The sun. [volume] (New York [N.Y.]) 1916-1920, 1919-02-05
FINANCIAL NEWS
AND COMMENT
General Tone Of Stock Market
Improves, but Trading
Still Is Restricted.
LIST sAGs AT THE CLOSING
Interest Centres Chiefly on
Rails Which Hold Good
Part of Gain.

While in some respects yesterdays
stock market could not be regarded as
bearing any important relation to the
dominant factors OF immediate financial
interest 1t had features which tended OF
reflect the gradual Improvement in sem
timent which Is trying to assert itself
against the factors of restraint Trad
Ing was still very much restricted. but
the general undertone was improved and
the day was further slgnallized by n
gratifying. although short lived. turn
OF strength in the rails. This was par
ticularly encouraging to the brokerage
community. which has believed all along
that the time was ripe for more seriou ,
consideration OF the railroad Issues. That
the upward movement OF prices was stu
a speculative experiment goes without
saying. but the trend of things was worth
noting under the circumstances, although
Wall Street as a whole could not be in
duced to feel that the time had arrived
for a complete disregard Of the reasons
for caution.
Undoubtedly short covering. both IN
the rails anf~industrials. continued 10
provide the principal basis for the I'M
provement But there also seemed TO be
more confident buying. particularly OF
the rails. in response to the encouraging
statements made by the Director-General
before the Senate Interstate Commerce
| Committee. For one thing, II was graf
flying to the financial community TO
know that the railroads would not be
turned back without notice In case the
present plan for an extension Of Gov
eminent control to Ave years failed
This has been one OF the stumbling
| blocks in the railroad situation. and ~
| long as there was any doubt as to this
those who are unusually active in this
department could not be induced to have
| much to do with the principal invest
| ment issues. Now that this point has been
| defined, at least one OF the questions
which has been worrying Wall Street is
| out OF the way. The rest OF the prob
| lem remains. as It has been all along. a
subject OF considerable uncertainty
from the speculative viewpoint. but the
| feeling with respect to the situation Is
improving. and a majority of the finan-
cial community Is inclined to believe
that eventually the whole problem will
be worked out to the benefit OF all con-
cerned.
Not all of the interest in the trading
was confined to the railroad shares by
any means, although those issues were
the most striking feature of the day.
The industrials were strong throughout
the morning. making some Improvement
In few Of few miscellaneous issues.
The motors lost none Of their favor. but
toward the closing interest died out In
all departments and the list was In
clined to sag to a somewhat heavy close.
Altogether the market did not appear to
be much more important from specu-
lative standpoint than the preceding
days quiet affair. Indeed It appears on
the surface OF things at least that the
general list has sunk definitely into a
rut until such factors are Forthcoming
as will provide a proper stimulant TO
THIS was particularly we'll illustrated by
the action Of Steel common itself. which
at one time during the day sold up q.
high as 81. but at the closing came back
to precisely the same figure at which II
finished on the previous day. The rails
were more fortunate in that they held a
good part OF their gains, but interest
subsidized. and the market at the finish
presented a decidedly dull appearance.
There was no change in the money
| situation. with respect to this situa-
ton there is considerable optimism in
speculative circles as to the trend of
money between now and the next loan.
1t is declared. for instance. that the
prospects are good for both call and time
money continuing all along the present
level until the big transactions that will
he involved in the next loan begin to
loom up Importantly. The foreign ex-
change market was likewise unchanged.
Neutral rates presented a slightly hrmer
appearance, but outside OF a trifling Inn
provement in one or two of these rates
the market was about unchanged at the
preceding days closing. Cotton was
heavy and generally quiet.