was firm although not particularly
active. Short covering in the afternoon,
following more prudent processes OF re-
treat from bearish positions during the
greater disturbance Of the forenoon, I'M
doubtedly accounted for the betterment of
prices, although the course OF some lead
ing stocks continued to suggest moderate
purchases for the long account
Sentiment throughout the financial dis
trict was much depressed all day by lack
OF any tokens of encouraglng develop-
ments TO emphasize the cheerful influences
of the crop situation. but selling OF
stocks did not have the character OF ltuui-
dalton.
observnnt followers OF the market
seemed to have taken cogplzance OF the
fact that despite all the Racket of the
past week or so the only securities which
have declined materially have been those
which for long time have held n dubious
position. while the general run of cor
porate shares and obligations have been
relatively little affected by the special
weaknesses or by the fresh output OF ad.
verse news. There IL no disposition In
Important quarters 10 draw premature
lnterences from the course OF quoted
values. but the discriminating natur,
or such liquidation as has taken place 1,
most Interesting
The Denver and Rio Grande share, rel
10 new low prices and there was renewer
weakness in the Rock Island debentur.
per cent bonds and In other quarter.
where the difficult circumstances OF par
tcular corporations have created strain
the only explanation offered for the fal
or the Rock Island IS was the apprehen.
sion that the reorganization plan might
fnil OF adoption. although there Is prob
ably more ground for expecting Z to n,
into effect
The Baltimore and Ohio common and
preferred stocks declined sharply on Tn,
further court decision unfolding the va
lidity of the Union Pacihcs extra dlvl
dcnd distribution. but the Baltimore ant
Ohio issues. like the stocks Of ali IN,
Eastern railroads. were depressed earlier
in the day by the circulation OF shrewd ~
possibly inspired reports respecting III,
probable nature OF the Interstate Com
merce Commissions decision In the East
ern rate ease. Wall Street inclination
now IL TO expect that the decision will h,
disappointment. or what would hav,
wi ~ Rilh'i iS Sutll u rev weeks ago
when higher hopes were entertained bu
II the decision does not concede much n
the railroads II may find the presen
market better prepared to receive t.
There was active trading in the rnior
Pacific rights IN the outside market ent
Union Pacific shares displayed firmnes,
throughout the session. Aggressive rally
ing Tendencies in American Smelling and
Mexican Petroleum wore about the onl,
reflection nf H,.ytafo oh
financial community feeling that tim,
would he required to show whether Huer
ta's retirement prepared the way for
restoration OF orderly government in Mex
leo without our further intervention.
The resistance which New Haven Offered
to selling prcssuse and its afternoon rail-,
helped To promote the general hardcrin.
81 prices and directed a good deal Of n,
tention to the meeting OF tho New Haver
directors.
II was not AT all obvious that Wal
| street opinion was In agreement ms &c
the probable response of stocks TO ths
important decision OF policy which tn,
directors had TO make. although II wa,
believed that the determination OF tn,
board must have marketwlse conse
quenccs There 10 no basis for assum
| took will result adversely TO values II
| concluding to abide by the prcviou,
declaration OF opposition to dissolution
OF the New Haven properties on thu
only terms held out by the Massachusetts,
| Legislature the directors may have beer
guided by the marked change Of publ,
sentiment in New England in the las
| half year.
Since tho dissolution agreement wal
made with the Federal Attorney q enera
New England seems to have awakened
to a realization that thoroughsoing dis
Indignation OF the New Haven consolda
ton was less likely TO decrease. than I,
| increase the losses already inflicted ol
New England investors. and not at al
! likely to conduce to the rehabilitation AM
development OF New England enterprises
There is another side TO the New Have
record OF the last decade than that whicl
the Interstate Commerce Commission ha
so violently assalcd.
The European stock markets manifesto
somewhat frmer tendencies and IN
weekly bank statements OF the centra
! institutions at London and Paris wer
gratifying exhibits. Tho Bank OF Eng
lands position IL now comparing mos
| favorably with the average of condition
at this season, whereas n month or 81
ago II was much inferior. II might b
| noted however, that the Bank OF Eng
lands return continues to indicate tn
progress OF reaction in British trade
which is not altogether a hopeful siGr
! Foreign exchange remained depresse
here as result OF the Offering OF ex
port bills and the extension OF foreig
credits to domestic borrowers, Tho loca
money market was again little harder
especially for commercial paper, the mar
ket for which has been further affecte
| by the revelations as to the manner q
manufacturing and emitting the Clafl