The Richmond Virginian. (Richmond, Va.) 1910-1920, 1918-08-17
ANOTHER INACTIVE
DAY IN WALL STREET

New York. Aug. l6.--Another day OF
! inactivity left standard issues in Wal
Street only slightly changed and few
specialties higher, Hide and Leather
and General Cigars made new tor
prices for this movement Mexican Pc
troleum was strong. The first liberty
loan sold at new high for the year
at 100.12. There was more talk OF
large sums to be Withdrawn from the
! banks by the government, but the real
influences were the lull on the battle
front, the uncertain weather in the corn
belt and a desire to have the exact
terms of the new revenue bin before
making market commitments.
The New York Stock Exchange en-
livened the street by striking General
Motors from the clearing house list
| This does not prevent trading in the
stock. but does compel brokers to clear
In the old fashioned way from house
to house. 1t is accepted as a hint tina.
the corner in the stock Is displeasing
to the exchange. This raises a funda-
mental question as TO the rights Of
dominant stockholders to protect a
company from assaults of professional
traders.
Readers of this column Will remem
Der several months ago when announce
ment was made that insiders of Genera
Motors had formed a pool and given
public notice to Wall Street that unfair
attacks on the stock could no longer
be made with impunity. traders were
warned not to sell the stock unless
sure they could make delivery. TIE
insiders took this action because Of at
tacks not only in the market but in
newspapers where the idea was being
created that the company was in finan-
eial distress. The corner has resulted
and some Of the favorite pets of Wall
Street have been seriously hurt
list of the shorts in General Mo-
tors would be an interesting public
document in these days when real
Americans hesitate to attack any cor
poration. Wall Street is astonished
that any group OF insiders should be
found with nerve enough to rehuke the
time honored right Of professionals to
assault every newcomer on the Stock
Exchange
Proposed withdrawal Of large sums
OF money from the New York banks nv
the government is causing unnecessary
alarm. The government has no idea of
burning the money up or sending it to
Germany. 1t will be spent for war
purposes and will remain in some banks
somewhere even though not all in
New York. The big fact in regard 20
money Is that currency is increasing
at the rate of from s40,00o.0 900 to SEQ
00G coo a week There is plenty Of
money even for stock trading II boz
rowers are willing to pay what it is
worth. But with the strongest cor
porations in the country paying any
thing from to 10 per cent for money
and with standard securities yielding
investment returns Of to Is per cent,
Wall Street traders are wanting money
4 from TO 6 per cent They will not
get. A general movement to charge
I per cent for speculative money would
bring out an abundant supply
strength of Mexican Petroleum was
due TO q belief that the United States
government would compel Carranza to
modify his recent stand in connection
with oil land taxes Those taxes are
considered by all business men TO be
confscatory.
The additional conference granted 70
automobile men at Washington in re-
gard 70 the restriction of the output
Of passenger cars gave the automobile
stocks a firm uudertCne