The sun. [volume] (New York [N.Y.]) 1916-1920, 1919-10-31
FTNANCIALNEWS
AND COMMENT
Market Continues Irregular,
With Much Selling Pres
sure on Standards.
TRADING is PROFESSIONAL
Rubber Stocks and Few Steels
Have Squirt in Rally at
the Close.
TRADING is PROFESSIONAL

Yesterdays session of the stock mar
ket followed very much the same course
as the Immediately preceding sessions
this week. 1t went Off at the outset on
the tnfavorabie developments overnight
in connection with the coal strike. to-
gcther with the even more unfavorable
impression which was created by the
continued high rates for money in the
last half of Wednesdays session, and
then rallied at the closing In most de-
scrlptions. But. as has been the case all
week. the net result of the days trad
ing was q loss of ground in nearly all
leading speculative favorites. that is to
say, with the exception of a few high
priced specialties. This was not any
nero pronounced than It has been on
preceding days this week, but the net
result of the last four days trading
taken together Is beginning to convince
speculative Wall Street that what is TAX
ing place in the share list in the way of
readjustment is something more than the
ordinary shalSeout which Wall Stree
has become accustomed to all through
the bull market this year.
The truth of the matter is that Wall
Street is great deal more worried over
the technical situation and the money
difficulties than 1t is over the strike ques-
tioE. In the first place, the financial dis
trict realized pretty generally that the
coal strike Is beaten before 1t Is even
started. Just as was the case with the
steel strike earlier In the year. Still 1t
Is possible there may be q temporary
shortage of coal which win affect some
industries such as the automobile in
dustry. which II now working at top
speed. But this is only one of the many
factors whichi are worrying the Wall
mt ~ ruf IN
consideration with the speculative fra
ternity now is the tremendous expansion
which has gone on in speculation on the
Stock Exchange for the last few weeks
without any substantial reaction and the
equally important expansion in brokers'
loans which is Just beginning to be re-
Elected in the Cock market There was
some talk yesterday of the Federal Re-
serve Board issuing another warning
against speculation just as It did early
in the summer when the market got out
Of hand. but this did not materialize yes
terday for the reason that such good
progress was made toward q reduction
Of Stock Exchange credit.
The decline, as was the case or
Wednesday, took in the entire list, while
the rally at the closing took in only q
few higher priced speciality issues such
| as United States Rubber and Republic
Steel This was considered very sig,
niflcant, inasmuch as II Indicated that
very good selling was going on undel
the cover Of a few strong spots. The
| fact that these were kept strong
in face of the heaviness Of the rest OF
the list gave the market an appearance Of
| strength and at the same time produced
very favorable situation for those who
| thought 1t time to take profits in stocks
which have gone up continuously almost
since the first OF the year. While the
| rubbers and the equipments made
progress, such standard issues as Steel
| common, the rails. the sugarsaand others
| lost ground. The most pronounced losses
however. were not in the standard
stocks, but in the motor shares. which
recently furnished the most sensational
features Of the share list. These issues
were the first to feel the selling pressure
and declined easier than any othe,
stocks on the list when the selling wal
most pronounced.
The real money market was more IA
voraole yesterday than 1t has been or
other days this week for the reason that
| there was less demand for speculative
| funds. With the market heavy and with
stocks off considerably from the high fig
ures of last week. 1t was figured in com
mission houses that there has been a very
| considerable reduction in loans. This
| reduction Is not enough to remedy the
whole speculative situation. but bankers
are understood TO be very much pleased
| With what already has been accomplished
The high rate yesterday was per cent.
as compared, with IL per cent. on the
preceding day and 16 per cent on ths
day preceding that. The foreign ex
change market was again featured b,
continued heaviness of francs and Ital
ian lire, but sterling was much firrnel
than on Wednesday,. The firming OF th'
latter was due in part to the understand
ing now that the new British loan b
going very we'll Otherwise there wal
not much change in the foreign ex
change market.