The sun. [volume] (New York [N.Y.]) 1916-1920, 1919-07-04
FINANCIAL NEWS ~
AND COMMENT
In Broad and Active Market
and Led by Steel, General
List Advances.
BUYING MOVEMENT HEAVY
Days Sales Exceed 100000
Shares-Industrials and
Rails Gain.
BUYING MOVEMENT HEAVY

In an active and broad market, which
was a complete surprise to the profess
sional trading element, stocks under
the leadership of the steeis responded
to public participation by moving upward
in all sections of the list. A day of
profit taking and evening of commit
ments with Wholesale advice by broker
age houses to buy on the anticipated
reactions was the promise. The result
of unrestrained confidence and optimism
on the part of the public was the rise in
United States Steel common Of 3k
points to 11313, new high for the year,
with other advances all around the floor
OF the New York Sock Exchange In pro-
portion. The Government had with
drawn money from the banks to the tune
of $75,0O0.000 or so, but it had paid out
the funds to railroads and other COM
panles so rapidly as to cause a plentiful
supply of liquid capital. With money in
free supply the buying power. which
had been held in check, manifested itself,
and after the first few minutes there was
no doubt of the character OF the orders
and the outcome of the day. The list
closed at or near the best prices of the
day.
essary to state that the investing and
speculative public is fully aware of the
strong fundamentals behind current val
ues, and appears to believe that all OF
the unfavorable developments have been
discounted and that any change, whether
in steels, rails or other departments.
must be for the better. 1t takes into
consideration the outlook for huge for
eign and domestic business. with the
Gvt, ,nVNtt
prospects of still higher prices for such
basic commodities as steel, copper.
leather, with automobiles already start
ing an upward price trend. Government
predictions OF high record crops and the
rapid approach to maturity of nation
wide plans to finance our foreign busi-
ness with the sale here OF new securities
On the other hand, 1t attaches little
Importance to the fact that governmental
agencies are considering ways and means
to bring about defiations. with the process
already under way in the form OF gold
exports. 1t seizes upon the first oppor-
tunity to be afforded by lower money
rates to buy stocks many OF which are
taken away'from the Street in entirety.
The days sales were In excess OF
100000 shares. Wire houses reported
the receipt of buying orders from all
parts of the country and the bears had
to turn and run TO cover IN tne tate
afternoon, when the best prices OF the
day were recorded. The steels were the
leaders, but the rise in the rails and
other industrials were equally impress
sive. Taking the more active stocks the
net gains were as follows: Steel COM
mon 3% points. Bethlehem Il ~,
Crucible Steel ga, Midvale Steel III,
American International a and Allis
Chalmers 2. Stocks advanced just as
easily as they did several weeks ago,
when the price level was considerably
lower In fact yesterdays market was a
duplicate of those before the advance
in money rates caused temporary halt
in the upward trend.
Call money opened at per cent for
mixed collateral and 61a per cent. on
all Industrial and renewed at the same
figures. In the forenoon the money sup
ply was meagre, but the demand was
relatively light AS the session wore
on, the banks appeared anxious to set
their money to work until Monday,
when trading will be resumed. and the
rate got as low as 8 per cent. There
was little business In time money.
Easier money conditions are expected
next week. At the start demand
sterling opened low and appeared to
have a downward trend, but the mar
ket steadied and there was small ad-
varica in rates for foreign exchange. The
cotton market was active and strong,
prices rising the equivalent Of IS a bale,
Corn prices made a new high and were
the feature OF the grain market.