The New York herald., 1920-01-22
BUSINESS AGAIN
EXTREMELY DULL
Foreign Exchange and Dis.
count Rate Are Excuses
for Selling.
LEATHER ISSUES NEW TARGET
Money Easier, with Many Brokers
Lending Balances at 6
Per Cent.

Trading in stocks yesterday was desul-
tory and almost entirely professional The
volume of business again was below the
half million share mark.
Speculators who had taken the lons SIDE
early. in the belief that the market would
have a raIlying tendency. reversed their
nositions in the late afternoon and sold
freely. Sharp recessions in the active Is
sues were the outcome. with the tone at
the close weak.
The break again demonstrated the lack
of buying power. Public confidence mas
heen shaken severely of late. The reNora-
five nrocess will occupy some time. Mean
while traders are merely dealing WIN eacn
other participating in a sort OF contract
swapping arrangement.
AS before said the majority OF the trad
ing element ranged itself on the ouyihs
side early, in the expectation OF ROBUST
rally following the strong close on Iues-
dav In such circumstances they pro-
ceeded TO rush up the prices OF Cruclole
Steel and of one or two other specialtles'
Finding however that their ef1orts IN
duced no other purchases, they turheo
around and sold. For their reversal OF po-
stion they employed Hs excuses the ,ui
ther weakness in foreign exchange ana an an
unfounded rumor that the Federal Reserve
Hoard would announce an increase of the
discount on commercial bills TO o1s per
cent after the close of trading. INDICATIONS
that efforts TO effect compromise On 'lis
neace treaty are not bringing resuits anu
the dolav in completing railroad legislation
also were advanced as further reasons ior
pessimism and for lower prices
leather issues were substituted TOT the
Sbarcs of moving picture and of temper
,nce beverage corporations as the prihci-
n,I target of the bears. The gossip re-
rardnr the leatf er issues Is that the n'tir
ufactlring companies nave laree ih.on-
tories Of leather bought at higher prices
and that they will be compelled TO charse
off considerable sums for deprecH'o"'
Also perhaps the advance OF the dis-
count "a 10 mnv affect them. Incidentally
4, uas suggested that the lifting OF the
blockade against Russia and the eXchahss
~ Rrssian goc Dis for fdodstuffs misht
mean the release of large quantities OF
Russian hides.
Oils and motors were heavy without oe-
yeloping sensational weakness importan,
short interests have covered and woulo
velcor,c further recovery in those groups
tha, they might put out fresh lines, put
tlisir covering operations have weakened
the technical position. Mexican fetroieun
Texas Company and othor nigh priced OILS
were inclined 10 sell off, while IN the low
rricoG issues MiGdlo States Oil was heaVy'
Shipping stocks. particularly lnterna-
tional Mercantile Marine common, again
were weak on. reiterated rumors of sur
plus OF bottoms in view of the decrease IN
foreign trade because OF the exchange
situation. 80
steel stocks we're firm until after publ.
cation Of the usual weekly trade journal
reports. when they were sold on the news
that actual foreign buying is railing OFT.
In the minds of the professional traders
who dominate the market that decrease
was held to offset the evidently large do
mestic business which the steel companies
are transactng.
In the late trading United States Steel
common, which had held firmly at lOo%.
began 10 sell off. carrying other steels off
with IT, Baldwin and Republic Steel were
under severe pressure at the end, Colorado
Fuel was exceptionally weak.
Amorg :he specialties United states
Rubber was a weak feature. selling down
about 8 points from the high level OF the
forenoon. United States Food Products,
Retail stores. Worthington Pump. Cuba
Cane Sugar and other active stocks closed
at net declines for the day.
fractions were strong on the belief that
the outlook for higher fares was brighter.
Money was easier. Standing loans were
renewed at 6 per cent, l per cent lower
than on Tuesday. That rate was not ex-
ceeded all day. Brokers are lending ball
anceS.