The sun., 1916-11-30
FINANCIAL NEWS
AND COMMENT
Market Operators Revise Ideas
on Reserve Board Warning
and Money Rates.
PESSIMISM Is DISSIPATED
Values Advance Most Of Day,
Buying Being Of Best Kind
In Many issues.
PESSIMISM IS DISSlPATED

In these days Of extraordinary strength
IN fundamental conditions Wall street
refuses to stay depressed for any length
Of time over developments which upon
first analysis appear to possess elements
of serious import. Although the Street
was much pcrplexcd and to some extent
seriously upset on Tuesday In conse-
uucncc OF the manifesto Of the Federal
Reserve Board. II recovered its equi-
lihrium yesterday. n reflection of when
was presented In the course OF prices
In the stock Exchange and in the
disposition in banking circles to discour-
age the ideas suggested the day before
that the attitude Of the Federal Reserve
hoard regarding heavy participation by
the banks in unsecured foreign treasury
bills foreshadowed the end OF credit ex-
tensions to the Allies.
Stock market operators revised their
! ideas on the ultimate effect Of the Re-
serve Boards warning and upon the po-
sition Of the money market.
found. contrary to their conclusions OF
| the preceding day. that Europe will con-
tinue to buy merchandise In great vol
ume In the American markets.
They found also. after giving the
money situation a little more attention
than they accorded II on Tuesday. that
the higher rates for loan accommodation
were not based upon factors with n per
manent bearing upon the market. They
became convinced that with gold coming
in. with funds recently released from
speculative accounts in stocks. grain and
cotton. with interior money moving TO
this centre In respons to the higher
rates and with the preparations Tor the
December interest and dividend dis
bursements out of the way the chances
would favor an easier position In loans
and ground FOR further appreciation In
securities prices.
Stock market values advanced In the
greater part Of the day. with the re-
actions reported in various issues In the
late dealings based wholly upon a
natural readjustment OF account in
cldent TO the holiday. In many issues
the huying was OF the best sort. notably
In United States Steel. the demand for
which came from important sources. TO-
900 shares. for instance. being taken In
one block at a money cost OF H,2So.ooo,
Unimportant buyers do not take Steel OF
any other stock in blocks Of this size,
B%ullishness on the steel shares was
based not only upon the failure OF
active efforts to shove prices lower bu'
upon the weekly reports from stee
:" a,s -, ,ho i,dus,r,
u! m. -, ,ia .itra'
ton for the makers OF steel products
The Iron Age said that as 1t appeared
'ne amount % pig y" ~ 80
heeueu 10 se. NV ~. 80,
increasing o.ei ,ne ,io H.,
mere uonhes.'c e"nsunnels m 800 Hn
Iro" IRON orc 10 m"e
Insurance. Oh suppi.es "" i'' :"
mn eonsluel"uIo"' 49,
buyihg is proceeding ae'''eis' nIe
spectVe OF 'he recoru h'sn prlees p'.
vaiiing' win orders from 'he rai'roau
Keeping 10 the 'front.' IN the ne" ous'
ness reported var oruers are creas
Ing In the race OF an advance oNifhos
100 per cent. In the price. whie ran
are being bought AT 81" q Ton aooN'
the price AT which most OF 'he 1919 de
llverlcs nave been placed.