The Birmingham age-herald., 1914-07-29
MARKETS ARE DEMORALIZED
 BY DECLARATION OF WAR
Panicky Conditions and Declining Securities Mark Close of European Bourses-Wild Trading In American Ex-
 changes-Heavy Gold Shipment From New York

Expectation of war between Austria Hungary and servia and it's subse- uuent declaration today demoralized the markets of the world
 War was not declared until after the bourses of Europe had closed, but in London. Berlin and Paris, panicky con- ditions and severe declines in securi- ties anticipated the announcement. In all three capitals bonds of European governments which have been dropping steadily registered further losses
 In Vienna the bourse had been closed since Saturday, but there was a heavy run on the Austrian Savings bank, the most important in the dual monarchy.
 In Paris, the commercial exchange suspended all dealings in grains, sugar and other commodities and exchange on London and private discount for the first time in years were not quoted.
 In Berlin, runs on savings banks be- gan yesterday, grew heavier.
 In London, after the close of the stock market, stocks tumbled on the curb.
 News of the declaration reached this country while markets were in session.
 
 selling in the New York stock exchange. Leading securities slamped from 1 to 20 points and conditions paralleled in their intensity the domestic panic of 1907.
 Stock exchanges of Montreal and To- ronto suspended their sessions.
 Tremendous Slump In Wheat On h.. ,l of da bnr rp was a tremendous jump in wheat and the widest excitement in years in the expectation that war fin Europe would create 8 demand for American grain. Also other food stuffs also advanced Conditions were reflected in all pro- duce markets of the country. On the other hand smart declines were recorded in cotton futures at New York and New Orleans. Coffee also slumped, owing. 1t was reported, to fears that financing Europe of the Bra gillian crop would fall.
 Foreign exchange was demoralized and millions in gold were engaged at New York for shipment to Londou and Paris.
 -'tN iVint 'hiN uStiid ioi hiui declaration of war against Servia was followed by violent decline in quoted values on the local stock exchange to- day preceded by conclusive disturbances at leading financial centers abroad. | Prices here dropped from to 10 points | in many of the high grade issues Cana | dian Pacific scoring a maximum decline of almost 20 points. Selling for foreign I |. Al I than 100000 shares that changed hands hene it was estimated that fully 100000 l represented foreign offerings. The local market while somewhat ner- vous and weak, was held well in hand | until word came of Austria's attitude. | Immediately there came avalanche of 1 liouidation The sharpness with which | securities declined betokened enforced
 selling, materially assisted by bear raids ] Outpourings continued to the close few | issues recovering small part of their l loss.
 United States Steel Features Day ! Trading in United States Steel, aggre- | gating 100000 shares was the main feature of the days business which was the l largest of the year. There were also 1 heavy offerings of Hill and Harriman n shares, Reading, Canadian Pacific and | Amalgamated Copper. Unea sness in this market was accentuated by further heavy
 gold engagements for export to London | and Paris.
 l Foreign exchange was demoralized. with 1 rates so variable as to indicate a serious | strain on credits between this and Eu- 1 ropes financial markets.
 l Talk of private settlements was heard I after the close of the exchange. Bankers 1 and brokers were busy until late tonight l issuing calls for extra margins and ex- l changing cables with foreign correspond | ents.
 All the commodity markets including grains and cotton were in state of wild excitement. Wheat and corn rose sharply l with an equally abrupt break in coffee. Wild Trading In Chicago Chicago, July 2S-War ran up wheat
 transactions today on the Chicago board