New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1915-12-17
Prices Give Way on Fear
That Break May Come
with Austria.
INDUSTRIALS LEAD
IN LATE DECLINE
Early Advances in Speculative
Favorites Short Lived
Sterling Higher.

Prices gave way IN the last hour Of
trading following intimation from
Washington that Austria's reply TO our
demands on the Ancons attack would
be wholly unsatisfactory and that a
break in diplomatic relations might re-
suit. Selling was general, principal de-
clines occurring in the industrial list
where early there had been an irregu-
lar advance. For the most part pres
sure came from traders who decided
there had been a mistake in assuming
that conditions favored a speculative
upturn. In addition, there was some
liquidation from the commission houses
that indicated q more widespread sp-
prehension.
The statement Of the position Of the
Austria Hungarian Admiralty, received
overnight, was In direct opposition to
our claims for dissvowal and repara-
ton. In case Of Germany, however, II
had been found that the Foreign Office
did not conduct its affairs along the
lines laid down by those In charge Of
the navy. So beyond some heaviness In
international issues and q continue
ton Of public apathy. the early deal
ings showed no disturbance from our
foreign affairs. In the late afternoon
advices from Washington indicated
that this time our international COM
plications might result seriously and
the market turned sharply downward,
Losses on the day among standard
issues were in few cases as great as a
full point. Those war industrials,
which had been stimulated Into activ-
fly and some show of strength by the
same kind Of professional operations
that had been conducted previously in
the week, went back in unmistaksble
fashion. Early gains were generally
wiped out and changed 70 losses. Bald
win Locomotive had been advanced
over 4 points and ended more than 3
down. Studebaker made a net loss Of
points, Texas Oil Of and Mercantile
Marine Of over 2. United States Steel
fell back more than q point to So, and
ended only a shade above its lowest.
Convertible bonds weakened a little
at the close in sympathy with stocks
The Anglo-French notes we're quieter
than on Wednesday and ended at 95
after changing hands again early In
the session at the low of can for de-
layed delivery. II was denied that
there WAS any syndicate support being
furnished for the issue, or that any
such arrangement was IN contempla-
ton.
This latest international menace has
not brought alarm to security holders,
but II did suggest need Of caution. As
compared with the popular indignation
that followed the sinking of the Lusi-
tania, the people Of this country are in
no state where il seems probable that
they could readily become involved in
the European upheaval. Crises between
nations, however, do not come as logi
cally they might be expected. II our
authorities are really determined TO
stand on their demands, 1t may be that
diplomatic relations with Austria may
be interrupted, and, following that,
there is possibility Of even more Sc
rious complications.
From Paris il was reported that tbs
Bank of France as result of its ap-
peals to the French people had raised
its gold holdings to the unprecedented
total Of 81 100000. The Bank of
England, where still the effort is made
to give ont the precious metal as we'll
as to bring it in, added few thousand
dollars TO its gold. The reserve proper
tion fell nearly q Of per cent as
loans and deposits Of the money market
increased. Here sterling was hrmer,
with some purchasing for remittance
Of proceeds OF sale of British securi-
ties delivered here. London checks
rose to 472la in the pound, up q of
cent from Wednesdays close. Exchange
on the Central Powers continued 70 be
sold, and, in absence of purchasers,
reached new low levels.