New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1916-12-15
beginning of End
View Causes Heavy
Liquidation
u. S. STEEL LEADS
GENERAL DECLINE
Closes More than 6 Points
Off - Hundreds of
Millions Lost
By GARET GARRETT

premonition. Of peace. This is very
significant.
Wall Street, like every other finan-
cial community, is furnished with a
marvellously delicate organ, a kind
of antenna, by which to sense the ap-
proach of events. That organ yes
terday was in a state of intense ac-
tivity. The sensations thereby re-
ceived, although definitely under
stood, were mostly inaudlblc. How
ever, there was one phrase heard
over and over, ten thousand times,
on the floor of the Stock Exchange,
in private bank offices, in the Gus
toners rooms of brokers' shops and
even in the streetways. II was:
"This is the beginning of the end
The stock market broke very badly
under the impulse of people to get
out of their war stocks.
Fell Under First Shock
Tuesdays decline, on the news Of
Germany's proposal to discuss peace,
was the result of an unexpected
shock. II is the habit of spectators,
when scared, first to leap and then to
look.
On Wednesday prices recovered,
but in a somewhat uncertain man
ner. The alarm was unconfirmed.
The sensations impaired by the an
tenna were confused and contradic-
tory.
A majority of people wished to be re-
assured, and the prevailing opinion was
that the Allies would refuse TO consider
any terms Germany might be expected
TO offer.
Yesterdays decline on the Stock Ex-
change was of different character. 1t
represented resumption Of Tuesdays
liquidation on the crystsllizing thought
of the imminent possibility Of peace,
and whereas on Tuesday volatile specu-
lators were the principal sellers, secu-
rites were offered for sale yesterday
by all manner of people-insiders and
outsiders, big and little.
Bankers who on Wednesday were
ccntemptuous of Germsny's overture,
and certain that the Allies could not
stop changed their attitude and con-
sidered alternatives.
Reinsurance Changes Front
On Wednesday reassurances consist
ed mainly in the assertion that the war
would not end merely because Germany
had proposed TO discuss peace. Yester-
day reassurances took a different turn.
II the war did end, that was no reason
why people should rush headlong TO
dispose of their securities.
Nevertheless, people did rush head
long TO get out of their war stocks.
Twenty minutes after the close of the
market the ticker stopped grinding out
the record of 100000 shares sold on
steeply declining prices.
Bevond the scenes OF commotion
produced by the days Stock Exchange
iiduidation sat finance itself-quiet,
expectant and holding its breath. Its
mind was turned toward Washington.
The relation of the beginning TO the
end would be determined there by the
President.
Playing nervously in that direction,
the antenna seemed to sense the proba-
b;litv that the American government
would, in transmitting the German pro-
posal TO the Allies, cast the whole Of its
moral we ght on the side of peace. This
belief was supported by phrase re
ceived from an officer OF the govern
ment who happened to be in wall
Street attending to matters Of hnance:
He said: This is the entering wedge"
so Wall Street thinks.