Show I STOCK PRICES l SLIDING BACK BACKI I Market Owing to toI 1 I 4 A Extension of Long Interest I II 1 A in Past Few Days RAILWAYS MAKING LITTLE i SEVERAL OTHER CONTRIBUTORY CONTRIBUTORY TORY CAUSES I r rI I New Tork York Jan J t 16 l The growing in instability Instability stability stock market m at the thet t advanced level of ot prices which has lias been in evidence during all aU this week culminated aed today in a L reaction of some violence The downward course of ot I prices was unaccompanied by any news pointing painting to a change from the conditions ns which wh cl ave prevailed while prices were being advanced In fact there were Some ome facts fets indicating ame amelioration amelioration of ot factors which seemed to toI I militate against the advance while it itI iron trade rauie I was in force For instance advices were distinctly brighter than those heard he rd at the opening of the year ear But the stock market was unable to resist the condition to which It had been brought by the extension I of ot the long Interest and its desire to tor r realize profits while the elimination of the short Interest which had been driven to cover on the rise ri e deprived the market of the principal source of demand which has helped to sustain it for several severn days past The early eady movement of prices was vas wa erratic and feverish with suspicion of manipulative measures to 10 sustain prices These were apparently aban abandoned abandoned as the day advanced and the whole list gave SR way Evidences of I trade reaction were allowed their full force In current estimates of the out outlook outlook I look An example of ot the importance given to showing railroad earnings was wan the action of ot the Missouri Kan Kansas I Kansas ln sas Texas stocks on the publication of the earnings of that system for No Xo November November I vember These showed a shrinkage of ot nearly 20 per cent in the gross earn earnings earnIngs earnings ings with the expense of operation still expanding the tile result being that the net returns for the month was cut iut ut to less than half that shown for fort November of last year while the I t charges harges for interest rentals and taxes I would leave an actual deficit for the month compared with a 0 sur surplus surplus surplus plus last year Compilation of the re returns returns returns turns or of ur railroads for No November November November vember reporting previous to today show a decline in the net return of 1340 per cent from that of November v in n the preceding year rear Gross earnings J railroads for the first week In January show a decrease of f 1281 per cent compared rom pared with the cor corresponding responding week of last year This showing makes it certain that some very heavy reductions in net earnings will wll have to t be encountered later lateri i when accounts ar made up covering I current operations operation There is a fear Cear also that a bad im impression impressIon Impression will be made by the quarter quarterly ly report of ot the United States Steel corporation which will be published on the last Tuesday of the month for forthe forthe forthe the last quarter of or last year covering the period of at contraction following the financial panic Reports have hae been coming into Wall street during the thee week e k of the bad effect of the mild weather on the coal trade and this ha modified the good effect of ot the sustained earnings heretofore shown l by coal carrying railroads The Amer American American AmerI ican lean Railway association estimate of l I freight cars care standing idle on the f railroad lines of the country was a contributing Influence to the depres depression Ion sion The reduction In the Amalgamated opper dividend to the 2 per pel cent rate which was the low level prevailing for two wo years from Crom the latter part of 1902 Is a sufficient index of the depressed condition existing in that trade This action was not however a dominant Influence on the days stock market as It was anticipated with exactitude and was followed foll wod by bJ a a substantial ral rally ralty rally ly ty In prices A Judicial mandate to prominent financiers to answer ques in the Interstate commerce com coin commissions commissions missions investigation of ot the Harri Harriman Harriman Harriman man railroads and the reports of re renewed renewed renewed prosecution of or the Standard OH Oil company case were vere used with effect by the bearish element Their activity ty led to overextension on the short side aide and a widespread covering move movement movement movement ment rallied the late market The re reduction reduction reduction in the Bank of England otil official cial discount rate was too clearly fore foreseen foreseE seen seE to be of much Immediate effect Bonds thuds were heavy Total sales par value United States declined i and the 35 per vel cent centon on call |