The Washington herald., 1916-12-20
In the World of Finance and Trade
WALL STREET WOBBLES
AS Peace news TICKS
Brokers Generally Believe England |:
Eager to Hear German Terms.

New York, Dec, 19.-Although closing
prices on the New York stock Exchange
did not differ materially from those OF
the previous day, the session was one OF
the widest and the fluctuations were
among the most erratic ever seen In Wall
street In spite of the strong speech
made by Lloyd George. most of the Wall
street fraternity went home with the idea
that England would like to hear Ger
many's peace terms.
Only a few of the big bankers remain
fixed in their opinion that there Is no
possibility OF peace as a result OF the
present offer by Germany. They believe
that the war will continue at least a
year more. Their only fear. from the
market point of view, is that it will last
so long that It will become a bear argu-
ment. It will become such as soon as
the American business men begin to
doubt the ability to pay all bonds and
bills in full
At the opening, stocks were steady.
They crept up then sold OF and became
steady again. Then a slight advance be-
gan on rumors that a stock exchange
house had a private cable saying that
Lloyd George would back up in his
speech the Russian and French state
ments on the German proposal
News Announced Definitely.
Presently this news was announced def
nitely and the market advanced sharply.
Doubt passed over the street again. but
official confirmation OF the news came
speedily. Then everybody wanted to sell
at once. The market yielded whole points
between transactions in some stocks
United States Steel for instance, sold
down from l16 is to 1O9 IS. Alcohol
broke 10 points. Atlantic Gulf and West
Indies broke nearly II points. Marine
broke 5, Gulf States Steel 10. and other
popular issues were almost equally er-
ratio.
This condition existed until just before
the close when banking interests came
to the support Of the market in a big
way and began picking up the bargains
which appeared on the tape by scores
Railroads were the strongest feature on
the list.
For Account of Bankers.
About the only explanation possible 70
give Of the action of the market was
that the selling INDUCED in when the
official news appeared was for the ac-
count of bankers who supported the
marker n few days ago in the break.
This started the decline which was con-
knued by the general public on the theory
that Lloyd George would gladly re-
Ccive Germany's peace terms. The big
bankers did not take that point OF view
and were surprised that the public should
do 50. The bankers believe that Ger
many will recognize Lloyd George
speech as the last word. They believe
the war will be renewed Immediately
With more viSor than ever.
The bankers did not overlook Lloyd
Georges statement that the entire mer-
camille marine would be nationalized.
This hit international Mercantile marine
sto, ks. For the decline of Atlantic Gull
ard West Indies there was no explana-
ton bat Mysteries
Thr"L-hOut the day the buying was
high Grade wherever bargains appear
cd. Bankers directed their clients to-
ward the stocks Of the newly reorganized
railroads. Rock Island, Missouri Pacific.
Wheeling & Lake Erie. Wabash and
Pcrc Marquette were all well bought
Most of these have been enjoying a
coed market in the Street but the last
lamed is just now becoming active