The sun. [volume] (New York [N.Y.]) 1916-1920, 1919-06-21
FINANCIAL NEWS
AND COMMENT
Report That Germany Will
Sign Treaty Has Beneficial
Market Effect.
GENERAL LIST STRONGER
Stocks Expected to Benefit by
tho Signing Are Features
Of Session.
GENERAL LIST STRONGER

The broad Inference behind yester-
days stock market was the growing
confidence OF the financial community
as well as the rest of the country that
Germany will sign the peace treaty.
This was. Of course, increased by the
overnight dispatches from abroad tell
ing of the shift of sentiment in that
country in favor OF signing the treaty
and also by the apparently well founded,
although unofficial. reports to the eff
feet that the present Government had
resigned in order to make room for
ono that was willing to take the re-
sponsibility for signing the peace treaty.
There was still no indication of any
resumption of the buying movement on
n broad scale. But tho genera, mar
ket was much stronger from start to
finish and there was quite q sharp squirt
forward in the hnai period in the spe-
clalties and food stocks. which are sup
posed to be the issues which will bene-
At first by the signing of the peace
treaty. This squirt was also RESPONSE
bic for some rather sharp advances in
other departments. but It was the food
shares which attracted most attention.
The fact that tho market did not
ges started until the last hour stili in
dictated certain amount of conserva-
tism in commission house circles But
this conservatism was not due SO much
to the uncertainty over the signing of
the peace treaty as II was to other con-
s'derations. for the reason that the mar
ket itself has indicated very plainly all
along what the answer to the question.
will Germany sign, the peace treatyr'
will be in the end. However that may
be, the market yesterday was strong
and more active, although the volume
OF transactions was still below the aggre-
gate turnover of the sessions Of the
first part Of the week and of the pro-
ceedings Immediately preceding those for
| some time back. What this seemed to
indicate was a gradual return Of the
market to trading conditions for the
| time being. conditions which have beer
expected by professional operators ever
since the break started a week ago last
| Tuesday. Some little attention was paid
to the money situation, but generally
speaking this consideration seemed &C
have lost most of its influence In the
stock market some days ago. The
money market was not by any means
! what Wall Street calls normal, bu,
| there were indications that the return Of
cali rates to normal levels will not be
delayed much longer. inasmuch as II ID
anticipated that to-day's bank state
ment will make q very favorable show.
ing.
| The outstanding feature Of the day
In SO far as individual price movements
were concerned were the food stocks ant
| other issues which are expected to rear
the first benefit from the signing of tn,
peace treaty. United States Food Prod
ucts. Corn Products. Virginia. Carolins
Chemical, Royal Dutch, and In fact al
others which have been classified al
peace shares, were enthusia sticall,
bought from the outset The rest Of tn,
Ina RI ~ hill
\ little until the final hours, when tn,
buying movement spread throughout tn,
list: that Is to say. to the industrial
shares. Then Steel common was takei
In hand. American International received
another sharp advance. and the equip
ment stocks. with Baldwin In the lead
became active and strong. The rails
with one or two exceptions such a
Southern Pacific and Texas and Pacific
which was heavily bought for II,
oil possibilities, were rather neglecte,
again. and 30 were the coppers. although
they displayed strong underton
throughout the day, and there were Ger
tain individual issues which shared II
the activity to a larger extent than di,
some OF the higher priced coppers.
There was no change In the none,
situation. Call money loaned all da,
around the 6 per cent. level and Their
seemed to be plenty Of money available
At any rate. there was sufficient to sup
ply the demands. What interested Wal
Street most In this connection. however
is to-day's bank statement 1t will b
recalled that last Saturdays statemen
showed a deficit in reserve OF approx
mstely $500. 900. the first deficit reportet
In that statement since the early part o
the war. Inasmuch as there has been
considerable contraction in buying powe
this week and the banks have receive
large amounts from the Government a
a result of the maturity Of certificates o
Indebtedness. It Is anticipated that to
days statement will make a very favor
able showing Bank clearings for tn
week aggregated sS.657.5sS.o 900. a gall
OF 10 per cent over the last weels an,
32.6 per cent over the correspondent
J period a year ago. The foreign exchang
market was quieter but steadier. Ster
ling WAS trife easier. but francs an
lire. which have displayed an easy ton
for the best part OF the week. Shove