Evening star., 1915-05-16
RALLY IN STOCKS
MARKET FEATURE
Spirited Reaction Follows
Weakness Manifested at
Last Previous Session.
TOTAL OF 100000 SHARES
INCLUDED IN THE SALES
Crisis in u. s. Foreign Relations
Without Permanent Effect-lm-
provement in Steel Trade.

NEW YORK, May 15.-Stocks rallied
more or less spiritedly today from their
weakness of the preceding session, when
quoted values crumbled mainly from ap-
prehension engendered by increasing ten
sion in international affairs. Improve
ment was manifest at the outset, ana
further progress was made during the
first hour, the range Of gains extending
from to points
War specialties were most variable, re-
covering material part OF yesterday
losses, but yielding to pressure again to-
ward the end Of today's short session
The most reassuring feature OF today's
movement was its moderation, trading at
no time getting out of hand or eVidencing
any OF the feverishness which marked re-
cent recoveries. Total sales OF STOCKS
amounted to 100000 shares.
Except for the decision OF the inter-
state commerce commission ordering
some of the important trunk line car
riers to sever all ownership OF water
lines between Buffalo and Chicago.
most of the days general news was OF
a hopeful character. Conditions IN the
steel Industry have thus 1ar peen un-
affected by the international sltuatlon
and other trade reports point to STEADY
Improvement. particularly In the west
and southwest
Reflected in Bank Statement.
Recent abatement of stock market
activity was reflected In the bank
statement, actual loans contracting al
most s17,O00,0oO. with cash gain OF
slightly over $6,O0O,000, while reserves
Increased to the extent of virtually
$l1 100000.
Bonds moved forward with stocks,
hut trading in that quarter was far be-
low recent averages. Total sales (par
value) amounted to $980,000.
United States and Panama bonds de-
c,ined u to / per cent on call during
the week.
Crisis Is Paramount Issue.
The crisis in this country's foreign re-
lations was naturally the paramount issue
in this weeks stock market. The open
a nd unfettered state Of the New York
market was evidenced by the boldness OF
onerations on the short side, which was
indicated by the circulation Of alarming
minors and the partial recovery when
peaceful settlement found suggestions
The building up of this uncovered require
ment supplies technical source OF
strength for the market In the event OF
further shock.
The extreme care which has been mani |
tested in business and enterprise is recog- |
n!zed now as having been prompted by |
the danger Of just such episodes as now
threaten. This past conservatism may De |
expected to yield corresponding safeguards |
n painst the necessity of retrenchment and |
liouidation in the event of a rupture with |
Germany. Opinions differ over the extent |
to which speculative dehation in the stock
market itself might be called for.
Confidence in the resources OF the
money market was demonstrated in the
completion of subscriptions to the Penn
sylvania railroad and Argentine govern
ment bond offerings. Time money hard
ened slightly, the result Of better demand.
New Loan Regarded Possible.
The dip in government bonds reflected
the possible issue Of new loan Con-
signments of French gold and some large
maturities of railroad notes held abroad
helped to stiffen exchange on London
without the placing Of the expected British
credit here French and Italian remit
tances from this center fell to lowest quo
tations since the war. Our foreign credit
balance went on accumuiating, with re
ceipt of further war orders. Highly
favorable crop conditions were a sustain
ing factor Decrease of freight car
surplus was reported. Railroad demand
for steel products Is still lacking, but Tor
eign orders are maintained and domestic
demand for copper expands.
Clearing up Of the Japanese situation
with China gave satisfaction. but Italys
indecision continues to exercise an un-
settling influence.
Iron and Steel.
Some decided Improvement was evi-
dent in the steel trade this week. Speci-
fcations against contracts were larger,
permitting an increase of per cent in
mill operations; current domestic orders
were larger and export trade continued
heavy The Steel Corporation is now
operating about 10 per cent of total ingot