New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1920-04-06
Stock Market
Strong at Close;
Sterling Above 81
Movement in Rate i'm Favor
of London Interesting De-
velopment; Call Money
in Liberal Supply at 90

By far the most interesting and i'm.
portant development in the financial
markets yesterday was supplied in q
further striking rise in sterling ex-
change. A rapid advance in the rate
on London carried sterling above $4o1
at the high of the day, the movement
being u continuation of the recovery
that set in several weeks ago when the
first limitations were received of i'm
pending gold imports from England.
This strong movement in favor of
London easily overshadowed develop
ments on the Stock Exchange, where
professional pools resumed active
operations in special issues after the
three day suspension Of trading On
the whole the stock market gave a good
account of itself, considering the char
acter of the dealings, although there
was disappointment in many quarters
that the drop in the call money rate to
8 per cent did not bring about a greater
response.
Expectations that the closing of the
market last week would bring into the
market at the opening yesterday large
accumulation of orders failed to mate
rialize. Accordingly this apparent re-
f1ection of hesitation on the part of
outside traders to add to their com
mltments on the constructive side was
made the basis for an aggressive at
tack upon prices shortly after the open
ing which sent prices off sharply
Tor time. The selling, however, did
not bring out any great volume Of Of
1erings, whereupon the professional
contingent working for lower prices
began to make repurchases. From then
on the market, although it churncd
about great deal, displayed O bet.
ter tone, taking on fair degree of
strength in the late afternoon.
Steels were prominent on the after
tne boVs RI with with Steel get
new peak of 271 u. Certain Of the
motor shares. notably international
Motors. were strong, while the sugar
group displayed an advancing tendency.
Among the specialties the leaders were
Anne rlcan Linseed, Corn Products and
Barrett Company
Stock Exchange borrowers in the call
money market found the offerings the
heaviest in weeks. The greater liber-
atty on the part of leading insti-
.utlons-at one time in the afternoon
plainly reflected the easier position Of
the banks as disclosed in the bank
statements of Saturday. After renew
ing at per cent the call rate dropped
to 3 and held there the rest Of the day.
One Of the interesting news develop
ments over the recess was the passage
by the Senate Of bill introduced some
time ago designed to give the Federal
Reserve Board broader powers in the
matter of arranging discounts between
member banks and the central banks.
Although the Reserve authorities ALREADY
had ample power under the act for con-
trolling borrowings Of member banks.
it Is expected the new legislation viii
strengthen the position of the board in
this important matter. 1t will have no
market.
The rise in sterling exchange to a
new high for the recovery occurred in
the face Of news from Europe that was
viewed with apprehension in some
quarters. However, the general feel
ing among bankers was that the threat
Of the French government to march
troops into the Ruhr district of Ger
many will likely prove wise step. The
news of this development received only
passing notice on the Stock Exchange.
Sterling at it's high Of yesterday
showed recovery of approximately IS
cents in the pound from its low record.