New-York tribune., 1920-01-01
Stock Market
Ends Year With
Prices Booming
High Money Rates Ignored
as Traders Bid Eagerly
for Stocks; Bond Deal
ings Set a New Record

Nineteen nineteen was ushered out
on the Stock Exchange with prices
booming in fashion reminiscent Of
the market which ended with the No
vember collapse For the third sue
cessve day call none, went to % per
cent, but even this high rate failed 10
make an impression on the optimism
which prevailed in trading circles.
Practically the whole list responded to
the demonstration of bullsh enthusi-
asm. with advances in the more active
issues ranging from point to more
than ten points.
1t was largely Especially" market.
with American Woolen holding the CEN
ter of the speculative stage. This
stock was bid up rapidly Under the
impetus of demand coming from specu-
lators who saw an opportunity to make
a profitable turn and from those who
had sold the stock short on the theory
that it had got out of line with values
At its peak the stock sold at 1872. up
1712 and despite heavy profit taking
the greater part of this gain was held
the final prices showing net advance
of 1012 points.
Republic Iron and Steel was another
exceedingly strong spot. 1t jumped to
1854 and closed at 1221a, with net
gain of GA points. This issue, as we'll
as sl the steel stocks, was helped by
Judge Garys statement that the out
look for the steel trade was excellent.
United States Steel common got above
lU7 for the first time in many weeks,
while Bethlehem Steel B also scored a
good advance. The copper, railroad,
equipment and motor groups were
strong.
Short covering-some of it appa-
rently to record losses on the short
slde-was an important source of sup
port, but there was undoubtedly good
demand for speculative long account.
A good many traders are arguing that
market which continuous high money
has failed to depress must advance as
soon as money becomes easier and are
making mitments now rather than
take a chance of Closing the market"
1t is not generally expected, however,
that money will become really easy for
at least week, while most bankers say
that no great improvement can be
looked for until the middle of the
month.
Fears that prices might go consider
ably higher before they could get their
orders in also induced good many Of
those who had sold stocks to record
losses for income tax purposes to re-
purchase yesterday. The volume of
such buying apparently was large
enough to fully offset belated sales
made with this object in mind. The
unusually large number of sales for
each we're for this account.
Profit taking sales checked the rise
/ in the last hour of trading, but the set
back was unimportant, as compared
with the advance which had been made
IN the earlier trading.
The pessimistic statement of Sir
Geo&e Paish concerning economic con-
ditions in Europe had little or no ef-
feet on the market, perhaps for the
~eason that his remarks were largely O.
mere repetition of previous utterances
along the same lines that have come
over the cables from time to time
The bond market was very active.
the turnover establishing a new record.
Prices were generally firmer Liberties
railroad bonds and the traction issues
all being in good demand.