The Sun and the New York herald., 1920-08-11
FINANCIAL NEWS
AND COMMENT
Sugar Stocks and Minor Issues
Break in Market Generally
Quiet and Firm.
LITTLE LIFE IN TRADING
Net Losses and Net Gains Are
About Evenly Distributed
in Active List.

The first indication that uhe primary
bear movement In stocks which, with
slight interruption, has been under way
since last November is approaching Its
end appeared yesterday when the volume
Of trading approXimated 100000 shares
a small day even for midsummer. Trad
ing lacked animation, but the market as
Il whole was quiet and firm, except for
break In sugar stocks and one or TWO MI
nor departments. II Is true that there IS
only n small short interest to act as a
! cushion IN case some unexpected de-
velopment favorable to the bears occurs
and Il is also true that banking interests
are In no position TO finance any sustained
bull movement in securities. even II the
stage Of the election campaign warranted
! such course. Nevertheless period ot
dull and inanImate markets would be
welcomed by all concerned and there
would be an opportunity for railroad
stocks TO register the Improvement OF
! their status as a result OF the recent rate
dc clsion and the broad attitude taken by
| tho Interstate Commerce Commission. II
is too carly 10 state definitely that stocks
at the lows Just established were drag
ging on bottom, but 1t must be noted that
| In some sections of Wall Street II is be-
leved that the primary bear market has
run its course, and that belief will be
strengthened provided that the sort OF
| trading in evidence yesterday continues
| for two or three weeks.
! In the active list the net gains were
about equally divided with the net losses
and. generally speaking, fractions either
way represented the extent Of the price
changes Cuba American Sugar, Cuba
| Cane Sugar and American Sugar lost
| two points or so on the report that
actual sales Of sugar were being made
1 cents n pound or so under the price
maintained by the refiners, and on the
! downward trend, at least temporarily,
| in sugar prices on the other hand, the
| oil stocks rallied point TO three points
and the steels were steady and tirm
Changes In the rails were fractional,
| The foreign developments were dis
missed as market factor and there
was no change In the fundamental
credit situation. The United States
Steel Corporation reported an increase
Of 1851 tons in untitled tonnage, max
ing It stand on August 1 at 11.11S,46S
tons, but that showing reflected the
difficulties experienced in July in max
ing deliveries as result Of the trans
portatlon situation rather than because
OF large amount OF Incoming busi-
ness
The news that $500, 900 in gold would
arrive on the American liner New York
just about Offset the announcement that
the Federal Reserve Bank would with
draw tomorrow about S.. 900. 900 In
United States deposits Call money re-
rewed at per cent. and declined to s
per cent, owing to small demand and
fair supply. Bids Of per cent. failed
| to produce any offers of time money,
but several hundred thousand dollars
| was loaned for ninety days at ~ per
cent The credit situation continues Just
as tight as ever, any amounts released
| by transportation Improvement being
turned over to the interior for the crop
| harvesting movement. Domestically
the movement toward lower prices con-
tinues In certain lines and new ones
crop up daily. The domestic readjust-
ment now beginning to appear to its full
extent, the opinion is expressed in bank
| ing circles that the stock market, through
Its recent liquidation. has discounted
| the unfavorable developments and that
whenever an Improvement in credit con-
ditions is manifested a major construc-
tive development, added TO the strong
position Of railroads and steel compa-
MES, might get under way. In that
connection the intention OF France to
send S50,000.Oo0 In gold to this centre
should not be overlooked.
The foreign exchange market was
quiet, with sterling a firm feature and
at ono time rising to 1881 for de-
mand, up n cent. Francs rose from
low on Monday of 7.12 cents to a high
yesterday of 7,22 cents on the news that
adequate arrangements are being made
to meet the Anglo-French loan without
more than moderate recourse to the buy
ing Of dollars In Paris Both the cotton
and the grain markets were strong, the
latter's strength being due largely to
short covering, the report on the wheat
crop by the Government being below ex-
npcta tiona