Evening star. [volume] (Washington, D.C.) 1854-1972, 1920-08-13
MARKET DISPLAYS
POSITIVE STRENGTH
Weakly Held Shares Liqui'
INSTRUMENTATION
Under WAY.
BY STUART p. WEST.

NEW YORK, August 13.-Again to-
day the stock market acted as mar
ket would naturally act which has
definitely turned the corner.
The decline eliminated in the call
ing of loans from crippled pools, es'
pecially in the newer fotations
which. regardless of their value, are
not acceptable bank collateral at such
a time.
The evidence all points to these
stocks thrown out of bad loans ano
cast upon the market at sacrifice
prices having been very well taken
With these weak spots eliminated
weak spots which have long been
oVerhanging-the real accumulation
began.
There had been buying orders
placed on a scale down by large
speculative interests for a week or
more, but these We're not intended
to oppose any check upon the de-
cline, or did they signify that the
bottom had been reached. But with
the insecure speculative accounts out
OF the way it was commonly recog-
nized in banking circles that the
stock exchange position was stronger
than it had been at any time TINS
year and accumulation of stocks then
set in in larger volume.
The overemphasis laid upon the
Russian Polish situation facilitated
this accumulative buying by Keeping
outside competition away and at the
same time encouraging continued
sales for short account
Stocks in Strong Hands.
Yesterdays market. with its re-
fusal to be in the least disturbed by
the sensational comment of the for
ait n
between Paris and London. showed
just how much of a factor in the
market movement this whole Polish
business has been. 1t counted when
a pretext was needed for decline
that was due primarily to other
stocks had become lodged in strong
hands and when the proof of i'm
provement in the credit situation had
grown to be unmistakable.
Standard Oil Melon.
The Standard Oil Company has called
a meeting of shareholders to take action
en- a proposition advanced by the direc-
tors to issue stock of par value of
1925, 600, 900. as against the present val
uation of SIS, 900, 900. The new stock
would be a melon for the shareholders
ripe S15o.000.000 one, the holders
drawing it down in the form of a stock
dividend.
In June. 1918, Che corporation de-
clared 100 per cent stock dividend.
In advance of publicity on the con-
templated action announced yesterday
the stock moved up IS points.
Bulls Cautious.
There is no thought. of course. OF
any immediate revival of speculation
for the rise.
Credit conditions are much better
than they were, but it will be another
two months at least before the CROP
moving demands will have reached
their peak and before there can be
airy release of time money for Wall
street purposes.
The time money market Will FUR
nish the signal for any real forward
movement in stocks In the meantime
however. it is quite likely that we
shall see the continued buying back
on all favorable occasions of stocks
that were distributed some time age
at much higher prices.
This sort of buying comes in little
waves, as was seen yesterday ano
again today 1t does not follow prices
up far and each little squirt is fol-
lowed by. dizziness and sagg1ng
tendency which is calculated to give
the impression that there is nothing
This is the familiar characteristic OF
a situation where accumulation is
going on and where 1t Is desired tha'
the public keep off.
All the leading speculative issues
sold today at the highest prices IT
nearly fortnight Those Whlcf
worked forward the easiest were the
steels the equipments the higher
priced oils and the food stocks.