The sun. [volume] (New York [N.Y.]) 1916-1920, 1918-08-29
FINANCIAL NEWS
AND COMMENT
Standard and Active Shares
Make Further Progression
Wall Street Market.
STEEL STOCKS ADVANCE
Money for Speculation Tight,
but Lots of 1t for Good
Investments.
STEEL STOCKS ADVANCE

The standard and active issues made
further progress in yesterdays so-called
victory market. notwithstanding mod
crate recessions in the late trading from
the days best prices, continued tightness
OF money, delay In consummation OF the
railway rental contract and a pro-
nounced decline In one or two highly
speculative stocks. The war news was
even better than the more optimistic In
terests had anticipated, and the pur-
chases for investment as a result Of the
cheerful sentiment made up a large pro-
portion of the total sales of approxi-
inately 100000 shares. Proof of the re-
cent assertions here that there are large
sums seeking choice investment oppor-
tunities was provided by subscriptions OF
approximately S50.0o0.000 to an issue
of $15.000.000 amply secured Lehigh
Valley Railroad ten year per cent.
bonds. which were offered overnight and
oversubscribed before IL :15 A. NJ. yes
terday. At the same time investment
bankers who are expected to OFFER con-
siderable amounts Of new financing next
week, anticipate large sums for re-
investment following the distribution of
September interest and dividend dis
bursements. the payment Of $192.7S6,-
900 United Kingdom notes and $25. 000.-
900 other notes. They would not be
surprised II the amount available for
reinvestment exceeded $3.50, 100000
This week. however. the banks are en-
gagged in preparation for these disburse-
ments and In meeting the withdrawal of
more than s150.000.000 United States
deposits, about half OF which has already
been accomplished In consequence there
Is a Tightening Of money conditions
rather than the relaxation which some
interests had predicted. In view Of the
announcement OF a new issue Of $780,
900, 600 United States certificates Of in
debtedness bearing date OF September 8,
ease in money Is eliminated from consid-
GRAFTON. and the best that can be anticl-
pated pending the first payment on the
fourth Liberty Loan Is a slight relaxn-
ton from the present stringency. In con-
sequence. any reduction in call money
rates from the present maximum OF 6
per cent. on mixed collateral and 6h
per cent. on all Industrial will probably
De fleeing in character until New York
receives reimbursement for the funds
used in crop movement and until banks
receive reimbursement for their subscr1p-
tons to certificates Of Indebtedness. That
there will continue to be tight rein
On speculation Is generally admitted. but
the growing investment demand which is
being fostered is highly gratifying 10
the banking interests directly concerned.
While the net decline Of IL points IN
General Motors was spectacular. It was
accomplished with sales of only 1000
shares and with little effect upon the
remainder OF the list United States
Steel common. which becomes ex /divi-
dend $4.25 a share tomorrow, made
new high record for the year at 1861
and showed net gain for the day of u
Other steels and shipping stocks also
advanced. Marine preferred making a
new high on the present movement at
tO4S. Copper shares. which have been
dormant. came in for their share Of
investment buying yesterday, Utah Cop
per gaining 1 Y points. Most OF the rails
showed fractional net losses owing to
disappointment as to the rental contract
On prospects of an increased floating
supply American Sumatra lost points
Despite moderate recessions from the
days high the market closed steady with
= strong undertone.
There was no change in time none,
conditions nor in call money rates.
Francs continued their upward squirt
toward parity by selling as high as
5.49la to the dollar for cables and $50
for demand. This Is an advance Of 10
centimes in a week and 20 centimes In
two weeks. The parity is 5.1SL. and
the discount on francs Is now the small
est since the balance of trade started to
be unfavorable to France after the out.
break of the war. Outside of a frac-
tional advance in rates on Scandnavians
there was no other feature in foreign
exchange. A matter of academic inter-
est was the announcement that Wilson
& Co.'S financing plans had been aban-
doned for the present The feature Of
the steel trade reviews was an increa IL
Of Is per cent. to $4,000 900 tons In the
Governments requirements for the Sec
ond half Of 1918. and the request of our
allies for heavy pig iron shipments IN
1918. At the same time production prob
lens are proving troublesome.