The Washington herald., 1920-10-09
SHORTS CAUSE
HEAVY MARKET.
Professionals, in An6eipshos of
Poor Bank Statement
Sell Freely.
NEW LOW RECORDS MADE
Texas Pacific Hammered Into New
Low Territoy-lnvineibIe
CoIlapsss.
NEW LOW RECORDS MADE

Ne" 1ork, OCT. e.-ln anticipation
Of a poor bank statement Saturday,
professional traders today sold short
freely with the result that the mar
ket was heavy nearly the entire
session. In the early part Of the
day considerable strength was dis
played by the high-grsde railroads
but from the beginning Of the Ies-
sion there were weak Epots here
and there. InvincibIe OIL was raided
TO a new low record. then American
Tobacco broke ? points Savage
Arms went down sharply and finally
Texas and Pacific moved into new
low territory. There was no re
covery Of importance in any Of
these.
Money situation.
The government has drawn about
100000 from the banks this week
! but more than that has come in
! from abroad in gold. The money
situation is not bad at the moment.
Z Loans were renewed at per cent
today and s per cent was the highest
rate recorded. II is generally be
.
/ Company are lending on call a great
many millions that will be utilized
next week in settling for the Anglo
, French bonds which mature on the
18th. Brokers have received intima-
tions that large loans will be called
a temporary money hurry is there
fore anticipated and the shorts sold
because Of that Should the bank
statement prove better than eN-
pected and should money remain
easy next week there will be
great deal OF excitement amons
professionals.
Heading.
Announcement by the court that
Reading must file its dissolution
plan within ninety days OF the
court would formulate a plan had
no effect on the stock market be
cause il had been expected. Il Is
generally understood that = plan
has already been agreed to by the
leading interests OF Reading two OF
which are the Baltimore and Ohio
and the New York Central
New York Central went 10 q new
high record for the movement to-
day. being the only important STOCK
Z
Of the rails did anything Of i'm
portance in either direction. most
Of the activity Of the day being con
fined to the industrisIs-
After Iuvincibie OIL had been raid
ed an oficial statement was issued
denying that any OF the wells had
failed or had gone TO salt watvr.
This is the second time Invincible
has collapsed, and its decline has
probably been due in both instance
|. to the over-extended condition ot
certain interests identified with the
, property.
, Report that the Southern Pacinc
, would begin in the near future tu
: extend its lines TO Mexico caused
. that stock TO remain steady. and
/ in the morning il had some aGgres
! sive strength. The Street alSn
) heard that the Mexican Eoverumen
might ask the Southern Pacific 10
participate in the management %
the National Railways OF Mexico. but
the report could not be confirmed.
The buying Of Mexican Petroleum
stock was based largely on the faCt
> that the company has a contra act
: for supplying fuel oil TO the Men
: ican railroads and il they are io
: be rehabilitated it will profit nat
= urally.
q. For the break in the America n
= tobacco stocks no explanation Wa
obtainable. but the Street believed
that it had something TO do with
. the return OF Thomas F. Ryan from
/, France. where he went, prcsUmsbl =
in the interests Of the United Re.
= tail Stores Company. which ha'
= been endeavorinE TO be appoInt"r
: retail agents for tobacco through
out France