The sun. [volume] (New York [N.Y.]) 1916-1920, 1919-06-03
FINANCIAL NEWS
AND COMMENT
Stocks Advance Further and
More Active Trading Is
Better Distributed.
CONSIDERABLE REALIZING
Industrial Specialtes, Motors
and Minor Steels Especially,
Rise Rapidly.

! There was a continuation of the adj
vancing movement on the Stock Elk
cnange yesterday with the resumption
OF business after the three day holiday
| with no very striking features to DIFF
| ferentiate II from the markets of the
past month or more. Trading was more
active and there was a better distribu-
ton OF dealings, but aside from this It
was the same kind of q market which
Wall Street has become accustomed 70
over since the forward movement began
early In the year. Prices of various
Industrial specialties, particularly the
motor and minor steel shares, were
marked up rapidly again. The advance
was somewhat more extensive than in
Immediately preceding markets, but what
made 1t all the more remarkable was
the fact that 1t took place on top of a
forward movement which had brought
the average price Of the leading indus
trials at the close of last week to the
highest point since the big bull market
OF 1915. There was considerable profit
taking all through the dealings, but this
was easily absorbed and did not do more
than cause momentary recesdonA
1t might have been supposed that the
nrmer money market or the warning
conveyed in the monthly circular Of the
National City Bank against excessive
to restrain the dealings. Such was not
the case, however. in 90 far as the
greater number of stocks were con-
cerned In yesterdays market. The buy
ing was moro enthusiastic than ever II
anything and the pace Of the trading
was equally as reckless. Nevertheless
IT Is becoming pretty generally known
that IL the present speculation is to cons
tinue the Wall Street fraternity will
oath, T., AL G.,.z
firmer condition in the money market.
1t has been known for several days past
that several of the Federal Reserve
banks are considering advancing the
discount rate. which would mean q cor
responding Increase in money ratea
This In not explained in conservative
circles as an application Of the specula-
tive brakes nor 10 II expected to have
a wide influence on the trading. Stll II
will undoubtedly have to be taken into
consideration in placing any further
large commitments in the market.
The outstanding feature of yesterday's
session, in so far as the Individual price
movements were concerned, were the
motor shares. Studebaker, General
Motors. Chandler and others. all came
back into increased favor with the spec
ulative public and recorded further
spectacular advances. Tho steels were
as bITOHBs dlbnOuBH not quito 30
spectacular, except for Crucible. and
there was further strength in Mexican
Petroleum. which led the upward move
ment In the oil shares The only
disappointing thing ABOUT the dealings
in fact, was the heaviness OF the Marine
shares. Those who had come down to
the Street prepared to SEQ. q sharp ad-
vance In the stock in view of the an
nouncement OF the dissolution plan at
~. IL q l..
loss to account for the movement of
both Issues. Not only vas the action
Of the stock disappointing. but there was
considerable selling pressure apparent
after President Franklin had gone into
the details of the plan at the annual
meeting. The rails were not active as
group. but there were several outstand-
ing features such as Southern Pacific,
which went to new high ground. After
II spell OF profit taking on last~Wednes-
day and Thursday equipments also came
| back into renewed favor and made fur
Their gains during the day.
The money market was decidedly
| frmer. Although the bank statement
| last Saturday failed to disclose any very
large increase in loans on account OF the
expansion in speculation activity, the
reserve item showed decrease OF
! S3l. 100000, which brought that item
down to approximately SEE. 100000. Not
only was the decrease in the reserve
position OF the banks without infiuenc.
on the days market, but absolutely no
attention whatever was paid to the
| firmng OF money rates and tho predic-
tons which were made in many circles
Of naveh higher rates before the end of
the current month. The improvement
which began in tho foreign exchange
market at the close of business last
week continued in evidence yesterday.
Francs gained FIVE points and lire Is.
while sterling exchange was a shade
frmer. Other rates were about un-
changed from the closing figure Of last
week.