The sun., 1916-09-16
FINANCIAL NEWS
AND COMMENT
Market AbsOrbs Vast Amount
Of Stock without ImpOr-
tant Reactions.
ANOTHER "MILLION" DAY
Strength Shown in Final
Trading Under Lead Of Few
Railroad Issues.
ANOTHER "M1LL1ON" DAY

sorbed Q vast o Of stock without
the accompaniment Of important reac-
lions In prices. At times the weight Of the
profit taking liquidation and professional
selling was reflected In fair recessions
from the closing Of the preceding day. but
the chief effect OF the movement was
seen In irregular tendencies In various
parts Of the list and In a disposition on
the part Of commission house traders to
exercise greater caution In their opera
tions and to transfer to q certain extent
their Interest to issues hat had not been
among the leaders In Thursdays furious
operations. In spite. however. Of the
heavy selling In the day there was a
general undertonc OF strength. with
sharp upward movements In some stocks
and decided general strength in the Anal
trading under the lead Of a few rail-
o stocks. notably Union Pacific. which
made n new high record for the year.
New York Central, Reading and the
steels.
Trading was several hundred thousand
shares under tho record Of the day be-
fore. but II reached. nevertheless. a total
of more than 1000, 900 shares. with no
indication in the character OF the deal
ings OF any diminution In public enthusi-
assn over the idea prices eventually will
reach materially higher levels. In bank
ing quarters the idea that the tim IL
fast approaching for n real setback in
prices was discussed. but there appeared
to be no particular desire among bankers
that efforts should be made at this par
ticular time to apply the brakes to the
public speculation. which In many re-
spects is different from anything ever be-
fore witnessed In the stock Exchange
and which promises TO run on to greater
proportions before the development of
conditions that might warrant sustained
operations for lower quotations. The
! MONEY market situation Is encouraging
! speculation In stocks at a time when
earnings Of corporations are heavy and
when general factors governing trade
| point toward still greater expansion In
the country's industries.
Expectations Of further appreciation
in market values are based upon sound
considerations. but such consideration
sort OF setbacks in which only large
margins can ward of losses. In connec.
ton with this thought II 10 interesting
TO note that Wall Street commission
houses are now demanding unusually
substantial margins and that customers
In most instances show a disposition &c
respond to almost any amount thel,
brokers may suggest. The prosperous
public Ia still In the market and It IL
financing speculative operations with III
wi money to a greater extent thar eveI
before reported in the history Of Wal
street. Herein lies one of the strong
features OF the current market. Accord
ing to the known movement Of money n
the week, h local banks have gained
heavily in cash resources. chiefly from
gold imports. n In consequence the
Street Is not looking for q change II
bank conditions to-day that might sug
gest 10 bankers the wisdom OF checking
the bul!ish activity in the Stock Tx'
change through drastic means. A mile
halt to speculation was called yesterda.
and the market was all the better for Il.
Reports received last night from ths
commercial agencies make interesting
reading. both for spectators M in
vestors. In almost all important In,
dustrial and mercantile lines the trend
is reported toward a further increase II
activity. especially IN Steel. in which
demand is exceeding the supply. anC
among the general manufacturing plant,
in most parts OF the country. An ex,
panding purchasing power Throughout
the land IL noted. Sentiment IL conf
dent in all circles. and even the out
break Of labor roubles in various quar-
tiers is not expected to prove a scrlou
deterrent TO growing prosperity.
One OF the best barometers Of bust
ness conditions Is found in payment
through clearing houses. which for tn,
week just closed increased more thai
40 per cent. over the corresponding tim,
last year and more han so per cent
over 1913. Comparison IA not mad
with 1910 because OF the abnormal con
ditions incident to the frst shock Of thu
European war.