Evening star., 1920-06-16
SPECIALLY MARKET
W|THL|CHT TRADING
Midsummer DulIness and Not
Nominations Cause of
Neglect.
BY STUART r. WEST.

BY STUART r. WEST.
NEW YORK. June 16-All that
happened today fitted in precisely
| with the notion that nothing more
than very narrow trading morket.
with range Of perhaps two or three
| points either way, is to be looked for
the next three weeks or month.
| The street Is talking about the mar
ket awaiting the democratic nomina-
ton at San Francisco, precisely as a
week ago it had talked of the market
awaiting tho, action of the republican
convention at Chicago.
This is merely preteKt for dull
ness which is entirely seasonal. The
republican nominations were an
| nounced and had no effect whatever.
1t was quite clear that this was not
the cause that was holding specula-
tion back. In the same way it is
mere pretense that it is the desire to
see who will be named at San Fran
cisco that is keeping activity in check.
Midsummer Dul1ness.
The market is dull now because it
almost always is through June and
the early part of July. This is the
between-seasons period. when the
crops are not laid away, when the
semi-annual dividend and interest dis
bursements lie ahead, with their at
tendent Stralh upon the money market,
and when the ideas of business men
as to the size of future trade demands
are as yet uniformed. These are the
standard reasons for market inaction
at this time, and they apply this year
with perhaps more than usual force,
because the general situation is more
delicate than usual.
1t was specially market again
today, with few points of individual
strength and few points of weak
ness. On the one hand all the shares
of companies involved in the deal for
up again, with particularly violent
jump in Barret Company stock.
Speciality Market.
Vanadium Steel made quite a re-
sponse to the disclosure that some
very important buying. quite likely
for account of companies which are
the big users of Vanadium's product.
Retail Stores rose smartly against
the lately increased short interest,
and International Harvester was ia
vorably affected by the news of a
stock dividend, which it is now
thought will be a regular feature of
the companys policy of distributing
profits to shareholders.
Sugar stocks came in for squirt
and Virginia Chemical moved forward
briskly in anticipation of a declara-
ton of a stock dividend at its COM
ing meeting.
Money No Factor.
Once more the market paid no at
tention to the easing of money rates,
thereby disproving the idea which
many had held a week ago that things
would be better after June Is. with it's
liberty bond interest and tax collec-
tions had passed. Call money renewed
at Z per cent, and was freely offered
at most of the day, but the an
nouncement of per cent rate failed
to stir the market from it's inertia.
The advance in sterling exchange
continued toward the $395 level, and
much interest was taken in tomorrow's
statement of the Bank Of England to
|.see whether 1t would reveal a contin-
uance of the gold accumulation which
the two previous reports have dis
closed. If the bank has added any
further to its stock of gold this last
week it will be accepted as pretty
clear evidence that preparations are
under way for a transfer of the metal
to this country.
The weekly summary of iron trade
conditions noted the moderate i'm
provement that has taken place in
transportation facilities, but said that
this had not been sufficient to relieve
the congestion of finished material at
the mills. On the other hand it is not
nor has it affected prices. The demand
for steel is still running ahead Of
supply.
Weakness in Oils.
On the other hand special weakness
cropped out in the low w-priced oils like
Sinclair and Transcontinental. The
new General Motors stock was heavily
sold. as 1t has been for several days.
and this had a depressing effect upof,
the other motors. Railway shares did
better because Of the belief that the
Northern Pacific directors when thew
meet tomorrow will not cut dividends
1t looked as If the low-priced rails
at tne low prices OF yesterday and the
day before had about completed their
proper reaction.
The Bond Market
There was very little to the bond
market today. Dealings both on the
hoor of the Stock Exchange and over
the counter were extremely light and
price changes were all but negljrible
Liberty third and fourth loans moved
forward tribe. and the general tone
OF the market FOR government issues
maintained the Improvement which
has been noticeable since the fret IF
the week.
NO movement Of consequence ia
looked for in either direction for
some time to come
Liberty Donds cannot very we'll go
to better than a ~ per cent basis
without suffering from competition
of high grade corporation bonds and
particularly the new equipment notes
There are more of these latter issue
to be announced within the next week
or so, but none was brought forward
today.
Dealings in the United Kingdom of
Great Britain bonds were active again
today with some shading Of prices.