The sun., 1916-09-03
FINANCIAL NEWS
AND COMMENT
Prominent Stocks Average
More Than q Point in Gains
in Light Trading.
MARINE MAKES A RECORD
Clearings in New York Reach
q Higher Total Than
Ever Before.

Transactions in yesterdays brief sss.
sion in the Stock Exchange we're light In
volume and in great part we're made up
Of the operations Of the professional ele.
ment. Many traders evidently we're un-
willing TO 20 home short Of the market
over the holiday. ~ the chief buying in
the day represented covering Of bear &C.
counts The big outstanding short in
tercst. however. vas not materially re-
duced nor was there any evidence to
show there wal general expectation In
professional circles that the enactment
Of the Administrations III considered
railroad labor measure would Be effective
in increasing the buying power from the
public to an extent that would encourage
an active retreat By the shorts.
Notwithstanding the optimism Of the
bears there were not . few market fol.
lowers who believed there might be some
hasty covering In Tuesdays market, the
idea being based upon the assumption
that with the labor problem settled, 90
far as = widespread strike was con-
cerned. the substantial interests would
concentrate their efforts upon Develop
Ing . resumption OF the recent advancing
movement. The big men Of the Street
are dissatisfied. not to say disgusted,
will the tribute paid by the Democratic
Congress to the demands Of the railroad
brotherhoods. and they believe the uiti-
mate effect OF u legislation, II upheld
by the Supreme Court. will be distinctly
unfavorable to railroad investment So
curities. On the other hand they ind In
prevailing conditions In the industrial
world n In the position Of the money
market adequate reason for bullishness
on stocks at least In the immediate fu-
ture.
Advances among the prominent issues
yesterday ran better than a point. and in
the case Of Mercantile Marine preferred
n ~Stidebaker even greater improve
ment was reported. the movement in
the last named rejecting a natural re-
covery from Fridays extreme depres.
sion. while Marine moved up both on
covering operations and on further activ-
ity on the part Of the pool which for
weeks has been a prominent factor in
tne price appreciation recorded by the
Issue. Its best fgure for the day was
the highest ever reported. Traders COW
cred In Steel common and In the coppers
also in the rails. although outside of
Reading transactions In the railroad
shares amounted to most limited totals.
According to the greater number Of
letters sent out BY commission houses
stock market prices should do better In
the current week. barring u%nfavorabls
developments over to-day and tomorrow,
the average advice to brokers' customers
being summarized In the statement made
~ one house that the faction OF the mar.
ket last week confirms the belief that all
Food securities are a purchase at pre-.
vailing quotations" The market has ex-
hibited Its ability to stand up under the
strain Of annoying and depressing fac
tors. and 1t therefore 10 not at all sur.
prising that leading interests in the
financial district are bullish. in spite Of
the possibility Of the railroads being
compeiled to adopt as permanent the
new Federal ruling that wages must be
adjusted to the basis Of the eight hour
day with the ten hour pay.
The law goes into effect on January l..
Before that time, however. the Supreme
Court may find that this discriminating
and class legislation can have no stand
Ing In law.
Wide changes In the weekly Clearing
House statement. which resulted in a
contraction OF more than $2S.0 900. 900 in
the combined excess reserve Of the MEM
Der Institutions, were chiefly due to the
financing incident to the payment on the
$25O.OOO,OO British loan. a reflection Of
which was found also In the total clear
ings for one day at this centre. which
were he heaviest ever reported In the
history OF the New York Clearing House
Association.
Excess reserve now stands at sos. s29,-
40. and actual cash holdings at $685.
$4,000. which although far under the
record are large enough for the financing
OF heavy new operations In legitimate
business n stock market speculation.
The idea that there will be a period Of
high money rates this fall Is not enter
tanned In we'll informed quarters. Rates
doubtless will be frmer than those now
current, but that there will be any dis
turbance In credit facilities hardly Ia con-