The sun., 1919-05-21
FINANCIAL NEWS
AND COMMENT
Presidents Message Has No
Effect On the Action Of
the General List.
MARKET TRENDS UPWARD
Dealing Is Uneven and Shifts
From One Department to
Another.
MARKET TRENDS UPWARD

There was enough good news yester-
day to have sent stocks soaring again IL
everything had been in readiness for
such a movement There has probably
been no day in the last year when 80
much important evidence has come to
hand Of the friendliness Of the Govern
ment toward business as there was yes
terday in the message which the Presi-
dent cabled to Congress. In all respects
the message came up to everything Wall
Street had been hoping for. That part
OF the message in which the financial
community was mainly interested, of
course. was his reference to the rail-
roads For several days past It had been
anticipated that what he would say on
this subject would be encouraging, that
he would in all probability take a more
pronounced stand in favor Of the return
of the carriers to their private owners
Not all OF these expectations were real
lied. for while Congress was urged to
return the roads by January / next, no
reference was made as to how they
should be returned, but this, however
was rather aside from the main consid-
erations.
That the stock market did not make
better response to the message was both
disappointing and to be expected. The
main peints OF the message. while they
| were not known. had been so largely
discounted previously that all that re-
manned to do yesterday was merely TO
show that the message itself was satls-
factory. There we're a number Of in
dividual stocks. such a. the mating
shares. which were helped to q somewhat
greater extent than the rest Of the list.
In that the Presidents recommendations
in this connection were more definite
But as to the railroads there was I'M
doubtedly some disappointment in the
financial district 1t is all very well to
say to Congress that the railroads should
be returned to private ownership by
January I next, but the big question in
which the speculative fraternity Is most
Interested at the present time Is how are
they going to be returned and under
what conditions are they to be turned
back. All OF this. OF course, brings the
situation back exactly where 1t stood be-
fore. namely, that It Is up to the present
session of Congress to see that the rail-
roads are returned to private ownership
| In such a way as to mako It possible
for many of the smaller and weaker
| roads to operate with a fair return TO
| security holders.
However. all this may be. the market
did somewhat better yesterday from
The main force OF the reactionary move.
ment appeared to have been spent for
| the time being and the general trend OF
the market was again upward. But the
dealings were still curiously uneven with
a great shifting of contracts from one
department to another and with the oils
and so called oil-rails still favored. Tn.
| steel shares were plainly under the in
| fuence Of heavy profit-taking and other
| selling pressure. as were some OF the
| railroad issues until the last hour oil
| business, when general upturn set In
| all around. The marine shares which
were the main features Of Mondays ses-
sion, lost much Of their favor with the
speculative fraternity. In the first place
the terms OF the new deals announced by
President Franklin were far from what
Wall Street had been expecting. It
had been expected in certain quarters
OF course, that the ships were to be
sold. but It had not been anticipated
! that the company would take anything
like the present figure for the tonnage
nor that the deal would include the as
sets OF the British companies, including
the $40. 900. 900 or more in the treasures
of these companies
The money market continued firm, az
was to be expected in view of the pay
ment on the Victory Loan. Not as much
money was paid to the Government as
anticipated for the reason that the
alotments have not yet been made
but the movement Of funds was OF SUM-
Client Importance to mako the money
market uncertain again throughout the
day as we'll as to restrict operations on
the Stock Exchange. Now that the pay
ment Is over and the Government win
shortly redistribute the funds again II
| Is expected that the money market will
return to a normal basis. that Is to
say that there viii be no further reason
to restrict stock exchange operations
on this account alone. The foreign ex-
change market continued its decline
throughout the best part of the day,
| Francs and lire made no low movements
during the forenoon and there was fur
Their weakness in sterling. In the after
noon. however. there was somewhat of
a recovery all around.