New-York tribune., 1920-06-11
Stocks Irregular
AS Interest Lags;
Money at II p. C.
Street Waits on Chicago and
the Market Drifts; Some
Strong Spots; Liberty
Bonds Decline

Wail SCTeeC SHOWeU HO olSpOSitAoA
yesterday to be reused from its
lethargy and the stock market moved
along quietly on a fairly even keel
without getting anywhere in particular.
was a repetition Of recently preceding
days. Even the news from Chicago
that the convention managers had ar
rived at compromise on the peace
treaty plank Of the platform failed to
evoke any particular enthusiasm. At
least it was not discernible in the
listless movement in speculative Sc
curity prices. Still the indications that
harmony will prevail at the convention
and the danger of bolt has apparently
been eliminated caused more OF less
satisfaction in important financial
quarters.
Whether we'll founded or not, the
prevailing opinion in the Street Is that
the nomination of a satisfactory Re-
publican standard bearer at Chicago
will supply the basis for important
constructive operations in speculative
stocks. For this reason the stock mar
ket following is waiting anxiously for
the decision which it is hoped will be
arrived at before the end of the cur
rent week. Stocks certainly have acted
for several days as if the market
irregularity the tone has held steady,
and at times there has been a quiet
display of strength. The fact that the
market has acted in this manner even
in the face of high call money rates
has led many traders to favor the con-
structive side, at least temporarily.
Gossip in the Street credits one of the
leading financial interests with having
shifted to the buying side of the mar
ket early in the week
There were strong spots in the stock
market yesterday. On the whole the
equipment issues stood out as features,
and Baldwin Locomotive, which has
been gradually working higher for sew
eral days as result of pool, manipula-
ton, moved up another peg. In the
oils Royal Dutch and Mexican issues
were leaders for time. In the case
of Royay Dutch the strength of the
stock seemed to be based upon Loden
advices to the effect that the company
has entered into working arrange
ment with the British government for
exploitation of the Mesopotamian terri
tory The Barrett Company and Ma
reiteration Of reports Of an impending
merger, and these~stocks held their
gains to the close. In the final half
hour Vanadium Steel came forward
with rush. Investment railway
shares were irregular, and there was
continued pressure against Northern
Pacific and Great Northern as a re-
suit of the reduction in the Chicago &
North w Western dividends.
In the investment market the weak
ness of Liberty Loan and Victory note
issues and the active trading in Anglo
French 5s were the principal features.
The decline in the United States gov
ernment bonds surprised no one. 1t
was rather to be expected, in view of
the marking up of the interest rate on
the new issues of Treasury certificates
of indebtedness. The strength of the
Anglo-French bonds was due to pur-
chases for British government account
| in anticipation of the maturity of the
loan next October. Incidentally, the
weekly statement of the Bank of Eng
land yesterday disclosing another in.
crease of more than $10,000,00O in gold
held by the bank, suggested perhaps
the building UP of reserves preparatory
to further large shipments to New
York in connection with the Anglo
French maturity.
Borrowers of call money paid as high
as ~ per cent to cover their needs
yesterday. While renewals were made
at 7 per cent the rate worked rapidly
upward until in the early afternoon
the high was reached. At IL per cent
call money was at the highest level in
several weeks. The present stringency
is due mainly to increased temporary
strain at this center as the esult of 8
combination of factors, among them
the approaching income tax payments
and the heavy end of the half-year