The sun. [volume] (New York [N.Y.]) 1916-1920, 1919-10-29
FINANCIAL NEWS
AND COMMENT
Trading Continues Confusing,
With Much Profit Taking
and Shifting.
MARKET is STILL STRONG
Steel Stocks Are Leaders All
Through Session-MotOrs
Make Wide Gains. \

Trading in yesterdays stock market
was very confusing, again, with good
deal of profit taking and shifting
around Of commitments from one part
of the list to another. but In the main
tho underlying feature of strength which
characterized the market on the pre-
ceding day was still present. The only
trouble was that the intervals of weak
ness were more frequent In yesterdays
session than on the day before, on ac-
count of the indisposition OF traders to
remain in any one group of issues for
any length of time. This shifting about
tended to give the market n very ir-
regular appearance on the surface, but
the market always came back very
strongly, even in the last hour in face of
very high money rates again. The test
in the last hour was severe in some
stocks and, in the manner in which
prices recovered, evoked a good deal of
favorable comment at the finish, par
ticularly about the steel stocks, which
were leaders of the market all day.
Except for the specialties these Issues
held their strength better than any
other group of stocks.
The strength of the steels was no
doubt due In large part to the expeo-
tation of very favorable earning state
ment from the Steel Corporation at
the closing. These expectations we're In
every way realized. The steel state
ment not only came up to expectations,
but In some respect exceeded what Wall
Street had been looking forward to. At
any rate, It was encouraging after what
the financial district has had to contend
with lately in the way of steel strikes
and other bearish news which has been
calculated to put prices down. IT I'M
doubtedly counteracted to some extent
at least high money rates in the last
hour. But for a time nevertheless the
money situation had a very important
effect on the market and II looked at
one stage of the trading as II the SELL
ing might go a considerable distance
toward undoing what the financial dis
trict has accomplished since the setback
last Saturday. However. the decline
| was checked and most stocks finished
the day strong at or near the highest
prices, a circumstance which suggested
| that most Of the troubles In connection
with the money market were over. At
least the decline in the rate for call
I from 16 to 6 per cent. at the finish sug-
gested this.
The spectacular feature OF the session
was furnished by the motor group in
General Motors, which rose to nearly
2 fUU. flleT 'NS squirt lne
however. turned heavy under the leader
ship of Studebakers, follow ng rumors
concerning the new financing for Stude-
baker. Trading then turned Into the
Steels and equ pments, which enjoyed a
. further substantial rise under the leader
ship of Republic and Lackawanna, the
former going to a new high record for
all time, but rea citing later. The rest OF the
market followed the steels to some ex-
tent. but, as on the preceding day, there
was n cautious disposition. The major
ity Of traders seemed to believe that. al
though the market is in much better
technical position than II was during
4 the early part of last week. the daily set
backs OF money and other considerations
| ind cate that prices can be upset just
| as easily as they can be advanced. This
| view Is confined entirely to the trading
element and to a few commission houses
but nevertheless sentiment In all quar-
tiers yesterday was more cautious than
| Il has been for soma time back.
| The high for call money yesterday
was IS per cent, due to the same con
| siderations which were pointed out on
the preceding day; namely, Withdrawals
| on the part of the Government from
banks In this district, and also withdraw
ais on the part OF out OF town banks
Out OF town banks sent considerable
funds here several days ago to meet tbs
high money rates, but when money de
clned to around per cent. this money
was withdrawn, with the result thai
local banks yesterday were taxed to th'
utmost It Is understood. however, tina
yesterday marked the peak of the none,
furry, and { Is expected that from nov
on money will again become easier un
less. of course, there should be yer,
sudden outburst of bulish activity oil
the Stock Exchange accompanied by ;
Wild rise In prices. There was very It'll
interest In tho foreign exchange market
Sterling, francs and lire were all slight!
easier, but thS only important deniin
occurred in the case of marks, yhjcl
went to a new low record for all time.