The sun. [volume] (New York [N.Y.]) 1916-1920, 1919-03-12
FINANCIAL NEWS
AND COMMENT
Overcoming Profit Taking and
Selling Pressure, Stocks Go
to New Levels.
PUBLIC is STILL BUYING
Prices Average Highest of the
Year After Advance in
Last Hour.
PUBLIC is STILL BUYING

Profit taking and other selling press
ure was overcome In the stock market
yesterday. and a session of distinct ad-
vance resulted In another important
change In the new price level. Trading
was again characterized by breadth with
activity sustained on about a million
snare scale. although dealings were
somewhat less active than in the proceed
Ing days session. There was a good
deal of realizing throughout the early
part of the day, and also a considerable
amount OF selling pressure on the part
of the traders in anticipation OF a more
substantial readjustnent OF prices But
this was not sufficient to discourage the
| broadening OF outside buying. which has
come into the market as a result of the
increased speculative activity, and in
| the last hour all signs of weakness were
overcome in tho general list, and stocks
| again spurted forward with a degree Of
case. At tho closing the average prices
level was the highest of the year.
The way these considerations were
overcome again furnished important tes-
timony of the stability Of the movement.
Moreover 1t showed that the short SELL
ing INDUCED in the steel shares on the
previous day had made no impression
whatever on the bullish temper OF the
market 1t goes without saying. OF
course. that the technical situation is
somewhat weaker on account of the sus-
tanned activity of the last three weeks.
But at the same time all offerings ap-
pear to be readily absorbed, and at the
closing yesterday there seemed to be no
Indications OF any let up Of the advanc-
ing movement SO far as the immediate
future is concerned. Tho news counted
for very little during the trading. The
copper shares made another distinct adj
vance In face OF the cutting Of the Ken
necott dividend, which under ordinary
conditions might reasonably have been
supposed TO have furnished an occasion
for unsettlement. The fact that this did
not take place spoke we'll for the strong
position OF the market, and also went
long way toward disspating the boar
statements in brokerage circles on the
preceding day that the selling on Mon
day was a great deal better than the
buying. At any rate the buying OF steel
in the last hour yesterday appeared to
come from substantial interest, coming
as it did in large blocks.
A further and more encouraging fea-
ture of the trading was the turn or
strength In the rails. This was predi-
Gated largely on the expectation that
some favorable overnight announcement
would be with respect TO financial aid
for the roads. Under the lead OF Read
ing ALL of the rails showed life. But the
leadership OF the market was still vested
In Steel common, which rose TO new
high level for the year, a figure eauiva-
lent to more than par with the dividend
which came OF last week. included. The
buying Of steel again stimulated interest
in the minor industrials and specialties
shares Mexican Petroleum continued
its advancing and further short covering
appeared in General Electric, which
earlier in the year was the target for a
large amount OF short selling on the
theory that the peace read1ustment
would be more severe than actually has
been the case. In connection with the
rise on the steel shares there is a belief
that the expected cut in prices OF steel
products will not be as drastic as most
people have been led to believe. and that
moreover new business Is coming in at
faster rate than at any other time since
the signing of the arrnistice. This was
not indicated in the steel tonnage state
ment made public on Monday, but 1t
must be remembered that this statement
did not take into account the changed
attitude Of general business in the last
two or three weeks.
There was no change in the money
situation. Rates continued easy not
withstanding the expansion in specula-
tive activity and the accompanying in
crease in the demand for money for
Stock Exchange purposes. The foreign
exchange market was quiet and rates
were about unchanged from the preceding
days closing, though some easiness APP
peared again in francs and in Spanish
pesetas. The bond market was quiet
with prices. however, holding Arm in
sympathy with tho movement in stock
prices Liberty bonds were irregular
hut prices were not very far removed
from the closing on Monday. Cotton
was fairly firm and active. with prices
closing off from the high Of the day.