Evening public ledger. [volume] (Philadelphia [Pa.]) 1914-1942, 1920-12-22

rcpurchasers, and those attempting to
cover short commitments, it will be
found that stocks are not in plentiful
supply. While it is anybody's guess as
to when the turn will come, the best
Judgment is that it is very near and
the big operators, as a rule. are pre-
pairing for it by quietly accumulating
stocks.
Better Bond Market Ahead
Current decline in industrials bonds,
says the Wall Street Journal, has re-
suited in the loss of nearly three
quarters of the eleven point rise which
started from the lows reached last May.
An appreciation Of the present position
Of industrial bonds can be afforded by
comparing the current values with the
high prices of 1917. as the average de-
cline in the bonds listed for comparison
has been 17.6 points.
The increase in the purchasing
power of the dollar in recent months,
and the promise of an easier money
situation, conditions which in the past
have been recognized as fundamentals
usually resulting in rising bond values,
appear to be held in allegiance for n time.
Operating against a natural rise in bond
prices is the huge amount of new issues
put out during the year. These have
| been offered at attractive rates, and
have doubtless absorbed a large amount
of investment funds which would nor
mally be available at this time. The
new offerings during the first eleven
months of this year constitute n new
high record for volume. Bond men also
! report q considerable volume of current
selling to record losses for tax purposes.
The Dow, Jones bond averages show
! that industrial bonds are at present
selling over seven points below the level
of last year. This doubtless has en-
couraged selling to establish losses: 1t
| is the belief of those close to the bond
market that the volume OF new offerings
will, from now on, fall off considerably,
and that the money stringency will ease
after the turn OF the year. For these
reasons bond men are predicting rise
in bond values, and are calling attention
to the unusual opportunities now offered
in industrial bonds.
May Get Some Scalps
There is n wide difference between
an orderly conducted bear drive and
ruthless slaughter of values. The stock
exchange authorities several times
during the year have attempted to draw
the fine points of distinction between
these two destructive forces of values.
There have been many threats. but as
yet nothing really has been done.
The matter, however, was brought
into the lime light again yesterday, and
Monday by the vicious attacks made on
Houston Oil Monday, and the merciless
marking down Of Replogle Steel and
Vanadium Steel yesterday 1t was re
ported yesterday that because OF these
two heartless massacres the stock eX
change authorities were contemplating
issuing some drastic rules to check up
these operations.
The first step in this connection was
| the announcement made by the eS-
change yesterday morning calling for
a record of the recent transactions in
Houston Oil, which was supplemented
by similar call for a like record of
the operations in the sO-CaIlcd Ryan
stocks. These heartless demonstrations
superficially would seem to give the
so called police committee ample ground
for action.
This, of course, is little consolation
for innocent bystanders who were hurt
in the raid. but if it will prevent re q
currence of this vicious and almost
criminal destruction of security values,
something will be accomplished,
Critical Period Safely Passed
NJ. G. Baker, president of the Penn
National Bank, strikes a note Of cheer
fulness as to the future in the Decem-
Der number of the Penn Bulletin is
sued by that institution In discussing
the business outlook, Mr.. Baker says
Though business is, at the moment,
unsettled, there are good reasons for
facing the future with confidence. The
critical period of the year has been
passed without any general financial
difficulty. One Of the sharpest read e
iustments the country has ever had is
being accomplished in the most orderly
manner. Governor Harding. OF the
Federal Reserve Board, has voiced like
wise the opinion of the thoughtful