The sun., 1916-12-07
FINANCIAL NEWS
AND COMMENT
Wall st. Optimistic in Analyz-
ing Wilson's Attitude
Toward Railroads.
CALL LOAN RATES RELAX
Moderate Improvement in
Prices. With Buying Mostly
Of Stable Character.
CALL LOAN RATES RELAX

~ hhoh IL
withdrawn. a. being unnecessary. his
recommendation OF last summer that
Congress approve confederation by the
Interstate Commerce Commission Of
higher freight rate schedules to meet
any burden caused by the eight hour
Law. gives Wall Street reason for the
assumption that the Administration
already has conveyed to the latter body
liz belief that the railroads are entitled
TO greater compensation. II 10 not neces-
sary for the commission to obtain addi-
tional power from Congress In order to
advance rates. but In Street circles II 10
thought . private hint has been given
that h best interests OF all concerned
would be served by an advance In freight
charges irrespective Of the outcome OF
the suits pending to test the constitu-
tionaiity Of the Adainson law.
Arguing along these lines, stock
market traders exhibited a decided ten
dency toward optimism In yesterdays
market. particularly In the last hour
when prices we're bid up under the added
stimulus Of an easier position In the
money market, call loans declining from
a high OF ! per cent. to 3 per cent. The
greater part Of the days business In de.
mand loans. however. was transacted at
the I per cent. level. which. nevertheless.
was under the ruling rate Of tho day be-
fore.
The general money market situation
suggested a gradual lowering Of quota
tions. as more gold was received from
Canada. with the prospect Of still
heavier shipments across the border.
while in the operations between the
banks and the Sub-Treasury there was
ar indicated heavy gain by the local IN
stitutions.
In the greater number of stocks. both
rails and industrials. closing prices
showed moderate Improvement As COM
pared with the final Of the preceding
day. The motor shares came into
! prominence. the steel and copper issues
were well bought. man. Of the special
ties were in active demand and the low
priced rails again attracted favorable
attention. especially Missouri Pacific
new issues. Southern Railway comnion
and Wheeling q Lake Erie. Street Cos
sip IL bullish on the rails In general
and commission houses, In mar in.
stances. are calling the attention Of their
customers to the great possibilities Of
the cheaper grade Of rail stocks which
reconciliation.
Orderly operations for higher prices
rather thar excited speculation marked
the curse OF dealings. There was no
I outburst Of great public buying. Blu
there was. however. an active demand
from strong outside interests who evil
IDENTIFY adopted the theory that there
was no particular obstacle In the way
Of n slowly rising market In the rest OF
the month.
A considerable amount Of money has
come into the stock market In recent
Jays from out Of town points. and In
many Instances purchases have been OF
the cash variety. The large prohts made
In ordinary business are being reinvested
In stocks for permanent holding. while
there Is speculative buying from the
same source, particularly In the stee'
shares. In the motor issues and In the
s~pecialties. the last named including
such stocks as Pittsburg Coal and the
gas and petroleum securities. There Is
a better demand also for the shipping
shares. with the Mercantile Marines and
Atlantic. Gulf and West Indies features
United States steel and other stee
shares, including American Steel Foun
dries. which gained more than 2 point
found many buyers yesterday. EFFORTS b!
certain professional traders to driv<
them lower meeting with no response
Steel trade reports received gave TIT
III tNN's' oA 49,
ing at record high prices. with all ind,
ation pointing strongly to sustained
advanced quotations for all classes o
steel products and inability on the par
OF some mills TO meet the demands mad
upon them. In pig iron there Is positive
stringency. with no early RELIEF looked
for from the increased output.
In the foreign exchange market rate
on neutral countries advanced sharpl,
while at the same time there were move
ments against Rome, Paris n Vienna
the quotation on Rome being within
fraction of the lowest OF the year
Abrupt advances In exchange on coun
tries not at war emphasized the obstacles
In the way Of shipping gold from thu
!. United States. which otherwise would b
made to check the advancing tendenc!
In rates, while the weakness In exchange
on most OF the bell.gerent natlonI
brought forcibly TO mind that the yer!
causes OF the decline on those countriel
have had a decidedly opposite effect upol
the rates Of the neutral European mar
kets.