The sun., 1919-07-02
FINANCIAL NEWS
AND COMMENT
Trading in Stocks Is Still
Quiet, but General List
Shows More Strength.
STEEL HEAVILY BOUGHT
Speculative Favorites Gain in
Last Few Minutes of
the Session.
STEEL HEAVILY BOUGHT

Although dealings on the Stock Ex-
change yesterday continued on very
much quieter scale than the average ses-
sions two or three weeks ago. the main
developments of tho day again ex-
pressed a good deal of underlying specuV
lative confidence. The so-called general
list. while still containing some points
OF weakness in stocks that have been
unusually active lately in the upward
movement, was very much stronger all
around and. in spite of the continued
| firmness of the money market and the
approaching triple holiday over the
week end, closed the day showing sub
stantial improvement. The first half
OF the session was again devoted to
profit taking and professional selling,
but the last hour, and more particularly
the last few minutes were periods of
very general strength. which resulted in
gains running from to as much as 8
points and more in case of some of the
! leading speculative favorites, such as
the tobaccos! the equipments and the
steels
The fact that sentiment was very
much improved undoubtedly accounted
Tor the most part of the strength for
the tendency In nearly all quarters was
TO restrNt commitments on account of
the approaching three day holiday over
the week end. In addition to the i'm
provement in sentiment, it was further
felt in some quarters that the technical
situation had been strenthened consid-
erably by reason of Mondays reaction,
and, Furthermore that in spite of the
continued firmness Of money yesterday.
the worst is over SO far as the July 1
dividend payments are concerned The
| TACT that money was firm again yester-
day still reflected n scarcity of funds,
but the knowledge that the money will
| shortly be flowing back to normal chan
! nels apparently was of sufficient in
| huence to bring about a resumption of
| the buying movement in the last hour.
Otherwise, however. there was very lit
tie which might have been expected to
stimulate buying. 1t might have been
supposed, however, that the announce
ment that President Wilson has signed
the railroad deficiency bill, which caused
so much trouble early in the year by
the refusal Of the last Congress to pass
! 1t, would have found some reflection in
the railroad shares. but nothing out OF
the ordinary occurred in this depart
ment. At any rate II 1t stimulated any
I real buying, this buying failed to make
/ itself apparent on the surface OF things.
| But whatever disappointment this ma,
have caused must have been more thar
made up by the improvements which
occurred In the steels, equipments and
tobacco shares during the latter hall
OF the session On announcement oil
the plan for the merging Of United
Cigar Stores into the new United Retail
stores Corporation. the former made
another new high record while Baldwin
and other equipments were we'll pur.
chased all day in. anticipation of the
railroad equipment plan and also or
expectation of details of the recapi.
taliZation plan which is now under dis.
cussion by the directors of Baldwin
Locomotive Works. The food stocks
particularly United States Food Prod.
ucts, were all in demand again, and
there was renewed buying of the food
and copper stocks. But perhaps the
most important feature Of the day was
the sudden outburst OF buying in Stee
common, which went to a new high fol
/ the currert movement. This was sug.
gestive OF something more than short
/ covering. but whatever the character
of the buying, the improvement wa:
we'll sustained to the closing not only
! in this particular issue but in the resi-
! of the list as well.
| The money market was unchanged
! from the preceding day in that tn,
rates for call money continued firm
! But there was a considerably better feel
| ing in brokerage circles concerning the
| market Tor the rest or the week.
was felt, for instance, that the pay.
ments have about been completed am
| THAT. moreover money will shortly bt
returning to the banks The prediction
was made in banking circles that there
might be further hrming OF rates to-day
/ but it was also stated that. II this takes
place money will certainly be very
much easier by Thursday in spite Of
the fact that all arrangements have tC
be made on that day for taking care
| OF stocks that are carried over the weel
end. Announcement of the removal OF
restrictions on the foreign exchange mar
ket had depressing effect on most
rates. Sterling was easier as were
/ francs and lire. There was heaviness
also in kroner and pesetas. Cotton was
easier early in the day. but improved in
the afternoon following the publication
/ Of the Government crop report. which
showed a decline in both condition and
acreage. Corn and oats were firm &c