New-York tribune., 1920-05-07
Stock Prices Firm
In Quiet Market;
Changes Narrow
Some Issues Touch NewHigh
Marks ON Upturn, but
Profit-Taking Exerts Mod
crate Pressure Near Close

Another quiet session in the stock
market yesterday was indicative of
the disposition of the professional
element to await further Developments
before taxing up a definite position on
either side of the speculative list. The
general run of stocks maintained n
tone OF strength--some issues touched
new highs for the recoverv-but the
buying that pushed prices forward was
not followed UP. In the afternoon Just
before the close prott-taking sales ex-
erted moderate pressure against the
market, causing more or less irregu-
IaNty, although there was no. evidence
of weakness. To all outward appear
anc-ss the market reelected little more
than the churning operations of the
professional floor traders.
On the whole the market perform
| ance bore out the contention ,of those
observers who have held that following
the severe fall in prices of few DAYS
ago, stocks might be expected to make
partial recovery and then huctuate
within narrow trading range. Action
OF the majority of the industrial shares
suggests that the short interest, which
reached large proportions on the break,
has been much reduced this week. It
might be inferred from this that the
position OF the market is not so strong
as 1T was few days ago. The resist
ance offered by the market to bear
selling, however, has made the profess
slonal element more cautious with re-
gard to the extension of commitments
on the short side.
Traders in stocks found compara-
lively little news upon which to base
operations yesterday. For a time it
looked as if there might be another
squeeze in call money which would
force the loaning rate above per cent,
the renewal rate, but around midday
offerings by the banks became much
more liberal so that all demands were
met at that level. In the afternoon at
| one time $S,000,000 was offered on call.
The local call money market is de-
balances maintained at this center for
the account of interior institutions.
This makes it eXtremerly sensitive, and
the recent stringency in stock market
| money has been due in a measure to
, heavy Withdrawals for the account of
the interior banks. In the last day or
two these funds have been flowing back
to New York. With the release Of
goods tied up at interior points by rea-
son of the TRANSFORMATION tie-up it is
to be expected that the Supply Of
money will increase as time goes on.
In the stock market a number of
special issues, such as U. S. Realty &
Improvement, Virginia Carolina Chem
ical, Barrett Company, Atlantic, Gulf &
West Indies, National Analine and
Penn Seaboard Steel, were points Of
strength. Replogle Steel, which the
Stock Exchange has been investigating
as offering the possibility of a repeti-
ton OF the Stutz corner, advanced on
the announcement that it had been
given a clean bill of health. Pierce
Oil rose on reports of an impending
stock dividend. Among the strongest
industrials was Baldwin Locomotive,
which cot above 120. The selling in
the late afternoon converged on Steel
common, which dropped back for a
fractional net loss after rising early
to 81,