The Washington herald. [volume] (Washington, D.C.) 1906-1939, 1910-08-18
WALL STREET NEWS
Market Improvement Seen
in Demand for Bonds.
NEW HIGH LEVEL FOR STOCKS
the Sale of Canal Bonds
the Market shows Strength-Turn-
over Greater Than Recently, and
Outlook for Future Much I'm
proved-SterIing Again Strong.

New York. Aug 17.-Even more i'm
pressive than the continued strength and
broader range OF the stock market TO-
day was a marked improvement in the
demand for bonds. Before the opening
one of the few noteworthy evidences of
improvement in the bond market that
has been admitted since stocks turned
upward was supplied by the bids for
New York State per cent bonds.
Early in July the State authorities
were unable TO secure bidders for the
entire amount OF a block OF S1l 100000 of
these bonds. and were Obliged to hold
"a portion unsold. This unsold portion.
about S2,25OOOO. was the block on which
bids were announced to-day, and a great
change between conditions in the bond
market a month ago and now seemed 20
beshown by the act. The present offer
1 ing was ten times oversubscribed. where
'ras Its predecessor was partial failure.
land the price secured to-day was lOl77.
as compared with a price only a slight
fraction above par for the subscribed
portion OF the issue last month.
bOnds sell Higher.
On the stock exchange to-day bonds
Of this issue sold up TO 100. and the
strength in them was accompanied by in
creased activity, and strength in the
bond market as a whole. with the result
that sales were in excess Of 81. 100000 as
compared with about Sl250OO0 yesterday
and less than 100000 Monday.
. The fn1urOn-nr7a,f is
great enough 10 indicate at all positively
the beginning OF an upward turn in
bonds. but at any rate it holds out the
hope OF such a movement. and the great
Accommodations Of idle capital in the banks
further strengthens the announcement
derived from it.
IN stocks also the investment demand
is undoubtedly increasing. though It is
not yet important enough to indicate
any public interest. In the stock mar
ket prices declined moderately in the
early trading under realizing sales. but
the market soon hardened. and in the
afternoon a broad and active upward
turn carried the list to a new high level.
The turnover waS considerably greater
than on the average Of recent DAYS. and
interest more widely discerning. Ad-
vances in many of the ordinarily less
active stocks were again greater than
IN the active speculative shares. and
brokers reported a moderate demand for
high-grade investment shares. Political
developments indicating a determined
tight against radical politics. particularly
in the manufacturing States, were again
prominent in the market, and whether or
not mistakenly. the opinion seemed to be
gaining ground that the likelihood OF
favorable political development is now
greater than had been expected.
Developments Are Few.
Apart from the success Of the State
bond sale. concrete developments Of mar
ket importance were not numerous. Il was
announced that the Lackawanna steel
Company had been awarded the contract
for 1900 tons Of steel rails for the Ma
tionai Railways Of Mexico. but the
weekly reports from the iron and steel
trade. though showing a slight improve
ment in the demand for certain products
displayed no relief from the dullness in
those departments which depend upon the
railroads for orders
Sterling exchange rates were again
strong, partly on account OF the more
plentiful offerings Of time money here al
shading in rates and partly on account
OF the quiet liquidauons OF stocks bought
three weeks ago for European account.
Money rates here were unchanged. and
little business was done. Borrowers ap-
parantly holding off in the expectation
Of a further shading in the rates for time
INNS