Article Text
Feverishness and Irregularity in Today's Market. HEAVY LIQUIDATIONS DECLINES RECENT SEVERE PROVE VERY EXHAUSTING. Upward Movement Interrupted by Several Reactions-Buying on Trust Company Suspension. NEW YORK, May 23.-It was only natGral that the dealings on today's stock market should be characterized by no little feverishness and irregularity. The severe decline which has taken place in prices during the past ten days has, of course, proved exhausting to a large number of speculative account, and soon after the opening of business this morning, and from time to time during the day, quite heavy liquidation was apparent, which was a plain reflection of the closing out of weak commitments for the long account. At the same time the market showed an underlying tendency toward recovery, and, indeed, there were a number of quite extensive gross advances scored in nearly all of the active stocks. The upward movement could not be described as orderly or well sustained, and it was, in fact, interrupted by several reactions during the course of the business session. There were also occasional protracted periods of actual dullness, notwithstanding which the day's transactions footed up a very considerable total. The rumors current late yesterday afternoon with respect to the solvency of a trust company in the Broadway mercantile district were verified this morning in the suspension of the Merchants' Trust Company. The announcement of the closing of the doors of that Institution was, indeed, the signal for quite a vigorous upward movement in prices. This, In fact, is quite a usual phenomenon In market movements. the reasoning being that the financial atmosphere has become cleared by the announcement of the fact, which supersedes the more or less vague rumors which in the absence of definite information might lie against one concern or another. As a matter of fact, the insolvency of the trust company in question is a matter of no general significance, and the impairment of its resources has been a matter of general knowledge for an indefinite period. Such an event rs, however, bound to have a sentimental effect upon speculative sentiment, and it may be assumed that the case in point has already found full expression in that direction. Little Other News. There was little other news of consequence having any connection with stock market affairs previous to the opening or during the course of the business session. Money remained extremely easy, and sterling exchange advanced sharply. doubtless in connection with the forthcoming payment of another installment on the Japanese loan. Cable advices from London set forth that expectations were entertained that the demand for remittances on this account might be sufficient to warrant a spécial shipment of gold from New York to Europe. The grain market continued very strong and active, although the day's weather advices were actually favorable, and the reports upon the state of the crops were very conflicting. The weekly report of the weather bureau at Washington made, on the whole, a satisfactory showing. There was no actual news relating to particular stocks, aside from dividend declarations and statements of earnings. The course of prices in the day's stock market might perhaps be most clearly derived from a consideration of the dealings along strictly technical lines. London was by no means such an influential factor as was the case yesterday. Foreign houses were indeed very active in the local market, but their operations were unusually conflicting, and estimates of the net results varied very widely. The business of commission houses was extremely limited, and appeared indeed to be confined to the liquidation of exhausted speculative accounts already referred to.
