The sun. [volume] (New York [N.Y.]) 1833-1916, 1914-05-17
FINANCIAL NEWS
! AND COMMENT
Market Fairly Strong, With
Little Selling Pressure
by Professionals.
DAYS TRADING IS LIGHT
Pronounced Strength Of Steel
Common About the Only
Striking Feature.
DAYS TRADING IS LIGHT

Perhaps the most important news OF
the day was tbs Information made pub
lie sftcr the close OF business hours that
the American Bridge Company. one OF the
most important subsidiaries OF tho United
States steel Corporation, would resume
work at its pencoyd plant at full time
tomorrow. The plant has up to now been
operating ut from 80 to 60 per cent.
capacity. This step. taken in conjunction
With tho limitations by tho Iron Trade
ReUisto on Thursday that conditions in
the trade are not as bad a. painted.
may be significant OF an approaching
change In the right direction.
Tho days stock market was u small
affair. The upward movement came to q
halt, but there was no stock pressing
for sale and on the whole the market
was fairly strong. everything considered
II there was any feature at all Il was
the pronounced strength OF Steel COM
mon. Tho new aspect of the Mexican
situation appeared TO AFFECT the London
market unfavorably, or e. least that ex-
cueo was offered for lower range of
prices from abroad. But this was ap-
parently without influence on our market.
The bank statement, with It's showing OF
y decrease In surplus OF $i,977.550. was
obviously affected by syndicate opera
lions and the extension OF credits to
Europe
A number of influences. most Of them
Of indefinite nature, combined to produce
. slightly better feeling In financial cir
cles last week, resulting In all round I'M
provement in stock prices. Business was
still professional, with no signs OF an In
creased outside interest. No doubt the
buying power proceeded largely from an
uneasy short interest appreciative OF the
fact that for the time being at least tho
favorable factors appeared TO outweigh
Che unfavorable factors and apprehensive
lest their position might turn out dan
gerous one.
Strong technical conditions were indi-
Gated by the behavior OF the stock mar.
ket at the opening OF tho week when con
sronted by reports OF "A rather alarming
situation In London OH the eve OF the
settlement there, by continued liuuida-
tion from Pans. by the refusal or Kuhn.
Loeb < Co, to undertake the Missouri
Pacific financing and by renewed exports
OF gold That prices should have ad-
vanced vigorously on the more encouraE-
inC aspect of affairs later was therefore
not contrary to the natural order or
things.
The London settlement passed through
smoothly, thanks to measures taken by
important banking interests to tide over
the affairs Of a large banking house which
had got into difficulties through overspec-
ulation in Canadian securities involving
many millions of dollars. The relief felt
on this score cheered foreign sentiment
materially and the confidence commune
Gated TO this side helped TO bring about
the striking display Of strength exhibited
on Wednesday. The Improvement In the
markets abroad was not progressive.
whc Continental bourses particularly
Paris, turned weak again. Foreign cables
advised caution and II became evident
4..s -
10 warrant an uninterrupted advance In
prices. Talk OF preparations for the long
delayed French Government loan may
have been premature, but they turned at
tcilllon TO au event which when II does
come will undoubtedly mari; a more or less
decided change in the complexion or af-
fairs At that centre.
An encouraging sign was tho unquali-
fed success OF the Baltimore aud Ohio's
sale OF 1000, 900 one year notes. which
obviously reelected directly upon invest
ment conditiCss. Recent demands upon
capital have been light and the bond mar
ket is stlll discriminating AFFAIR. Never
thelcss the rapid manner in which new
issues are being absorbed IL proof that
good securities can easily be placed ano
holds out hope for a broader market ir
the near future.
Another factor which perhaps played 9
part IN the rise in prices was ruinors OF
IN early ana iaNOraDle decision IN tho al
vanced rate case. Expectations OF thi'
lSiud were. of course. based on guesswori
pure and simple. but inasmucf
a. tho outcome is coming nearer
every day II would have been re
markable IL in the spread OF a more
Aopeful feeling the possibilities in this
,bnatter had been overlooked. Day 10 da,
kadvces ON the Mexican situation were
keonfiicting. hut tho fall OF Tampico and
accommodating signs OF a collapse OF thu
Huerta Government were generally con
atrued AS tending to avert war; and l
that circumstance will still leave the mali
'problem in an awkward state 1t will a
t1east simplify to some extent the posi-
tiop OF the Administration.
Missouri Pacific affairs cam, in for
good deal of attention, although they di'
not appear to exercise the general mar
ket influence they did in the previous
week. The prospect of an assent by thu
noteholdeIs to the extension plan seems
90 DO fairly good. Outside OF this imine
tiiate aspect of the matter there was per
haps an inclination to believe that recen
negotiations for "A permanent solution o
the systems financial troubles may be re
pewed with chances OF success.