The sun., 1918-12-13
FINANCIAL NEWS
AND COMMENT
Standard Industrial Stocks
Quiet, With Railroads
Weak.
STRONG SPOTS IN LIST
Traders Absorbed in Railroad
Situation-Call Loans
Easy.

The stock market was still A two sided
AFFAIR yesterday, although dealings were
much queter than since the first part Of
the week. The fact that the declines
were not excited was in the markets
favor. az were the evidences OF stability
afforded in spite of the unsettlement pro-
vided by the confused and somewhat
disquieting turn OF affairs in the railroad
situation. The general list OF securities.
now known as the standard industrials.
remained quiet and traders did not seem
any moro disposed to press ohe market
downward than on the preceding day,
but the rails were definitely weak.
Throughout the day they presented an
aspect of heaviness and toward the clos
ing, which was the weakest period OF the
session, the tendency seemed TO be ac-
centuated by professional selling. al
though for the day as a whole they gave
Il satisfactory account OF themselves
with respect TO the stubbornness with
which they resisted the pressure.
Tho Spirit in which business was con-
Quoted, however. was distinctly unfavor-
able, despite the fact that Secretary Nc
Adoos proposal TO extend the period OF
Government control did not como as a
complete surprise It had been known
in banking circles for some time that at
n recent meeting the Director-General
native of supporting his plan for an ex-
tension of the control period or an inn
mediate release OF the roads from under
the Government wing with all that II
would mean under present circumstan-
ces. II was assumed OF course that
either the Government would withdraw
It's proposition or the railroads would be
forced to accept the Eve year control
plen and that II 1t were found impos-
sible to agree on either of these PROPOSE
tlons some other solution would be
found. But the outlook nevertheless
was disconcsrting to the securities mar
iet, and Wall Street felt that between
the Railroad Administration and the
prospect OF Confessional wrangling over
the future railway policies, very little
incentive IL being afforded security hold
ers with respect to retaining their IN
tercst in the country's transportation
systems The fact that the general in
dustrial situation presented more or
less confusing aspect tended to Intensity
the unsettlement, although in reality II
was the basis Of very little selling SO far
as the industrials were concerned.
There were a few strong spots In spite
of the general feeling OF uncertainty that
prevailed In Wall Street circles among some
OF the specialties OF the type of American
Iinseed. Corn Products and one or two
OF the low priced rails. The industrials.
although exhibiting fair degree of sta
bility. were heavy and rather Indifferent
to the news OF the cuttiVS OF steel prices
ard the prospect OF similar action with
respect TO copper prices. What was
lacking however, in the way Of def
rite trend here was made IN in the
weakness ot the rails. The prospect OF a
return OF tho roads at an early date with
all Il would mean in the way of UMPIRE
paredness or the extension OF the period
Of control to FIVE years with the probahil-
ity OF an eventual contest between the
Railroad Administration and the owners
over Government control gave the whole
situation an entirely different aspect
from what II has had lately. But withal
the market held fairly well. and its
action testified to the strong position Of
the rails in the investment situation.
Fresh selling appeared In some of the
traction issues, but otherwise the market
was quiet.
With the trading element absorbed IN
the railroad situation and the possibili-
ties of their early return to private con-
troll there was very little Interest in the
money situation. Call loans continued
easy and there was continued discussion.
but evidence is becoming more complete
that those who are in control OF the stu
alton In Washington are not DESTROYS
of any change for the present at least
The foreign exchange market was quiet
except for the further strength in Span
ish pesetas. The Bank Of Enslaud's
statement showed that the banks reserve
TO liabilities now stands at 1890 per cent.
against l5.l7 last week, and an advance
Of from 1915 to 1875 in the same week a
wear ago. Announcement was made OF
another offering of certificates Of indebt-
edness by the Treasury Department.