Evening public ledger. [volume] (Philadelphia [Pa.]) 1914-1942, 1919-08-06
WALL ST. BUYING IS
OF GOOD CHARACTER
Position Quickly Stabilized and
Prices Move Forward Sev-
eral Points

New York. Aug. 6.-The New York
Evening Suns financial review this
afternoon is as follows
There was buying of the best char
acter in today's stock market, once the
session got under way. Prices at the
opening were uncertain to some extent,
and then good forward movement
started which carried values > to )
points above the Tuesday closing level.
Three clearly defined elements entered
into the broad rise. Those who have
greater consideration for intrinsic value
than for any passing disturbances of
the hour, which frequently enough OBJ
scures the true medium for guidance,
see much improved opportunity for
bargains of the best sort and they were
not afraid to buy today. 1t may be stated
that a large number in this class take
the stocks out of the street for the
time being at any rate.
The supply of stocks is not large in
consequence and the demand cannot
readily be supplied. whether such de-
maDd originates with the short or long
prospective purchasers.
When the shorts take to covering.
therefore. they must bid pretty high to
meet their borrowing needs. The be-
havior of the market yesterday be-
hooved many shorts to take to covering
today. Trading was in lighter volume
than at any previous time since last
Friday and everything was conducted in
the most orderly manner. Sentiment was
distinctly more cheerful.
The railroad case seemed less black
than it did before when it came abruptly
almost out of a clear sky and when
the street was recessins at the end ct
the week. two full days instead of one
and half days.
No one suppoScs that. assuming the
demands of the brothcrhoods are to be
met in substance. the radical features
of the legislation proposed will be car
ried through. In other words, there
must be compensation for the investor
and it is not conceivable that the gov
ernment could be cOerced into taking
over the roads without at least making
as good return to the investor in rail-
road securities as war loan bonds would
give.
This is variety of consolation which
would require super Mark Taplcy to
extract cheer from. but it is decided
improvement over the tendency to pan
icky despair which made Monday
blue Monday indeed. The general eco
nomic situation of the country has a
soundness. in fact. which serves in good
stead in these dark moments of threat
ened strikes, food cost problems and
so on.
That the Washington officials ap-
pear to be alive to the necessity for do
ing something to alleviate the distress
due to the high cost of living, and that
President Wilson will address Congress
on Friday on the subject, was not with
out its effect in bringing about better
feeling.
The specialtes, in a sense, came into
their own again and some sensational
gains were registered, as in United
States Rubber. which added over IA
points to the Tuesday price. The up
ward swing was progressive, with the
steel group in the lead. Baldwin Loco
motive, United States Food Products,
United Retail Stores, Tobacco Products,
American Linseed and New York Dock
were extremely strong spots. The cop
pers, oils. equipments and shippings
were well bought and consistently. The
rails did WELL too, although less ag-
gressive than the industrials. War
bonds were firm.
The easing of call money rates was
likewise a factor in epco,,rav vipo hnv;n,
of stocks. Renewing at 6 and 6h per
cent. the rate dropped at mid day to
4 per cent for both mixed and indus
trial collateral. Weakness in sterling
francs and lire featured the foreign
exchange market. Francs were down Is
centimes to new low point at 7.64 and
lire yielded Is points to 7.SS lire to
the dollar. Sterling was quoted at
43.11H. 3as cents down. Pesetos suf-
fered sharp setback also.
Cotton shared the improvement in
other markets and was irregularly high