Evening star., 1920-07-15
MARKET IN A RUT,
WITH A SOFT TONE
Traders Hold That Technical
Position Shows Some
Slight Improvement.
BY STUART p. WEST.

NEW YORK, July 15.-The marke
today sunk farther back into the ru
! in which it was all through the latte,
| half of June and over the Fourth Of
July holiday. The proponents of the
| theory of summer rise that woule
! carry through July and August con
t1nued to stick to their position. main
| tanning that the setback since the frs
OF the week was no more than a nor
NAL reaction.
But there was small encouragement
for this view of things in the actor
OF the market itself 1t was hard t.
get away from the fact that in &
couple of days the entire gain of q
fortnight in many stocks had beer
swept away. 1t was hard also to ex.
piaih .he return to such extreme dull
ness as was witnessed today
No doubt the inside position of the
market is decidedly stronger than il
was week ago. Then nearly every
brokers' letter going out from Wall
street carried the advice to buy.
As always happens when sentiment
gets TOO ope-sided. it is wrong. A
week ago the short interests had been
pretty well eliminated and the mark Of
mad boone overbought.
FROM a technical standpoint the
present position is distinctly better;
n
peeh shaken out. A new short interest
has been built up. Brokerage advices
previously so confident, are now be
ginning to hedge
Favorable Signs.
All these are favorable signs TO
nose VINO make a profession out of
Wail street trading They suggest
mat the market may he getting over
Io,u hno lust "a a week ago it was over
oougnl. Ihe one qualification is that
d certain amount of genuine uouida-
tion mas undoubtedly occurred in
STOCKS OF companies whose business
OUTLOOK is not promising. The uncov-
ering OF these weak spots has been a
reminder that while a good part of
the list may have discounted the
worst tnat has occurred in the busi-
Hs in ana nnancial situation during the
iaSt elght months, there are numerous
lndividual issues which have a further
read)ustment to make in order to
measure unsatisfactory conditions ex-
lstlns IN their particular industries
Still Very Tired.
=, Despite very strong efforts to discredit
ene statement that all is not going well
IN lhe tire industry, and that many of
tnese concerns are overstocked it was
nouceable that neither the tire nor mo-
eor STOCKS, which were so weak yester-
uay' showed any disposition to recovery
Bond Market
BOND trading was somewhat less ac-
tive today. but tone of the market kent
nrm There were few price changes Of
consequence but the more active issues
IN tne government group and in the
equipments maintained their recent ad-
vance Llbertys held most of the day
around the closing figures of last night
me Belgian 71as got up to their high
point again of 1003s. The Swiss govern-
hent IS were strong, just under 1O3
u was announced that the syndicate
wnicn underwrote the s50,0Oe, 600 Sin
clalr OH 1k per cent notes had been
extended from July IA to August IL
~ cannot be extended any further than
tnls- This action meant, of course. that
the notes have not gone well. The
competition with the better-placed r,iI0
way equipment offerings has been too
Keen The privilege of conversion into
new Sinclair Oil preferred stock with
common stock as "a bonus. has not
proved to be the drawing card that had
been anticipated t.-u
On the other hand, that new indus
.Iiai issues are not being discrimi
Ha.eo against simply because they are
naouslriaiS Is demonstrated by the
success OF the Armour bonds. These
nave now established themselves ON
price level above s5, as against ap-
PToxlmately 94A. the issue price
AInong tne equipments the Louisville
ana Nashville Is made a new high
record at 101A, and the Delaware and
ihuuSoh IS were strong at 1908.