The Washington herald., 1920-08-20
Professionals Cover Short
Contracts in View of
Foreign Situation.
LOW CALL MONEY HELPS
Buying, Which Starts Early,
Persistent Throughout
Session.

New York Aug. ls.-The stock
market rallied today as the Bolshe-
visits fed before the Poles. Profess
.ional traders seized the opportu-
nifty to cover their short contracts
before the Red menace should be
proved a complete bluff and the
politicians restored to reason. The
bankers helped this flight of the
shorts by holding call money down
to : per cent all day.
On the floor of the exchange there
were cheers as the market advanced,
out the advance was nothing wild.
Shorts got stocks rather easily most
Of the day. Selling orders were
Withdrawn to great extent, but
somehow stocks were there for sale
Many business men who are being
pushed by their bankers are taking
advantage OF every rally in the mar
ket to cash in. Some of the leading
commission houses are advising Gus
toners to do likewise.
The buying started with the earli-
est transactions, and was persistent
through the day. The volume of
business died down until the last
half OF the last hour. when there
was another burst of buying that
closed the market strong at about
the best prices. Motors and oils
were leaders. because it was in these
that there had been the greatest
selling. Railroad equipments were
also strong toward the last, partic-
ularly Baldwin.
The reason for the persistent SELL
ing of railroad equipments was di-
vulged by a leading banking house.
1t seems that the recent buyers of
equipments have been short of mon
ey. as is well known.
Announcement that the Cities
Service Company had through a sub
sidiary brought in a $1,000 barrel
well in Mexico led the Street to
strain its ears again in the direction
Of the Mexican Petroleum Offices
The company has three wells within
striking distance Of oil Report is
that the Pan-American will increase
its dividend at the September meet
ing and again in December with an
additional stock dividend at the end
Of the year
Tobacco Stocks.
Tobacco shares rose in anticipa-
tion Of what George ]. Whalen may
bring from Europe on the AQuita-
MA. which is due to arrive tOnor-
row The advance of $50 a l 1000
that is to be made in a few days
on cigars is not expected to reduce
the profits of the retailing COM
panies. as only the high-priced ones
are affected and the retail price
will be advanced to cover the cost
The president of the Chandler Au-
tomooile Company gave out an op-
timistiC talk on the industry.
The reduction of prices by the
steel trade is slow in coming, but
the cancellation OF orders by buy
ers is based on a belief that it is
sure to come soon.
1t is reported that Europe is re-
turning to the world trade in steel
surely, but importers say they can
buy in England just now and get
quicker delivery to foreign COM
panies and at lower prices than
through American manufacturers.
Stocks Of shipping companies con-
cause Of the Generalization OF the
worlds commerce.
Rails Laggsrd.
Rails were laggards in the mar
ket, but they have been overbought
by thousands of little persons who
are now waiting for the big per-
sons to come and put them up
That all business has not been
ruined is proved by one OF the larg-
est department stores in New York
The principal partner said today
that in July the gross sales were
% per cent greater than in July
OF last year.
ReplOgle and Vanadium both ad-
yanCed on reports that the certain
steel manufacturer who always
loses &lO.OOO.O0O or 100000. 900 when
the market breaks had completed
tJking his losses again
The Offering Of s25OOO.O0O New
York Central bonds at per cent
had nu> effect on the market. as
such offerings are expected in great
volume as rapidly as details can
be arranged