Evening star., 1920-05-09

NEW YORK, May s.-A very large
reduction in the volume of daily
sales and diminution Of public in
quick changes in sentiment. marked
the week in the market. Still COM
parison Of values indicates that some
excellent gains have been made dur
ing the week. and that the bears
have not had things entirely their
own way. as they had during the
three preceding weeks. to a greater
or lesser degree.
That the market has made some
betterment in the face Of the ex-
tremely bearish sentiment-probably
conservative might be the better term
lis due more to the covering OF one
large short. Jesse Livermore, pre-
vacation-a hint to many observers
that this big operator 10 looking for
rather slow market for some time
to come.
Cautious and conservative advice
has been scattered very generally by
the Federal Reserve Board. by the
New York Federal Reserve Bank and
by other regional reserve institutions
as well az by brokers generally.
The purport Of this campaign. for
it has almost reached such proper
tions, is that the demands for credit
are so pressing for tho absolutely
necessary things that the railroads
selves in condition to render good
service; that industrial corporations,
il they would keep pace with the
demand. must have large amounts OF
credit: that it is Wall streets duty to
curb speculation.
Has Made Good ResDonse.
On Friday of this week the federal
reserve bank Of this city published
q circular urging credit conservation.
the stock market had ably performed
its work of housecleaning; that its
loans had crossed below the danger
mark, that the reduction in trading
accomplished in the closing weeks OF
Aprii-indeed. during the entire
mt that other interests had not put
themselves in such good shape. prob
ably referring to overextended acQui-
sitfon of merchandise and otner proc.
ucts of industry, in anticipation OF
the steadily advancing prices OF the
commodities.
Bonus Tax ON Sales Dfeaeee'
The proposed tax on sales on the
various stock and grain exchanges.
end m other sales as well, in order to
raise the heavy bonus demanded 1or
the soldfers Of the American FORCES
in the world war. has peen conslIu u1u
by financial interests as a nearpahlSs
producer; as probaole osstrIyer ~
The onen security market that has al
Gavs haen available for the purchase
and salr OF securities, without WnIcn
mona of the great corporations In the
irdrstrial and rail fields could have e1-
listed. ,,- rxch.nve
thrnuph it's president. took action ana
haiS sn imnortant anti-meetfng yes-
4sr6av afternoon, at which prac!icday
ali exchanges were represented. h
The predictions are made tnat susn ia
a tax as suggested wouio Drihs
aster. ,L-., Association,
.,n,,sh ;ts executive council, ana the
Chamber Of Commerce OF tne On.e1 NJ.
S.atnd IN session at Atlantic City Went
IN record as opposed to bonus ies'sla-
ton. ~,
with the opening Of the week tneIe
was some covering OF snort saIes, IN
profits being g.n1a. s%ti,clen'gS so tSe bears. but
sne erhen they evidenced this trend tne
Xvii. sore and severely punisneo'
t,,rnsd and made It as difficult as pos
sthi. for the former to get in out Q.
the cold, with al large a snare u
their eains as they had expected.
Mnnday and Tuesday the markel
.tifsened perceptibly. Money was
seia t,weiy easier, but the short buying
was the factor. Wednesday the peaIS
seemed to have the advantage unti
q was discovered that Mr.. Livermore
w.s huyinE right and left, preparing
for his getaway. The bulls ran
stocks up sharply on his orders Ano
eave the market a very arm closing.
Easy Reactions.
IT was comparatively easy for the
hsars to check rallies by ceasing to
INV. as commission houses had rsla,
fiveiy few orders on their books and
ston-loss checks generaaly accompa-
MED buying commissions:
Thursday was more or less . mega
tive day, but the bears became active
in the afternoon and wiped out most
Of the gains made on Wednesday on
the covering movement.
They kept this pressure on early
Friday morning, but started a small
buying movement later In the after
noon Of that day that wiped out
most Of the losses.
Bears More Cautious.
The bears. sensing the easier -al-
lying trend of the market. we're less
ekEoaatye In their sellinS> and thiA.