The sun., 1918-10-30
STOCK
RISES UNDER FIRE
New York Exchange to InveS.
tigate Transactions in
Mexican Shares.
JUMPS FROM 129 TO 1874
Committee Calls for Detailed
Reports on Purchases
and Sales.

Mexican Petroleum stock, whose an.
tics during the past three weeks havs
caused the governors of the New York
Stock Exchange much anxiety. is to bs
investigated. Under the instructions OF
the business conduct committee score
OF more of the most important and in
fluential houses in the Street received
yesterday n letter from George w Ely
secretary of the exchange. ordering them
to provide by November 4 detailed in.
formation regarding each transaction in
this stock since August l.
Mexican Petroleum rose from iO0I
on August ] to a top price of 1914 last
week, and the daily gyrations have at. .
tracted as much public attention as the
moves in General Motors, which resulted
IN that stocks expulsion from the clear.
ing house privileges. Commenting upon
the antics of the stock a governor Of the
exchange yesterday said that the eX.
change is not going to stand for any.
thing that is contrary to regulations or
that is likely to bring down upon tho
exchange merited or unmerited public
criticism.
investigation Under Way.
merely the investigation stage, and Mr.
traders in Mex Pete" follows:
81 am instructed by the committee on
business conduct to ask you to report 10
| It full list (omitting odd lots) OF pur.
| chases and sales of Mexican Petroleum
| made or cleared by your firm between
| August / and October. %. Please give
| the date Of the transactions, the prices
at which they were made. the name Of
| the firm with whom they were made and
| the name of the customer for whom the
| orders were executed or the name OF the
| individual or firm for whom they were
| cleared.
please send this information in a
| sealed envelope to the committee on
| business conduct. secretary's office. not
later than November 4. 1918"
Prior to August l there was little in
| the market movement of Mexican Petro-
leum common to excite attention. II
| was selling close to par. Throughout
| August and September there were rela.
| lively slight fluctuations III the stock.
| which got to the level of 120 by Octo-
| Der /. This month, however, movement
in the stock started with a rush. The
fluctuations still kept to a range of
| or 5 points until October 10, when
a point fiuctuation and a rise to
1o9S attracted comment. From that
tho stocks antics have given anxiety 10
the governors Of the exchange.
Notwithstanding the receipt of the LETT
ter from the business conduct commit
tee the stock fluctuated Is points yester.
day on sales of $1,000 shares, but the top
price was more than 20 points below The
high of this year, 1874. achieved on Oc-
| tober 10.
Dealings Above Shares Issued.
In twenty-four business days this
month no less than 1.351,100 shares Of
| Mexican Petroleum have changed hands
despite the fact that only 404,llS shares
have been issued, OF which more than
$4,000 shares are in the strong box OF
the Pan American Petroleum and Trans
port Company. In other words, the pub
lie owns only about 1900 shares, the
sales in this month alone being SIX
times the maximum number OF shares
available for trading.
There were reports current in Wall
Street yesterday that the Royal Dutch
| Company. through an important banking
house has been conducting contest for
majority ownership of the common stock
OF the Mexican Petroleum Company but
these reports lacked confirmation WHAT
ever the cause the stock has been a
Wall Street football to a point when
the Stock Exchange authorities think
should be investigated and perhaps
should merit severe discipline. The
movement in the last three weeks may De
illustrated by the following table.