The sun., 1919-10-02
FINANCIAL NEWS
AND COMMENT
Trading Is Still on Active
Scale, but Continues Mixed
and Confusing.
MARKET HOLDS STRENGTH
Majority of Standards Shows
Closing Losses-General
List Irregular.
MARKET HOLDS STRENGTH

trading in yesterdays stock market,
while still being maintained on very
active scale. was mixed and confusing,
with the general run of standard issues
showing net losses at the closing. In
the main, however, the underlying
strength. which has characterized the
dealings all through the last month or
more. was still present. and there were
manifestations of bullish feeling in the
specialties and railroad shares but the
general run of listed securities were
very irregular throughout the day. and
had to contend with a great deal of pro-
fessional selling and profit taking. This
selling was not very significant in SO far
as the immediate prospect of quotec
values was concerned, but It gave the
market an appearance of unsettlement,
which not even the strength of the
specialties could overcome. Under the
circumstances. the best thing that could
be said about the dealings was that the
market maintained its strength, in spite
of professional selling.
There was no special change in the
steel situation. Much has been expected
OF Judge Gary's testimony in Washing
ton, but there was very little in this
which could be used as a basis for re-
purchasing securities. What the chair
man of the Steel Corporation said was
merely a repetition of what the financial
community has known for the last
month. and therefore had already been
discounted in the market. The fact that
there was no change in the steel stua-
ton, however. was not surprising to the
Wall Street district which has long since
settled down to the. idea that, although
the steel officials have the advantage at
the present time. the battle is likely to be
long drawn out affair. This was en-
phasized yesterday as one of the reasons
for selling securities, but actually what
took place was nothing more than profit
taking on the part of traders who saw
the possibilitN of reaction in prices
and decided to take chances OF getting
their present stocks back at lower
prices The fact that money was firm
again in the last hour may have had
something to do with the decision of
traders to throw out their long stocks,
but It was not the dominant considera-
ton by any means,
The feature of the Individual move
ments in yesterdays trading was the
railroad stocks. The taking up of these
stocks in the forenoon in face of profit
taking in the standard issues gave
promise Of real bulge in the rails but
II did not materialize, as might have
been expected. There Is no real reason
for any movement in the railroad group
at the present time, and the fact that
they become active at intervals indicates
nothing more than a professional trick
to divert interest so that profits can be
taken in the Industrial shares. The real
strength of the market lay in the rubber
and tobacco stocks. American Sumatra.
which was the leader of the tobaccos,
touched a new high record for the cur
rent movement, and 50 did American To-
bacco and Retail Stores The leader OF
the rubber group was United States
Rubber. which was well bought all day.
On the other hand profit taking con-
tinued throughout the day in the steel
and other industrials Steel common
was particularly heavy. and Crucible.
after having reached a new high record,
sold of at one time as much as Is
points from the high.
The money market was unsettled
again. Call money touched 10 per cent.
In the last hour and tended to restrain
SPECULATION in some departments but ac-
tually had very little influence on the
t4ading. The reason for this was the
same as on Tuesday, namely, that the
present condition of affairs is only tenn
porary. In other words, Wall Street
realizes that the present movement is
normal and is not an attempt on the
part of the banking community to apply
the brakes, as was the case earlier in the
summer, when speculation got out of
hand The foreign exchange market
was quiet and generally unsettled. Ster-
ling got up about a cent above the pre-
ceding days closing. but other rates
were generally fractionally lower. Aus
trian exchange got down to about the
previous low, and nearly all other rates
closed the session fractionally under the
preceding days final. In connection with
the foreign exchange situation 1t was
learned that official announcement will
be made very shortly of the Belgian
loan. which is now under negotiation by
a group of local bankers.