The sun. [volume] (New York [N.Y.]) 1833-1916, 1916-01-06
FINANCIAL NEWS
AND COMMENT
Pressure on the Stock Market
Increases and list Weak
ems Under 1t.
WAR SHARES WAIVER

After two days Of fairly successful
resistance to obvious strain on the price
level and a%bsorp,ive capacity Of the
stock market the share list completed
yesterday the FIRST half week OF the
new year with Indications Of loss Of
strength all around. Trading approx
mated "a million shares for the session
and was made up Of a series Of vigorous
selling movements and sharp rallies. but
the prevailing tendencies which seemed
TO control the course Of quoted valu
were downward and In the late dealings
the market declined rather sharply. The
close was weak at about the low aver
age Of the day under an Increase OF SELL
Ing pressure.
Al the outset the Washington situa-
ton was more favorably regarded. al
though apparently only because OF the
evidence that no hasty diplomatic action
would be taken In reference to the con-
duct Of submarine warfare In the Medi-
t%erranean. With the s%pecialties lead
ing an advance was started. but II did
not get very far before conspicuous Is
sues in the war munition group began
TO crumblc under liquidation and bearish
sales. These evidently reflected the un-
c~asiness inspired by the disclosures Of
difficulty. experienced by the Canadian
car and Foundry Company In carrying
through its nussian wal contract.
Prominent members OF the war order
group broke swiftly and unsettled the
market generally. but before the end of
the forenoon support WAS extended
which Induced hasty short covering and
an aggressive recovery set In.
From then on. however, IL appeared
\ tho, utn,La aIxups.t ptily tp worry mod
crate limits at which liberal offerings
were encountered. The impression thus
produced discouraged new buying and
provoked n spread OF realizing which
became extensive in the last hour
Standard industrial shares such a.
United States steel. Anaconda and
Smelling were hen sold In volume large
enough to overtax demand. and prices
declined progressively to the close. Will
more sharply defined Weakness in spc'
~cialties like Industrial Alcohol and Mex
lean Petroleum. Rails were about tn,
sicadiest features of the general lis
Ind exceptional strength was displayed
, by Tennessee Copper. New York Al
Brake u L.ackawanna steel. the las
named being actively bought IN connec'
ton with revived runiors about a mergel
or combination in which II would figur,
with Cambria Steel.
There was no explicit news bearing OF
the action of the days market. An abe
uuate explanation was not furnished o,
the aspects Of international affairs. ant
rhe interesting conjecture WAS met "
certain quarters that stocks were bcins
parted with by various interests wh'
were anticipating something In the wa,
4 of "A legitimate business lull and setbacl
during the winter. In financial com
nlent emphasis was placed On the tire
mendous pace OF trade and industry de
yelopcd In the last few months and tn
d~eslrability of some le,up while ac"oun
was being taken OF political and labo'
conditions in relation to the question o
the economic future after the war.
Some point seemed to be given to th'
talk Of this sort by the trouble
in which the Republic Steel Company
has suddenly become involved and by
the stress which the company lays OF
the part which war orders have played
in building up prosperous activity,
What this activity means just now H.
illustrated in one way by the boom III
the copper metal market and In another
by the December statistics Of pig iron
production. These constituted a new
monthly record and At the beginning
Of the present month the scale of out
put was at he highest maximum SC
far attained.
The foreign exchange market again
provided matter for interested atten-
tiun. Sterling exchange continued It's
display Of rising strength, demand bills
crossing 4.75, the top OF the recovery
SO far, and In coincidence The Anglo
French bonds established themselves a,
a new level OF rally. Meanwhile German
and Austrian exchange dropped per-
sistcntly to new low figures. marks he
ing quoted ~ a discount OF 22 per cent
from normal parity. II is easy to draw
too sweeping conclusions from the for.
eign exchange market, but inance Is
very much inclined to make some APP
plication of the contrast between the
strength OF sterling and the weakness OF
marks to the actual posture of the Eu
tOpean war.