The Richmond Virginian. (Richmond, Va.) 1910-1920, 1919-08-29
.|'URRII \ MARKET
over LABOR UNREST
tnx RRoApAN VAIL

New York. Aug. 2s--The big news
OF tho day did not come until long
after the stock market had closed. A
Rood part of the trading elemen. had
gone home before word was received
tnat the executive council OF shop
mems unions had advised the men 10
accept President wilson's proposals
ana not to strike pending the outcome
OF the campaign to reduce the cost Of
living
This still left open the question Of
what Mr.. Vompers and the railroad
errotherhoo6s heads would have to say
on the subject. These leaders have
neen IN conference in Warrington all
DAY WITHOUT being able to agree The
'aie news. however. was welcomed by
all who heard 1t as the most aimpor-
tant development that has occurred In
the Labor situation since tho Plumb
plan was laMnched q month ago.
WAll street paid mos. OF =. atten-
tion during the day to the conflicting
incidents in the Threatened steel
strike. The entire market was buoy :.
ant up to the middle Of the afternoon
with the steels. equipments. motors
and oil shares leading.
Then word came that Chairman Fitz-
patrick. of the committee representing
the steel unions, had announced that
Gary accedes to the mems demands
This had the effect Of abruptly check
Ing the buying movement and causing
oasty unloading by traders who had
bought In the morning and were look
ing tc get out Of their stockA The
rnarke: closed with the selling steel in
progress
1t did not 90 far enough to offset
all the early gains. but II did ma
~ Ia hAS hA hal q n.
ing was so professional that It was
exceedingly hard to buy while prices
were rising in the forenoon and quite
as hard to sell while they were de-
clining In the final hour
The late decline was assisted by the
reversal in the sterling exchange
market. Sight drafts on London after
getting as high as 1924 dropped $42lh
at the finish. This was the result Of
the unexpected withdrawal by the
Bank Of England OF it's interest allow
ance on American balances. 1t was
neither proof In support OF the con-
tention that foreign bankers want ex-
change down in order to shut on
American imports OF all but the neces-
saries of life. The exchange situation.
important as 1t will however. not count
against the developments In the labor
situation. The market has shown
y
about which 1t Is chiefly worrying. II
the action Of the executive council OF
the shopmen Is endorsed by the Amer
lean Federation OF Labor heads the
outlook will be brighter than 1t has
l,een at any time In the past month.
It matters very little then whether
the steel unions. which do not repre-
sent more than a quarter Of the men
employed. go out II the 100000 EN-
ployes of the railroad align them
selves on the side Of President. " iison
and postpones their demands until the
efforts to reduce the high cost Of liv-
ing have been tried out
The high priced industrials were
once again the features OF the market.
Crucible Steel.s violent jump did not
surprise anybody who has accepted the
authoritative statements about the po-
sition Of the short interest sin the
stock.
American Agricultural CHI m c
dropped as low as 81 on the puoiica-
ton Of the annual report which showed
that dividends at the rate OF per
cent had not quite been earned,
= shorts in the tire stocks especially
in Kelly Springfield. found hard time
covering. Money was unchanged. with
the ruling rate per cent. most OF the
day. and some loans made at 5H to-
ward the close. Corn and oats dropped
or sharply and as an indication OF the
success of the campaign for lower
food prices, provision markets broke
very badly.