Evening public ledger. [volume] (Philadelphia [Pa.]) 1914-1942, 1920-10-14
(N. Y. tine)
GOSSIP OF
THE STREET

The call money rate in New York
came in for n certain amount OF dis
cussion among those who stayed late IN
the board rooms after the close OF the
market yesterday, For the first time
in n considerable period call lo2ns were
renewed ut s per cent. Shortly after
midday the loaning rate was advancei
to 0 per cent and the closing rate was
10 per cent. The development was
scarcely surprising, in view OF the eX-
tcnsivc financing Of the week.
1t was insisted that this condition
of high money with an almost idle stock
market was extremely unusual i'll the
records for many years, and caused
good deal of con lecture as to the charac-
ter of the buying, which has held the
market r,od,.u a. Y irru with money
rates so high. Some interests insisted
that the buying was generally covering
ot shorts nmi 'nit 'n"NnG la'
tcrcsts or others of a similar class were
sellers, but these statements were con-
tradicted in other quarters. Ihere were
many who took the ground that the ac-
ton of the market. with the money ten
sion taken into consideration, Indicated
q condition of pronounced streng'n' anu
that higher prices must be looked tor.
ally sncakine, was considered due more
to technical considerations than any
thing else. In other words, stocks OF
n number of companies that have been
prominent in advances. including the
oil shares, principally Mexican pctro-.
lrum. Pan American. Royal Dutch and
others, the steel stocks, including Cru
chile. Lackawanna Steel. Bethlehem
Steel B and others. the locomotive is
mos and others on large earnings and
n most encouraging outlook has been
temporarily "overbullcd. At the
present levels. with any reasonable
facilities in the money market. there Is
expected to be repurchase OF speculative
investment stocks.
Realjustment in Steel Prices
The steel industry is still preoccu-
picd by the expectation of lower prices.
So far. according to the Iron Age, the
rnnI iustment Is 'slOw paced. irregular
and confusing Only the smaller
nroducers, to date. have made pro-
nounced price reductions. The larger
indpnendents are about holding their
own Steel ingot production in Sep
tember was about the same as that In
August. states that journal. the entire
output for the month being 3.524,0OO
tons. The reselling Of pig iron has as
sumed important promotions ana dom
mates the markets in Leading ccnters.
The furnaces are doing very little buy
irg. 1t il opined that some blast FUR
naces will stop if pig iron prices go
lower without an accompanying decline
in coke.
Iehigh Valleys Earnings
The September earnings Of the I.e-
high Valley Railroad will SHOW, it is
said. q decided improvement over the
month Of August. The true measure
OF the rate increase however, cannot be
taken before earnings for October are
available, according to l.. f, Loomis,
president Of the company.
Many of the new schedules were not
working during the greater part of last
month on Lehigh Valley, Mr.. l.oOmis
said. and few will still BE- withheld
during a part of October. Enough are
now applied to Justify considering
| October results as fair example OF
what NAV be expected under the new
! conditions.
The strike in the anthracite fields, and
consequent decrease In anthracite pro-
duction also make September earnings
nm unfair test of new rates. The move
ment of anthracite was again practi-
rally normal at the beginning OF
/ October. Mr.. LoomiS stated he did not
believe that q full 40 per cent increase
in gross would be received, as there
we're A few commodities which could not
be included in the new schedule.
Depression In Copper Stocks
Depression in the group of copper
| stocks Yesterday was credited to reports
| that producers were offering the refined
metal Mt fraction under seventeen
cents. The weakness was further ex-
plained by the Offering of $50 900, ,000
Anaconda Copper I per cent secured
gold notes at 9Gaa which were not taken
IN as quickly as some other recent
offerings.
The same thing may be said of the
40 600 900 Sears ROebuck 7 per cent
short term notes, the books of which
were opened yesterday, Coupled with
the financial operations to be put
through tomorrow comprising payment
of the Anglo-FrenCh loan. Liberty Bond
coupons and al offering of 500, 900. .O0(
new treasury certificates Of indebted.
ness. these offerings served as a distinct
dampener on speculative initiative ap1