The sun. [volume] (New York [N.Y.]) 1916-1920, 1919-08-20
FINANCIAL NEWS
AND COMMENT
Prices Show Material RecOv-
cries, With Better Feel
ing in Market.
J0LTS GIVEN TO SHORTS
Closing Is Highest Of Day
in Standard Stocks and
Specialties.
JOLTs GIVEN TO SHORTS

II was a relatively active market on
the Stock Exchange yesterday and the
undertone improved considerably, al
though nothing such as might have been
expected to indicate a resumption of the
buying movement which broke off several
week ago. The whole list was stronger
from start to finish, and. despite the
fact that the Improvement was not pro-
nounced except in a few individual spe-
clalties, II appeared as though Wall
Street had gone through about the worst
OF the lfquidating movement, at least
so far as the present is concerned.
AS is always the case. a number of
groups showed contrary to the general
trend, but purely individual considera-
tons weue at work to account for their
weakness On the whole. however. the
market seemed to have reached the point
In the process of readjustment to which
everybody had been looking forward as
an indication that stocks could be re-
purchased again with some assurance
that the whole market structure would
not topple over, at the slightest provo
cation.
Sentiment was still cautions. but gen.
orally speaking the Street was in a much
better mood in a speculative sense than
It had been for the last week. The set
tlement of the local traction strike. to-
gether with the realization that after all
the steel labor situation may not be 80
bad as II has been pictured. tended to
inspire confidence in some direction. Al
any rate. 1t was felt that Whatever de-
cision is made to-day with respect to the
much discussed steel strike has been
more than discounted marketwise.
Perhaps the most important considera-
ton during the day, to account for the
improvement in sentiment. was the be-
lief that the bears have had things al
together too much their own way lately.
II was realized. for instance, that while
| Wall Street has been trying to get its
| speculate bearings business has been
going on as usual and that stocks have
finally drifted back into strong hands,
at least the standard stocks.
The result was that yesterday when
ever the short interest tried to cover
commitments which had been put out
Monday and last week they were forced
to bid up prices in nearly all cases.
! Some further liquidation was expert
enced at the outset in the tobacco Is
sues. but once this selling had been COM
pleted the whole tone improved. with
closing prices around the high of the
day in the standards and specialties.
| Just as was the case on the preceding
day, whatever Improvement was recorded
was due entirely to short covering. The
! come 30 large that 1t was comparatively
easy to run stocks up anywhere from one
! to three points. Buying of an excellent
! character continued In the standard is
sues on a scale down, but not much OPP
! portunfty appeared to pick up stocks in
, this manner yesterday except, OF course,
| in the weak spots.
| Steel common came back easily in
| spite of the strike talk; the equipments
II Of hot tl.nrr haA los IN
the preceding day. and the tobacco
| stocks were weak features all day.
United Retail Stores and Tobacco Prod
ucts were driven down sharply on SELL
/ ing that appeared to be nothing more
| than a concentration of orders by pro-
| fessionaIs and floor traders. AS mat
| ter OF fact, whatever selling there ap-
peared to be in any part of the market
seemed to be the work Of professionals
rather than the dlslodg1ng OF any real
stock.
Another sharp break occurred in the
! foreign exchange marke sterling making
another new low record. with predictions
that It might go as low as 81. Demand
4 sterling sold under $4.20. which meant
a loss of more than cents In the pound
| from Mondays low. similar decline
was recorded in francs and lire. but fol
some unexplained reason the Stock Eek
| change took no notice of the fiuctua'
tons. probably for tho reason that it Il
now apparent that bankers are disposed
to let foreign exchanges find their nat
ural levels without resorting TO the
measures discussed in various financial
circles ever since the signing Of the
| armistioe.
Tho money market reflected agar
the curtailment of speculation and the
cessation OF the wild bidding up o.
stocks which characterized tho securi
ties market some time ago. Call money
loaned between 81 and ~ per cent
all day. and the supply was more thar
sufficient 10 meet the demand. at leas
so far as the securities market wa,
concerned. In connection with tho money
situation, estimates were l,ade yester
day that the loan account has now beer
reduced TO about $1,000, 0e0. 600 az q re
suit OF the recent selling movement.