The sun. [volume] (New York [N.Y.]) 1916-1920, 1918-12-21
FINANCIAL NEWS
( AND COMMENT
Early Declines in Stock Mar
ket Overcome in Later
Trading.
OLD TIME RAILS WEAK
Selling Scattered and Mostly
ProfessiOnal-Liberty
Bonds Decline.
)LD TIME RAILS WEAK

Another heavy selling movement IN
Liberty bonds yesterday conceded with
a further break in the stock market dur,
ing the morning hours which apparently
marked the Anal stage OF the fall in
prices for the present at least. AZ any
rate the character of the market Niere-
after underwent a change and for the
first time since the setback 1ggan a
substantial recovery set in. which ma
terially reduced the ground los2 on the
days movement as n whole at, the clos
ingi The upward movemznt was un-
doubtedly due to short covering brought
about as result OF the rather over
crowded position on the Yelling side OF
the market but there EeSned also to be
good h4ying on the So ale down, and
toward the closing che. general attitude
of the financial cor E1unity toward the
market seemed to We more confident
than 1t has been ak any other time this
week. However. nrere was no manifest
disposition to Increase long commit
ments and. gene fally speaking. the Street
seemed disposal to await further de-
velopmenta-.
The news OF the day was distinctly
unfavorable again in a stock market
sense. The combination of railroad and
financial Community has been engaged
for the last week continued to at
tract at Ahntion OF the trading element at
the unset But whereas on Thursday
there eeemed to be a disposition to be-
lieve that the roads were to be turned
back at an early date. this appeared 10
ha &c been entirely dissipated by develop
ents yesterday. Nevertheless the usual
situation IN connection with the railroads
was a continuing influence on the rails
as was the disturbing features OF the
liquidation Of Government bonds. How.
ever. In the afternoon the entrance OF
several new considerations In the trading
tended to overshadow the railroad prob
lem and the stock market community
was disposed to take advantage OF the
improvement in feeling The most I'm
portant cause for the change In tho
character OF the trading was provided by
the money situation, which yesterday ap'
peared more satisfactory than for sew
eral months Curiously enough. this i'm
provement was accompanied by further
statements that there would be no re
Taxation in money but this is becoming
so we'll understood that II has ceased tt
have any influence on the trading.
The most important weakness OF th'
market again centered in the old tint
investment rails, which yielded rather
easily under pressure. The selling herr
naturally brought out further selling II
the industrial list and toward the enc
Of the second hour the whole list pre-
scented an aspect OF acute weakness Blu
the selling, that is. 10 far as could b.
| ascertained, was mainly scattered ant
professional and when It was found tina
the selling was bringing no real stool
| into the market, the general list hard
! ened and there was general upturl
during the last hour. during which all o
the specalties did fairly well. Mexican
| Petroleum. the tobaccos and food stock
recovered their early losses and some
thing more, and so did a good portion
of the industrial group. especially tn
steels. But the rails were heavy through
| out. and although there we're fractiona
| recoveries along with the remainder o
the market In the last hour. these issue
were disposed for the most part to b
| heavy.
The money market presented the mos
| satisfactory aspect II has for severa
months Notwithstanding there wer
still some details in connection with tn
last loan iustalment to be completed
call money loaned down as low as 81
per cent. Even more encouraging wa
the supply OF time money at from 81
per cent. to so. This represents tn
first time In almost a year that the rat
for time loans has dropped below tn
Q per cent. level at which II had bee
practically stabilized. Foreign exchang
was quiet and rates OF practically all o
the neutrals were easier. Others wer
unchanged. Liberty bonds continue
weak. There was further selling OF a
issues but more particularly the fourt
AIS, which made another new 10y
record. Announcement was made stha
the Pennsylvania Railroad financing ha
been oyersubscribed