New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1916-07-06
MARKET NEWS
AND COMMENT
Stocks Recover Further as
Mexican Outlook
Improves.
CALL MONEY GETS
ABOVE 4 PER CENT
Touches Highest Rate in More
than a Year-United States
Steel Strong Feature.

Stocks made further progress toward
recovery yesterday. The market re
sponded favorably to the late devel-
opments in the Mexican situation, the
publication Of the Carranza reply to
the American note strengthening the
belief in financial circles Of a salts
factory settlement Of the questions al
issue. While there was no sharp up
turn in prices the general list moved
forward in an impressive manner. win
United States Steel common and the
rails leading. and closed the day SUB
sfantiallv higher. Mexican issues rose
buovantiv. with Mexican Petroleum
ending more than points up. Surface
indications pointed quite clearly TO
continuation Of repurchaslng movement
Of Monday. as dealings were almost
entirely professional, with little or no
evidence Of any increase IN pubic IN
terest. Business was still restricted,
and the turnover held under the hall
million share mark.
Apart from the turn for the better IN
the news from Mexico, there were otner
Developments that eXerted a cheering
influence on speculative sentiment. IN
fact. the holiday budget contained
many features calculated 20 promote
optimism. Not the least OF these was
10 be found in the advices from the
other side telling OF the further prog
ross of the Allies in their new often
sive. Curiouslv enough the war issues,
whose weakness of late has been at
tributed TO the feeling that success
ful drive of the Allies would hasten
the ending Of hostilities and bring an
end Of new munintion contracts,
strengthened with the rest Of the mar
ket. The best explanation Of the ten
dencv OF the group was probably sup
piled IN the technical position.
Action Of United States Steel com
mon. which led the market, was asso-
ciated with the optimistic utteranee'
Of Chairman Gary on Monday. IN which
he smoke enthusiastically OF the outlook
IN the industry. Steel advanced above
S7is AZ one time yesterday, and closed
near the top, while the Street talked
OF an impending division Of proht9
with the stockholders as q sort Of com
pensation for the dividends omitted
during the period Of depre ssion follow
ing the outbreak of war. While the IN
filed tonnage report due on Monday IS
now expected TO show a small decrease
owing largely 20 the fact that the mills
ara already booked 10 capacity, the
trade Journals referred 10 the contin-
nation OF foreign buying on large
scale as an important factor. ne
Iron Age" said that pig iron production
IN the United States last month was
9.21l.2SS tons, against 9.36l,O13 tons IN
Nav. or an average daily output OF
lO7053 tons, against 10S,422 tons IN
Nav, the decline being due to working
conditions, and not to any marked
slackening in demand. Buying Of steel
making pig iron goes on, with some
25.OOO tons placed in the last week
much of it for Italy.
Stifening of the call money rate yes.
terdav reflected again the influence OF
the heavy semi-annual disbursements.
A small amount loaned a. 4A per cent
the highest since the Stock Exchange
resumed operations in December, 1914.
The majority Of loans, some S2O,OOO'-
600 were placed at per cent, equalling
the previous high Of the year. Fixed
date funds were also a shade frmer
An Incident Of the day was the ship
ment Of $4,000 in gold 20 Spain. An
indication that despite the general dull
ness of the bond markets there is still
a GOOD demand for new issues was fur
nished in the resale in a single day OF
the S6,OOO.O00 Canadian railway bonds
recently purchased by New York bank
ers. This, il would seem, augurs well
Of the future financing Of Canadian
roads in this market. which may reach
a total Of 100000 600. Foreign eX-
changes were quiet, with firmer tone
noted in German remittances.