The sun., 1916-09-06
FINANCIAL NEWS
AND COMMENT
Greater Part Of Days Heavy
Business In Stocks Provid-
ed by Few Issues.
RAILS HOLD UP WE'LL
Sensational Operations Re-
corded in International
Mercantile Marine.
RAILS HOLD UP WE'LL

The grsatsr part Of the days heavy
business In stocks was provided by a
few issues. with sensational operations
In the International Mercantile Marine
issues making UP about one-third OF the
total And In the chief part OF tho day
the movement In the Marines. which car
risd the preferred to a net gain of more
tina III points and the common TO more
than 9 points, dominated the market. the
heaviest dealings In other prominent
shares being reported In tho last hour,
when rapid expansion In trading devel-
oped In United States Steel. Mexican Pc
troleum, American Can. the coppers. and
In the industrlas In general. to the az
compartment Of rising prices.
1t was q market In which there was
discrimination against the rails. except In
Reading n Union Pacific. TO the advan-
tags OF the shipping shares. the metal
issues n industrials. II was a market
In which there was heavy covering by
the shorts In the leading active features.
and q market In which tho professional
traders with bear commitments were
made to realize the dangerous position
IN which q short account may become In
VOWED at a time when powerful financial
and speculative interests are identified
with the bull side Of tho market, and
more particularly at a time when the
Dig financial interests have various plans
In mind the success Of which depends
upon rising market values.
Substantial market interests were not
basinS their bull!sh enthusiasm upon the
calling OF Of h railroad strike order.
The fact the enactment OF the eight hour
law precluded the possibility OF a strike
merely removed a factor that had served
to check bullish operations. while 1t gave
to market leaders an opportunity to push
the forward movement at the expense Of
tho shorts. particularly those in the Mcr-
camille Marine shares. Mexican PETROL
cum and the metal stocks. Basic fac
tors in the countryis industries had a
hearing. n according to Street opinion
they will have further hearings In the
immediate future.
There was no enthusiasm over the pre-
vention OF q countrywide railroad strike
through the AFFECT surrender OF Con-
gress to the railway brotherhoods. 1t
was. however. realized that the expense
OF tho wage increase. although against
the tNvestor. could not be utilized at this
time a factor ~favoring lower prices.
The rails held we'll and that Vas all. but
in speculative quarters II was believed
that even this group of stocks would
join In the advance, and that FOR a time.
at least. tho controversy between rail-
road capital and railroad labor would he
s'defrark~d as y MARKET Influence There
wa no idea In the Street that the last
word had been said on the problem
which. cannot be twisted into "A long
time bull argument until there Is some
definite indication that the boon granted
to labor by Congress will result in some
ofsetting compensation to capital. In
the end the ultimate consumer probably
will pay the cost.
In conservative circles where the days
news was watched with unusual care the
action Of the Interstate Commerce Com
mission in declaring rates and practices
In the shipment of iron ore from lower
Lake Erie ports to the blasting mills and
steel furnaces In western Pennsylvania
as "unreasonable and Illogical was not
considered promising for "A general ad-
Justment by the commission of rates 10
a higher basis. And the action was con-
sidered particularly omlnous in view of
the recent order Of the commission In
s~uspend!ns previously allowed increases
In transcontinental rates. Such factors
later OH may have a cumulative influence
upon stock market prices. but at the mo-
ment they 20 unnoticed. except In quar-
tiers where the railroad situation In re-
spect Of Its future Is receiving unusual
attention.
Most Of the call money loans IN the
day were made on the basis OF 3 per
cent. but Indications did no. point 10
any material advance in quotations. One
OF the largest single shipments OF gold
ever received IN this country was 70.
ported. the metal. although coming di.
rect from Canada. evidently rejecting
| receipts from South Africa and fore
shadowing further arrivals here inciden,
L the successful efforts OF the British
Government TO stabilize thu sterling ex.
change market. Mark exchange moved
to q new low record.