The evening world., 1920-09-02
FINANCIAL NEWS AND PRICES
WALL STREET

Additional evidence was given by
the stock market to-day that it's line
OF least resistance is upward. Under
leadership Of the railroad stocks all
issues move forward for gains rang
ing from substantial fractions to more
than three points.
There has been notable improve
ment In financial sentiment. Oper-
ators who oftentimes have much to
do with shaping the course OF market
prices, and who a fortnight or so back
were confirmed pesslmists regarding
the immediate outlook, are now of the
belief that the market has definitely
turned, and that aside from healthy
and natural reactions. its trend will
be upward
This idea has become 80 fixed in
powerful speculative circles that an
nouncement to-day that $4,000 anthra-
cite miners have already gone on
strike had no effect, while pessimis-
tic c2bles from England telling OF the
seriousness of the labor situation
there were read with only cursory
interest.
Factors generating improved specu-
lative feeling are: "a The liuuidated
position of the market: (2) the belief
that most stocks are selling below
their true worth, as measured nv
earning power and assets; (s the
promise of bountiful crops: CD
marked betterment in the railroad sit
uation and outlook, particularly the
promise of greatly increased earnings
now that the roads have been granted
large increases in rates and are re-
turned 10 private control; (5) snread
OF the belief that any probable busi-
ness depression has been fully dis
counted, and finally, Indications that
the money and credit situations will
soon show marked Improvement In
this connection It was sIpnificant
that some bankers were willing TO-
day to loan money repayable in four
months at slightly less than a per
cent. rate. This was considered the
first real sign of a let-up in the
money stringency.
AS indicating the changed on,r-
opinions of makers OF markets mar
ticular stress was laid to-day on the
campaign that Is now going on in
Sinclair Oil. Listed as sponsors Of
this stock are some of the most
powerful financial interests in the
country. II is understood that for the
first time in many weeks they have
taken a definite stand on the con-
structive side of the market. Buying
or Sinclair has become very agrees
sive. For the greater part of to-day's
session 1t was the most active stock
on the list and showed an advance
of about two points. Other oils
moved up In sympathy with It.
Low priced non dividend paying
railroad stocks rivalled the shares of
richer and more powerful companies
] in point of activity and strength
Gains of a point and more were by no
means uncommon.
Even the motor and accessory
shares, which have been. under per-
sistent pressure for several weeks re-
Elected the improved state of specu-
latlve opinion, A sufficient volume
| of outside buying came into this
group to force covering by the large
short interest and the leading motors
went up from one TO two points. Mis-
cellaneous industr,als and steels were
firm.
The. commodity markets also dis
played better tone, but in these
markets buying seemed to come prin-
cipally from shorts. Cotton rose IS
per bale, and corn and wheat rose
about two cents per bushel. Money
renewed at per cent. Foreign ex-
change markets were slightly lower
demand sterling losing a cent al
1856 IA.