The sun. [volume] (New York [N.Y.]) 1833-1916, 1916-03-06
Technical Factors Removed.

NAV mas lfhfl' Rlc't. AloNSN tAs Il
probably put Wall. Street in shape 10
reflect with more profound significance
the c~ounteractine economic and political
forces which bear on values. Technical
factors seem TO have been very largely
removed from the field Of Wall Street
consideration by tho processes corrective
Of unbalanced speculation through which
the share list has passed OF late. From
the technical standpoint the assumption
Is probably warranted that the clean
Ing out OF speculative engagements f-
the rise. involving II shifting OF stocks
and contracts from relatively weaker 70
relatively stronger hands, has left The
market IN the advent OF spring mater!-
ally improved IN position and extensively
strengthened structurally SO that the es-
sential condition of value can he more
adequately measured and translated
into terms OF price.
II is about six months since tho stock
market reached Il climax OF expansion IN
volumes and prices. Beginning with the
distribution which went on during the
autumn around the top levels and con
Guiding with the more or less forced
liquidation OF the winter, II has been the
scene of a prolonged selling movement
and prices have been drasticaliy lowered
from the high figures. This IS especially
true OF those descriptions which ad-
Nanced most last year and IN which most
OF the e~xtravsgant eNc.sses of specu-
latiye buying wer. committed What II
OF even more consequence tina the fact
that values are quoted at a level of re
duc'iou T. The fact that there has lfcn
a substantial reduction IN the SPEEDY
latiV. position. " against distribution,
something like a STATE. Of concentration
or accumulation If stocks again obtains.
Meanwhile trade and industry have beer
establishing themselves more firmly and
consolidating their recovery by a pru-
den, Us. OF abnormal profitS 10 augment
working capital or reduce capital obi
cations
The conclusion. therefore, seems to be
pointed that while stocks are selling for
much less than they were six months
ago, they are worth more than they
were worth then. Not . little ~tnpsy.turVy
speculative argument i being urged that
seems TO imply the contrary Increases
in dividends and increased ability TO pay
dividends are represented almost as
though they diminished values. \ good
deal of contemporary Wall street rea-
sonlng seems to hold that evidence of
the enhanced worth OF corporate equities
is evidence that they should lie sold at
declining prices.
About all there Is 70 say Of such argyll
=. a. -
hP'h' ~ tha' u MS III WI su.n sptou-
,atN' ullset'ie,he,l as "'n H.tect mas
o.et hfvis' ~ = ~. Nv ''"'-
aunt mat a. s"Ins du'l'''pi'S ''e S,"rN
"'hrh'. Iia p'sH P.ao.u >. - 'iS,s NuLcn
- SUI y. e"n.' - Nv '"'1
W. pfV'n io7t'on WI f,,"' W. nv
,ourse oi 'he sPIIhs 80" W ,nu'r"'e
pe''eI nan was poss'nie uur''s inc WIN
ter "hr''er poi'ueai iIcuofs' foreign Or
uoiheslic' are nhs's =" prevent persistent
ous.ness ploe'ess aIoHs ,"c pains or
Pro''@oie e~n'elpf'se.
Hs pear'nS on tne contention that II
was tne poS'''o" Oh uistresseu specu'a-
,ron' fa'"et va" 'e adverse con-
lnkehc.es vi poil.INe le'ateu 10 the COM
plieateu hsues sr'sN,s from inc war.
whicH 'Ne s'och market eV.hced through
,he winter .ne COURSE OF prices with
rrtettiCe 4" vac N'ara,'e' ana tne volume
VI "'i'lnss seems 10 HaNo some validity
ne "'hte' STUN n''lhet was TOT tne
mos par. q Fr'llHs hiaIhe'' y.t atter the
hi,'cIe ot l"st "eeh II taN" ihnicatlohs
"H'cii suse's'eu llat II insht ne ap-
pruA,tit'e'S so!d OUT Ihls coH'iit'on
usually occurs oiIs "hen toil.th!hs hk"
q pre- halance hds peeh stru'h between
ri''F!''M 'e' .hIu"n.ee anu Nn'H' accord
'''s 10 t"e ~Juushl.hI ot hiitl'e ana hisl-
'''N" been more or ieSs eHectni'lr dis
tho excited liduidatiur pressure ON the
share list suls,.a,d last week at uIst