The sun. [volume] (New York [N.Y.]) 1916-1920, 1919-10-13

broad upward movement, with buying
power In all classes OF stocks greater
than since the end of the bull market
last August There is nothing at the
present time In sight that should cause
q break, although q reaction would be
in order and well received. The reason
for this continued rise IL that stocks are
In strong hands and accounts heavily
margined. As has been said before,
profits are so great that wealthy men
cannot afford 70 sell. as most Of their
profits would go in taxes to tho Govern
ment. Unless any bad news develops,
we should have q broad market with an
upward tendency this coming week"
Hambleton g. Co. say: THAT the steel
strike has had a dampening effect UPON
the market Is a fact that will brook no
denial. Wall Street has this week been
without news which could be counted
pronounced factor In the situation, day
to day developments being more or less
neutralizing-the indisposition Of the
President, the converting of the Indus
trial Conference and broader appre-
citation of what eventually the slackening
in the steel supply will mean. The high
rate for money apparently In not con-
trolling influence at the moment, the
manner in which specialties have been
crowded forward under a volume OF
trading which compares with the daily
average for weeks affording abundant
evidence of the fact that the public Is
well able to finance its speculative re-
quirements. tobacco, food stocks, oils and
motors featuring the daily turnover. 1t
may not inaptly be said that market &C
tivity at the moment partakes of the ar
tificial stimulation which characterizes
many other lines Of activity. Basic op-
timism there Is aplenty and abundant
assurance that for months to come the
foreign trade of the country will serve
to absorb all of our spare products, and
probably effect a curtailment of sup
plies for domestic consumption; but
financially speaking. at the moment the
backbone OF the country is under n Sc
we're strain. So clouded and uncertain
Is the immediate outlook for the rail-
roads that until that issue has been sat
isfactorily settled-and satisfactory"
means to the agreed well-being of both
public and companies-necessarily the
market Is going to pivot on the bright
spots which reflect the present abnormal
conditions of postwar trade and activ-
ity."
Market Dangerous Technically.
Carstairs & Co. say: 1.-The market
has been rushed up to a point where it
again Is in a highly dangerous technical
condition and It would appear reasonable
that all concerned should for the time
being exercise a deal Of caution. During
the past week the money market clearly
has shown that the available supply of
loanable funds Is rapidly exhausting
and conservative banking interests are
liable any minute to put a sharp check
to a too extended speculation"
II n. Il
tinues active with new high levels in
specialtles a daily occurrence. and even
high call money fails to stem the upward
movement though a substantial reaction
would only be logical in view of the
extended and persistent advance of late.
Pools find the time opportune for dis
tributing though it is doubtful If the
process has gone far enough to be dam
gerous. 1t is significant that interest
centres chiefly around the higher priced
industrials fortified with big earnings and
large undisturbed assets. presumably in
anticipation of the melon cutting that
is bound to come after the turn of the
year. Wall Street regards the steel
strike as lost to. the unions which ex-
plains the strength in this class of
stocks. The tendency to riot at Gary
and other places Is the best evidence
that the game has gone against the
strikers. Gompers's renewed efforts to
secure mediation Of the. trouble also
points in the same direction, there being
little doubt that he realizes the urgency
Of a speedy settlement to save the face
of his discredited associates. The In
dustry in spite Of the temporary draw
backs Is steadily gaining ground and
the next statement of untitled orders OF
the United States Steel Corporation may
furnish a happy surprise"