The sun. [volume] (New York [N.Y.]) 1833-1916, 1915-09-18
FINANCIAL NEWS
AND COMMENT
Industrial Stocks Advance in q
Session Of Increased
Activity.
REFLECT LOAN REPORTS

While sterling exchange Continued to
rise yesterday. the stock market made a
more pronounced p to this indica-
ton and Others that tho foreign loan
negotiations were making rapid progress
toward a satisfactory conclusion. 1t
favored by the better aspect of diplomatic
affairs and was subjected to the stimuli
lus OF rewarded speculative expectations
In the declaration II a so per cent. cash
dividend on the General Motors shares.
At the opening OF the session General
Motors made "A further extensive ad-
vance from It's already high price level
and displayed thereafter a sustained
strength which Influenced trading In
other quarters. Fer the most part, how
promising status Of the foreign loan was
the principal factor in the Stock Tx
change dealings. Wall Street has per-
sistently believed that the fotation OF
such a loan w-uld have highly bene-
fetal consequences OF business and in
dustrial conditions. and accordingly on
values. n yesterdays market showed
signs OF a more aggressive tendency to
discount the optimistic implications of
the great undertaking. which has been
engaging the attention OF leading bank
ing interests.
So strong was the movement Of prices
that there was hardly n ripple OF dis
turbance from the report. subsequently
contradicted. as to the Rockefeller atti-
tude OF hostility TO the proposed loan.
Signs were u~nmi<akable of n liberal Of
fering of stocks in all directions as buy
ing inquiry appeared, but the absorptive
capacity displayed was more han ade-
quate and the close revealed a large
number OF material gains for the day.
The total Transactions were or the larg-
est scale OF the month and 50 far as
industrials were concerned the market
was characterized by much breadth.
Rails continued sluggish, but OF the rail-
road department IL may be said that
more than reasonably hopeful anticipa-
tions will be disappointed II these and
other standard stocks are not ~favorably
affected by the successful fotation OF
the foreign loan.
While IL is more than likely that
banking processes were responsible for
the rise in sterling exchange to new
high levels Of recovery. the maximum
pNhhiN N"'aA'' - " u'IIlt1lls tlthlIk
a rise of : cents in W days, II can
hardly be otherwise than that the en-
market is to a degree auto
matically adjusting itself to the foreign
loan prospect. The strength which IL
has been displaying is a suggestion of
the stability which may be brought
about and is one of the prime objects
OF the loan negotiations. Francs showed
similar strength, but no EXPLANATION was
forthcoming for the further modest
rally of r~eichsmarks, unless perhaps II
could be attributed to the general cover
ing Of a speculative short position in the
whole foreign exchange market.
While the threat Of a new diplomatic
controversy on account Of the British
prize court seizure of meat cargoes
shipped from this country Illustrated
the fact that clear financial skies
were not to be expected in these war
times, IL was not felt that there was
any danger OF a diplomatic interference
with the progress in the matter OF the
foreign loan, Wall Street was Informed
with totcrdhlc accuracy In the afternoon
this progress had reached the stage of
thorough understanding on all essen
tials OF principle and detail and that, in
deed, the loan was practically in shape
of agreement in the rough. Ideas about
an early and formal announcement of
exhaustive character may have been
somewhat premature. however. The
preparations for organizing so
an operation can hardly fail to
time, but there seems to be war
for the feeling that all the principal
points of real difficulty have been
passed.