The sun., 1916-09-02
FINANCIAL NEWS
AND COMMENT
Market Irregular, With Ten
dency Weak and Half tho
Dealings in Eight Stocks.
BIG HOUSES ARE BUYERS
Bargain Hunters Out as Pro-
fessionals Pound and Prof
its Are Grabbed.
BIG HOUSES ARE BUYERS

Eight prominent stocks provided more
h a one-half Of the dealings in all L.
sues In yesterdays Stock Exchange
operations, while double that number OF
Issues provided more than two-thirds OF
the total transactions. In other words.
the greater part of the days business
In the 200 or more separate issues which
contributed to the turnover represented
concentration of specula live interest on
Il relatively few stocks, while the general
speculation reflected unwlllingness both
on h part of Wall street and the pub
lie to make extended commitments on
either side Of the market.
1t was n market In which the profess
s'cnal element was bearish. chiefly he
cause OF the absence OF outside buying
and because OF the idea held by this ele-
'nent that for the moment ut least the
profits were ON tac short side. And to n
certain degree profe ssional traders were
bearish because Of the feeling that, al
though the indications were wholly
against a strike by the country's railroad
workers, the legislation PROPOSED to
avert II walkout was distinctly against
the best interest OF the railroads and
their stockholders and In the long run
would be against the best interests OF
the public. In banking quarters. how
ever. sentiment was not 50 pessimistic.
as the representative financial men COM
i'rted themselves with the idea that the
Administrations measure IL enacted into
NV would be carried to the Supreme
' ourt on the ground that Il was un-
constitutional or else the expected VIC
tory or the Republican party In Novem-
her would be followed by new legislation
along lines that would conserve the in
terests both Of capital and labor.
In some OF the tocks In which de-
c',hes were heavy the selling was at
tracted by special considerations but a..
a rule the movement was based wholly
upon operations by traders who believed
themselves safe In charging their short
counts They did not consult basic fac
tors in money n business for inspira-
ton. II was not a market. however. In
which declines induced public au!da
ton. except in the case OF accounts
AN which margins had become
weakened and accounts. the holders Of
which were unwilling longer to carry
because OF the fear OF overnight or over
holiday developments Of an adverse
character.
TO many minds the current situation
Is difficult to interpret. in so far as It's
bearing upon the future IL concerned
Hasty and ill-considered legislation GER
tainly ~ not calculated TO inspire conf
dence. Fortunately. however, for the man
who is looking for higher prices for
securities within tho next six months
there are so many strong factors under
lying intrinsic values that passing an
roying problems, although they may not
De solved on the basis o. sound econo-
mics. apparently are not figured upon
by the large Wall Street interests as
standing In the way of a resumption of
oullish activity In .the Stock Exchange.
Onerinss OF stocks yesterday were
taken BY the big houses. And In those
II was said buyers included bar
gain hunters who based their transact
tors upon long time ideas OF the market |
rather than upon possible opportunities
Tor quick profits. In such stocks az
states Steel. Reading, In;erna-
Mercantile Marine. Cnion Pacific
ana some of the coppers absorption of
mat sort was especially pronounced.
Trader were bear!sh on Studebaker. |
Ihey were particularly bea-. sh on the
whole Us, OF active issues In the late
n slight furry in call money helped
sentiment. An advance in rates
10 8 per cent. however, was due to
operations incident TO payments on the
new British loan and not 10 any note
worthy change in the position of the
money market. Mark exchange again |
30 a new low record under 20.
me year ago marks sold at SO !, and At
he same time sterling rates were ut the
oWe"t ever reported. The latter are now
About 70 cents above the low. |