Evening public ledger. [volume] (Philadelphia [Pa.]) 1914-1942, 1920-06-19
WALL Street HAS
EYES 0NFR|SCO
Securities Drifting Until Status
Of Democratic Party Is Set
tied Definitely
TRADERS ACTING GINGERlY

New York. June ...-Thc financial
outlook is summarized today in the sun
as follows:
Following the Republican convention
at Chicago. Wall street was content 10
settle back and let the market for Sc
curities drift whittier it would. CIR
cumstancca conspired to encourage
waiting attitude, 1t was important Tor
instance, to ascertain how. the country
tided over its financial affairs of the
midyear and to appraise the effect on
the general money situation.
1t was Of consequence to give care
ful attention to crop developments. TO
the efforts excrted to amcliorate rail-
road congestion, to the trend Of com
modify prices and to the course OF events
in the hearing before the Interstate
Commerce Commission on the subject OF
freight rates. II was desirable to
know what sort of platform and what,
sort of a candidate the Democrats would
provide at the convention to meet Ill
San Francisco on June 2S.
In view of these considerations the
public held aloof from market opera =
tions and traders felt their way gllsgcr, ,
ly. The result was quite the dullest
week Of the year. and with few cxccp
tions, narrow price movements. Il
The period was of character to give
scant promise of animation for some
time. The technical position of the
market was good. The undcrtonc was
firm to strong throughout and senti J.
ment was better as the week progressed.
1t was apparent that most things pos
sible to ne forcseen had been pretty
we'll discounted.
Bullish Initiative in Sight
With the major uncertainties out OF
the way, say within the next four
weeks, 1t was generally thought likely
that bullish initiative might develop,
although the more conservative quar-
ters were constrained to look still fur
ther ahead to broader aspect of the
economic position of the country. That
position was regarded with a more
hopeful feeling but with full under
standing that time was the principal
element working for restoration to nor
nal conditions. i
The money market was relatively
easy. The week began with call loan:
renewing at 5 per cent, but the ratt
soon dropped to per cent. Mt which
it ruled until the close on Friday. wheI
8 per cent obtained. Demand and Aip.
ply of loanable funds were alike Light
Preparations for meeting federal taxes
on Tuesday and for payment of coupons
on the first Liberty loan and the Vic
tory notes were completed in the wcel
before. The offering of S400. 900, ,O0(
in treasury certificates of indebtedness
was made the same day and on the
next it was announced that books hat
been closed. with more than the full
amount subscribed. 1t was estimated
that government tax receipts amounted
to $3.50, ,000. 900.
1t was to be considered. however. that
taxes were partly paid in outstanding
certificates and that the treasury was
called upon to meet the retirement OF
some $500 900 200 maturing certificates
On July 10 additional certificates vii
mature. making total of such re-
demptions about 81 900 ZOO. 900 be.
tween June 10 and July 10. Thi.
situation suggests that new offering.
will probably be made in the comm,
weeks. Not long thereafter attention
will be devoted to preparations fol
financing the crops.
Meanwhile. there will be keen com
petition for commercial borrowing. Re
turn of the railroads to private owner
ship has proved heavier drain on tn,
treasury than was anticipated and fund
must also be provided for the revolvin,
fund out of which loans are to be mad,
to the railroads for equipment financing
Thus money continues the Fundamental
factor in the present and the indefinit,
future.
Dracious Matals Ara Ria E,aIo.