The Washington herald., 1920-07-30
Buying Largely for Shorts.
Wholesale Cancellation
OF Selling Orders.
STREET Is OPTIMISTIC
Market Closes Strong at
High Prices for Days
Trading.

New York, July 2s.-Stocks ad-
vsnced sharply throughout the en-
tire list today and closed with ma
terial net gains. Renewals were at
per cent, but Z per cent rate
ruled for all occasional loans. The
buying was largely for the account
OF shorts, but there was a wholesale
cancellation OF selling orders which
cheered the Street nightly. The
close was strong at about the best
prices.
The statement made by Governor
Harding, Of the Federal Reserve
Board, had much to do with this
improyement of the market. Mr..
Harding said that the crop situa-
ton was well in hand and that
banks in the agricultural regions
were prepared to take care of an
local interests. This was the sub
stance OF his remarks. He has taken
an ultra ra-conserYative attitude for
the last year. and this first out
burst Of optimism on his part means
a great deal to the business world.
Another reason for optimism was
the report from Washington that
the Interstate Commerce Commis-
sion would announce the rate deci-
sion this week. giving so per cent
Of what the roads demanded and
also providing for the wage in
crease recently made by the Labor
Board Il was said also that ac-
cOmpsnying the award would be
recommendation that the roads
nend money freely at once in
bringing up their equipment to
standard
Wall Street has had a great many
false rumors from Washington, but
this time brokers have investigated
carefully and say that stocks have
been bought heavily for the account
Of persons who seldom take
chance. Certain It is that there has
been good buying of the railroads.
The move today was under leader
ship Of Reading, which advanced
over two points from the low Of the
day. With il went Atchison, South
'ern Railway. Southern Pacific. st.
Louis and Southwestern. Frisco and
many of the so-Called low-priced
rails.
There was evidence of pool activ-
fty in all Of these for the news from
Washington is taken very seriously.
II the rate award is not made this
week Wall Street will be very much
disappointed.
Villas Surrender Helps.
OficiaI announcement came from
Mexico of the surrender of Villa
and the result was good buying OF
all Mexican stocks, particularly Of
the petroleum shares. villa has not
been disturbing the oil district. but
he has been the principal factor in
keeping Mexico in a turmoil and his
surrender is considered extremely
Important. With peace in Mexico
and with the new wells coming in
the shareholders Of the petroleum
companies ought to get considerable
relief. Stockholders of American Re
flning and United States Smelling
should also be optimistic over the
Mexican situation for both these
companies have been interfered with
BY the bandits who are now about
20 yield to law and order.
1merican Tobacco declined :
points as a result Of unofficial an
nouncement that the next dividend
would be paid in script instead OF
in cash.
Trade reports on the steel indus
try continue bad, despite the inn
provement in the stock market.
Appearance in Wall Street today
VI NSiA hhONh u Opei dbOlS leu ~ d
rumor that the Republican Presi-
dential campaign could not be
financed in a bear market. Word
went out from an important trust
company TO be optimistic on the
stock market because the worst was
over in regard TO the money situa-
ton Improvement began at once
and one Republican leader in par
ticular was credited with having had
a great deal to do with it.