Evening public ledger. [volume] (Philadelphia [Pa.]) 1914-1942, 1919-08-29
SHORT INTEREST IS
PUNISHED SEVERELY
BuIIish Influences Crowded Fast
to Help to Push Up
Prices

New York. Aug 2g.--The New York
Evening Suns closing financial review
today says:
The vigorous order which the Prcsi-
dent authorized Director General Hines
to send to the striking railroad men
in the Far West to return to work forth
with else the army would take CON
troll. conformcd closely to the firm stand
which Mr.. Wilson took in his recent
artter to III" shOpmen and again elected
the unqualified approval of Wall street.
Then there came to hand quite un-
expcctcdly the California federal
courts decision in the governments suit
against the Southern Pacific Railway
for possesson of the latter's oil lands
in that state.
The decision was in favor of the road
and it became known shortly before the
stock market opened: The first sale
of Southern Pacific comprised 10000
shares at 103 and 100, the stock selling
rX dividend -. Thus the gain was
from IA to 0h points. The demand
for the stock continued brisk through
most of the forenoon. despite the an
nouncemCnt that the government would
take an appeal from the lower courts
findings. the price holding pretty well
between 102 and 103.
As if this were not enough for the
shorts to contend WITH the oils took
a violent mrch forward on adviccS from
Mexico that the petroleum committee
of the Mexican Senate had recommended
that Article ~ of the Mexican con-
stitution. dealing with foreign ncQui-
Sition Of oil lands in that republic.
should have the retroactive feature elm
mated that is TO say, those properties
held prior to May !, 1917, should not
be affected by the constitutional pro-
vision in question,
This was the signal for eager buying
of Mexican Petroleum shares, which
advanced at one time some 10 points.
The other oils, particularly Texas Com
pany. Pan American and Royal Dutch,
were drawn into line, the first reaching
up to 262. II points higher than Thurs
/ day.
The short interests were not slow IN
grasning the situation and their efforts
to cover. at intervals almost frantic,
were the greater from the fact that a
three day recess was staring them in the
face
To add to their troubles the supply
of stocks was not large. although Of
fnriugS we're rather frccr than would
otherwise have been the case, perhaps,
| because of the extended closure Of the
exchange until Tuesday next.
Covering operations affected the entire
| list. United States Steel. also selling
ex dividend, sold at price equivalent
to better than 1O4. Crucible Steel made
gain of some = points. The rub
Der group was extremely strong. like
wise the feathers and shippings. About
the only weak feature was american
! Agricultural Chemical, which broke 3
points or more because Of probable cut
in the dividend fOreshadOwed by the
earnings statement indicating the divi-
dend had not been earned
Rails were firm TO strong, but not
especially active. Texas and Pacific
in its character as an oil stock was of
course the outstanding feature of
strength in that quarter.
After comforting with his fellow labor
leaders Mr. GOmpers made an appoint
ment with the President at 3 O'Clock,
and while this came after the market
closed it was regarded with the most
favorable anticipation in view of the
dispatch which he had caused to be sent
TO local union heads. advising against
strike measures until it can be demon
strated what the government would be
able to accomplish in cutting prices.
The circumstance permitted of no re :
spite for the shorts and top prices were
well sustained TO the close Of the ses :
sion. A feature of the bond list was an
advance Of more than ) points in South
lern Pacific convertible 5s.