The sun., 1916-10-18
FINANCIAL NEWS
AND COMMENT
Stock Market Offerings Well
Taken in Face Of Ad-
vancing Prices.
PUBLIC on BOTH SIDES
Professionals Look for SecOn-
dairy Decline Of Last
Weeks Movement.
PUBLIC ON BOTH SIDES

Sentiment In many Wall street com
the floor Of the exchange favors the
idea that barring the development Of n
radical change In the general situation
stock market prices will move In the
direction OF higher levels before the No
vcmber election. The suggestion Is In
tercsting In view Of the course OF mar
ket values In the last two days. but Il
may be well worth recording that pro-
kers are urging upon their customers the
wisdom OF providing large margins in
current speculative operations. doubtless
because OF the possibility of acute cleo
ton scares or of further shocks from the
sea, which annot be d~isregarded In un-
p~reJudiced market discussions. ON the
advance yesterday stocks were reported
moving Into we'll protected margin ac-
counts.
Total sales In the Ave hours OF trad
ing ran we'll In excess Of 10000
shares. with a fair sized proportion of
the business representing public par
tic!pation. The public bought. and 1t
sold as well. realizing by commission
houses for the account of customers who
entered the market on last weeks de-
clincs being active in all the prominent
issues. while there was also much sell
ing by Wall Street interests. who took
advantage Of rising prices to CONVEX;
paper profits into cash.
Yet the general course OF quotations
In the best part OF the day was free
from important reactions. the exceptions
in great part being found in tho stocks
which had been pushed to sensational
advances in Mondays trading. notably
International Mercantile Marine pre-.
ferred and international Paper.
Cross movements were reflected In q
certain amount OF ir~regularity in price.
ut times. but there was nothing in IN,
character OF the dealings which war
ran;ed the theory that the strong hold
ers were getting out and weak Interests
were getting In. professional operator!
In many instances based their transac
lions on the idea hat there could he M
sustained advance so soon after the seri
slumps OF last week. but their poin'
of view failed TO bring forth encouraging
results In any part Of the list Thos,
operators are looking for what they cal
the secondary decline OF the downward
movement of a week ago.
Offerings were well taken and tn,
substantial banking interests arpeareC
TO be friendly to advancing prices. al
though they asserted tina, the actua
Investment demand for securities wa.
so active 1t would no; require any IS
pecial bulliSh performance in stocks I,
attract capital to rev securities issue.
that now are In the making.
ENORMOUS money supplies IN this coun
iry and sound basic conditions may b,
expected to add heavily to the total o
HlSh grade investment securities In IA.
market In the course Of the next 81,
. INT IAa,.
10 take advantage Of money conditions
To put. out new capital issues.
And foreign Governments have by !,
means reached the end of their borrow
.ng capacity here. Foreigners will plac
new loans in this country and specd IN
proceeds with the American mauufac
turer and the American farmer, whil
;he foreigners viii send more gold 10 on
shores to help pay for their purchases Il
the American markets ami 10 maintain
stability In foreign exchange rates.
Gold amounting to s.. 06u. 600 was re
ceived yesterday from the Bank Of Eng
lands reserve in Ottawa and additional
shipments from that point are locke
Tor in the near future. There Is NOR
money In the country than over befor
reported, ard American banks are END
ing In London's open money market a
rates well above any that may be oh
tained here.
Based upo the money situation alon
il would appear that the bull!sh stoc
market interests were justified In tn
optimistic predictions which they mad
after the close of yesterdays stock mar
ket regarding the prospect for bette
prices. although the rate for call loar
was decidedly flrmer. IL Is a reas1nabl
argument that earnings warrant highe
prices for many issues, and II Is Inter
esting to note that many low price
stocks in which stockholders eoultle
are growing rapidly stronger are bccom
Ing market favorites.