Evening star., 1920-02-10
FAILS TO RESPOND
T0UPL|FTFACTORS
BY STUART p. WEST.

ary 10.-The market had another
face of continued Steadiness in the
foreign exchanges and continued de-
cline in rates for call money. The
drop in the call loan renewal was very
substantial. AS against the II per
cent quotation of Friday last and
yesterdays IA per cent. the rate was
marked down to 10. This was GER
tainly in accord with the most op-
timistic expectations.
The return of the funds drawn out
last week by the government was evil
IDENTIFY making itself felt and SO was
the release of credit through the
enormous liquidation of the past
week on the stock exchange.
Little Effect on Stocks.
1t was a great disappointment that
this relaxation in money conditions
had so little effect upon the stock
market Had the money pinch been
months decline. there must nave
been a response even although tenn
porary one.
AS it was, a few stocks only were
strong for time. stocks like Cruclple
Steel, Baldwin Locomotive ana ill.,, li,tt
conditions exist The minor oils, wnlch
were such sore spots until recently'
also did better under the lead or Mlo-
die States Oil g
Strength Of Little Avail.
Emf the strength in these directions
did not avail against the weakness III
others. ,. ,b.t
when the trading element sa" lhae
the 10 per cent money rates MAH Ia
ing no effect it was empoloeHin1 ints
continue it's search for weak polnts.
Motors. Mercantile Marine, American
International. Royal Duteh: steer,
Transport and American SmeiliHs
with considerable success.
What was far more DIST ~,
however. than the break in these
stocLs vas the extreme weakness IN
some of the old-line dividend. paving
rails. notably Chicago and North"esl
ern Great Northern preferred anu
Northern Pacific. The demands OF the
maintenance of way employees 10, d
40 per cent wage increase contriou.eu i'.e.
to, the weakening ct Of the sroyn nnyms p'"
But again the principal explanation d,
for their decline was to be founo IN
the foreign exchange situation
stocks Weaken Mt Midday.
The market became weak at MID
day. despite the favorable tonnage re-
mort of the United States Steel Corpo. .
ration and the further relaxation OF
call money to per cent
Shippings. oils and motors featured
the more extensive decline. accompa-
MED by investment rails anu iepie
sentative industrials.
International Paper.
In the December break Interna-
stocks which did not come anywhere
near reaching its November bottom
In the February break it has been
one of the very few which has not
approached or exceeded the low OF
December These things are slgnin-
cant to close observers O. 'he MAJ ke..
They indicate that some reason OF an
extraordinary nature Is holding up
this stock. What the reason Is is
perfectly apparent from the known
facts regarding earnings. past anu
present, and the business OUTLOOK OF
the company.
at se5 share. International Paper
has put back into property out OF
earnings a sum equivalent TO nearly
500 a share on its common STOCK uuf
ing the last four years. therefore,
Paper is one OF the
clearest cases of asset value exceed
ing current market price lhal VIC
have at all.
Secondly, no matter what happens
to general business. lnternationa!
PAPER is sure of being able 70 sell
its 1920 product to the full extent OF
the capacity and at prices even ex-
ce eding the high prices OF last year.
Middle states Oil:
1t was evident yesterday, and still
more evident today, that change Tor
the better had come over the market
position of Middle States Oil.
dot n.
pears to be definitely over. and this
morning this remained considerable
short interest, because the traders have
a lot of money on the short slde OF
Middle States, and had been selling 1t
again on the rally from 22E to ~ Y.
per cent stock dividend on February 20.
This was a consideration in the mar
ket today.
American Locomotive.
American Locomotive earnings for
the six months ended December 81
are estimated at over $6 share on
the common stock after all charges
and tVxes. For the calendar year OF
1919 ne earnings are said to have
been over $40 share. AS result
Of new bookings the company is now
said to be operating at 33 per cent
Of capacity.
During the past two weeks the CONF
pany has taken orders for approxi-
mately 100 engines for foreign and
domestic roads.
Punta Alegra Sugar.
Punta Alegra sugar production up to
the end of January was 216.759 bags.
compared with 146,S24 in the same
period in the previous year. a gain of
about As per cent. This gain, it is said.
was due in large part 10 the early
start that the three plantations got
this year. At this rate it is figured
that the company should be able to
soual and probably exceed the esti-
ted production of 100000 bags for
the current year. particularly as the
addition to the mill at Punta San Juan.
which will double it's capacity, will be
In commission soon.
The net value of the sugars made
to date exceeds the seasonal borrow
ings by over $1.400.000.
California Packing.
1t is figured that California Pack
ing earnings at the present time are
running well above $50 a share on
the outstanding common stock. From
figures now available it is said that
the gross sales of the company will
$75,000,000. and that net
profits after government taxes will
be about $7,000.O00. These latest
firures better those recently an
nounced by the vice president of.the
eompany, who said that the sales
would be $70,O00.000.