The sun. [volume] (New York [N.Y.]) 1833-1916, 1915-09-02
FINANCIAL NEWS
AND COMMENT
Stocks Recover on German
Change Of Policy and For
eign Exchange Turn.
STERLING BILLS RALLY

hhs AhOhss'
to more h five cents. sterling ex-
change rallied rather sharply yesterday
| The action of London remittance did not
Indicate that there had been n change
in the difficulties OF the international
financial situation, but the permissible
inference that temporarily anyway the
decline in the pound sterling had beer
overdone was reflected In stock market
improvement.
Early in the Stock Exchange session
| quoted values were materially heavy,
| They seemed to be affected by the dis
| turbing Implications OF the international
financial crisis, represented by the de-
| moralization OF the market for sterling
| but even at that the recession of prices
| throughout the share list wal stubborn,
Late in the forenoon stocks made q
prompt esponee to the encouragement
afforded by the Washington
ment OF Germany's official acceptance
of the fundamental principle maintained
by Washington In respect to submarine
warfare, that the numbering OF Amer
leans must cease. The p%ortents OF this
news as n diplomatic triumph for the
Administration had been more or less
~foreshadowed in the last few days, but
the aCtuHl IaCt wan enoukn 10 cause =
swift recovery In the stock market.
The rebound vas not particularly ex-
tensive. but II was quite emphatic and
the recovery was held until well into
the afternoon. when the upturn In ster-
ling exchange furnished an argument
for general short covering by traders
and for some aggressive operative ef-
fort on the constructive side Of prices.
In the late dealings the market was
characterized by substantial strength.
breadth and activity and the total OF
transactions for the day was the largest
OF the week. The close was strong at
about the best figures. Some excellent
railroad earnings were reported. but
speculative favor still ran to the indue-
trial issues and ranged freely through
out the long catalogue OF war order
stocks.
Although quotations for demand ster-
ling as low as $50 were reported. the real
trading level was around and above 4.5l
early in the day. The later upswing car
rled the price up TO ASS n with some re-
cessions at the close. but the indications
were tha the fall in exchange had been
carried too far and too fast for the mo-
ment at least. An extreme drop OF
more than % cents since the end OF July
with fully half OF the decline occurring
In Inc lAHt IeW OANA COulu nHTulN XIII 10
nro,,,oa a co,d,,,on conducive % ,nw,rd
raac,ion ran,,v .necu,a tive cover
,ng sn,.rsa iargs,v into ,he day'. rams.
arsior.
Eor ,,. ro., The. nrob,.,, n, IN. ,or-
.,gr exchapge. remain. ana Il. upu,,s.
takably serious. although confidence is
felt that the coming international con-
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snah,s ,ors,an bnwsr. 20 f,rrish m.an.
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,ion on ,ha .,hisc, ins, nnu, 10 ,ha, M
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,ng comm,n,tv ~, ,b. .n,irs Count,
u,s,ch ms haneated tom our uar hnry
foroigr ,rad. ora &. corc.rroa In ,os.
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