Evening public ledger. [volume] (Philadelphia [Pa.]) 1914-1942, 1920-10-30
Price MOVEMENT.
WAS MEANINGLESS
r-r
Predicted Prediction Boom
Sidetraoked by Stringent
Money Market

New York. Oct. 30.-Price movement
in today's closing market were generally
meaningless, representing almost en-
tirely the customary week end evening
up operations the professional traders.
As a matter Of fact, about the only fca
ture of comment was the continued ac-
tivity and strength OF southern Pacific.
which retained the leadership on tho
prospects of early recognition of Mexi.
can Government by the United States.
Otherwise prices were irregular. but
principally higher on further covering
Of shorts. Profit. taking. on the other
hand, in other quarters caused partial
surrender of yesterdays recovery.
Apart from the rubber stocks. which
were C0nspicuously weak. especially L.
:. Rubber. the tone of the market held
fairly steady to the close. Another
slump in the Italian rate. to the low est
quotation yet recorded. was the fea
tdre of the foreign exchange market
To great many the weeks market
was unQuestionably a big dsappont-
ment. especially to those who had built
hopes on the predicted pre- election
boom. Instead Of making the promised
ascent the greater part of the list took
the toboggan slide. and while not getting
back to the low level made in the early
part of the month vet lost considerable
part Of the recent Improvement.
Whether assimilated or genuine Wall
street worked itself into gloomy state
of mind. This was popularity ascribed
to various contributing disturbing plc-
mCnts. Prominent among which NAV
be cited the English coal strike anI
the threatened extension of the labor
crisis to other fields: the continued
disCouraging trade news and last. but
not least, the rather unexpected tight
euing mp again of the money market
The latter conditions resulted large'y
from the heavy withdrawal of govern
ment funds. which in some quarters
was charged to political influences. but
which allegations were entirely ground
less. The Q and 10 per cent call money
rate nevertheless was an effective dam.
per on speculative activities and prob
ably caused some of the lesser over.
confident pools to liQuidate.
While the q per cent rate maintained
throughout the week was surprising to
some bCauSP of the expectation of easier
conditions after the heavy payments of
the middle of the month were out of the
way, still no one can point out where
any encouragement was given by the
banking interests of possible extension
of stock market accommodations. On
the contrary. all statements concerning
the monetary situation have openly
showed positive and forcible opposition
to any relaxation of restrictions against
revived speculation. or extension of
credit facilities outside Of essential re-
Qu;rementS.
There is considerable question. how
ever. whether there is actually substan-
tial grounds for the pesSimism Of pro
frssional Wall street. 1t is true every
thing seems for the moment to be pay
ing in the hands of the bearish element
The fact, however. should Mt no time
be overlooked that while considerable
stress has been made concerning the
selling and the number of the shares
offered. there must be a buyer to com.
pletc the transactions. 1t also must
be remembered that Wall street never
waits for something to happen. but
starts in from three to six months ahead
to discount just such radical adjust
mcnts as are now being witnessed in
the general business situation. This
does not mean to Imply that the tranSi-
ton from the abnormal conditions
created by the war is completed. or that
commodity prices had reached the low
levels. or business insolvency has been
arrested. But, it does mean that un-
less the country is facing some unfOre-
seen big catastrophe. it is uuquestiOn-
ably not the time to get crazy headed
bearisA on the market situation,