New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1920-08-13
Stock Market Again
Shows Resistance
To Bear Pressure
Some Brokers Believe That
Bottom Prices Have
Been Reached; Steady
Tone Follows Selling

Ever since tho market turned up
ward on Monday afternoon the domiha-
ton of the bear element has been
effectively challenged. After a fort
night of drastic breaks in the indus
trial list, security prices have shown a
disposition either to rise on favorable
news or turn dull when the outside in
fiuences are less clearly constructive.
In view of these conditions some bro
kers have been sufficiently lacking in
caution to suggest that bottom had
been touched. On the basis of the
known facts, 1t seems more accurate to
assert that new stratum has been
reached in the structure Of security
prices and. that stocks all week have
resisted attempts to drive them still
lower.
At the opening of trading yesterday
so-called professional operators sought
to get the "feel" of the market by SELL
ing short, presumably on the pretext
General Wrangel and the South Rus
slams indicated a serious rift between
France and Great Britain. Whatever
the political significance of Frances
decision may be, it was impotent yes
terday as depressing market infu-
ence, as the operators soon learned. 1t
Is true that some issues went off from
one to two points early in the session,
but they recovered the lost ground
rapidly. After the ability of the mar
ket to resist selling pressure was ap-
preciated, the volume of activity
around the trading posts diminished
t,,f lox
news for substantial upward revision
of prices.
The price trend at the close was
irregular and registered no emphatic
opinion regarding conditions in the
outside world. The oil group showed
some advances. but the equipments
were unchanged. There was little buy
ing of rails, but the tone in that group
was firm.
In the money market conditions were
similar to those which prevailed for
renewed at 7 per cent and later in the
day funds were lent at 6 per cent. In
the commodity markets wheat and corn
were strong, but cotton was slightly
easier.
Sterling exchange was more ready
to respond to the unfavorable interpre-
tation of the European news than the
security mart. However, the move
ments of sterling are due at present
largely to technical factors. The rise
on Wednesday brought out large offer
ings Of bills against future shipments
of cotton and grain abroad. These
bills have been pressing against the
market for some weeks and the ten
dency to sell is stimulated by rise in
the dollar value of pounds. The Con-
tinental exchanges followed the lead
of sterling, and Italian lire We're
especially weak.
Bonds revealed steady tone yestcr-
day. j. p. Morgan G. Co., il is expected,
will next week announce the terms of
a $15,000,000 refunding operation of
the New York Central lines, and then
interest in the investment market will
be focused on the negotiations Of NJ
Parmentier, special representative of
the Minister of Finance of France, who
will arrive here over the week end,
with New York bankers regarding q
loan to his country. Bankers Lere pre-
dict that France will be able to arrange
a loan with which to pay off part-$l5O,-
100000 or less--of its obligation at the
time Of the Anglo-Frcnch maturity in
October, provided it is willing to pay
the price. In some quarters it is sug-
gested that France may have to give
security for new loan, but elsewhere
emphatic dissent is expressed to this
opinion.