Evening star., 1921-09-07
FAVORS
UPWARD TENDENCY
BL STUART p. WEST.


ward movement was resumed stimuli
taneously today in stocks. bonds, cot
ton. grain and foreign exchange. The
recovery in sterling and continental
rates had, of course, no connection
with the other markets.
Whatever caused the sudden offer
ings of French and Italian bills yes
terday, the supply was abruptly with
drawn, and this was the most imme-
date factor.
There was also talk that as Bel
gfum will get the bulk Of the billion
mrak German indemnity payment 1t
Will soon be using some of the pro-
ceeds to reduce its exterior debts.
In this event. the government of
brussels will be in the market be-
purchaser of English, French and
American exchange.
There was more or. less common
impulse behind the rise in the COM
modttfes markets and on the stock ex-
change.
This was the belief that the abnor-
NAL situation in the industries of the
country requires an abnormal cure.
and that this will be found in the
curtailment of production which is
now going on in all directions.
1t Is better to have cotton short
age than 1t is to have a normal har-
vest. If that shortage means good
prices which an average output
would not-prices which will allow
the farmer to pay of his debts and
start buying again.
The same reasoning applies to
wheat which again today showed that
it was powerfully under the influence
of the proceedings in the cotton mar
ket. And, extended to the stock mar
ket, it presents the most logical ex-
PLANTATION for the advance of the last
week. namely. the anticipation that
out of the recovery in farm prices will
grow such an increased demand for
goods, as will eventually lead to
general business revival.
Short Interest Eliminated.
The share list was called upon to show
what it could do without the aid Of a.
short interest in retreat The remainder
If the discounted bear" contingent had
been eliminated yesterday.
It was a question as business opened
this morning whether enough new buy
ing would come in to support the higher
price level or whether prices would
have to come down before outside trad
ers and investors were attracted. The
answer to this question came very
quickly. What little hesitation had ap-
peared in the closing dealings yesterday
was no longer visible.
Prices started forward again. after
the usual fashion, one group at a time.
until nearly everything Of Importance
was involved. Railway shares went
ahead with the rest, especially stocks
of the Hill roads and Of lines traversing
the cotton states.
But the industrials were the most
favored. particularly the oils. The Curl
prospects of increasing competition
through resumption of Mexican oil
shipments, shares Of American oil COM
panies were in demand and moved Tor
ward in the wake of the sharp upturn
in the Mexican stocks.
Declaration Of the regular dividend on
WESTINGHOUSE Electric common had been
fully reckoned upon and consequently
had no effect Apon the stock. 1t did
bring a little buying, however. into
Worthingtop Pump common, which often
moves with the electric stocks. and
to ere has been a difference tof opinion
right along as to whether Worthington
directors would pass the dividend at
this meeting or would decide to take
further chance for another quarter. in
the hope of better business developing.
Worthington preferred dividends have
been earned, very little demand has
been shown for the common stock.
Associated Dry Goods earnings for
| the SIX OI tHl6 year are
estimated to be about 75 percent of
those for the same period last year.
AS the company does not make quar-
terly statements. the following facts
regarding the position are Interesting:
The profits for the half year are fig
ured at 81 per share on the 13s.187
shares of common stock. which COM
pares with $4.11 earned for the whole
Of 1920.
The volume of sales by Associated
Dry Goods is running 5 per cent larger
than in the first half Of 1920, but fig-
ured in dollars. the gross is per cent
less. 1t is said by those close to the
company that should the sales o1
Lord & Taylor, of which Associated
Dry Goods owns 80 per cent of the
stock. be figured in the latter's profits
at this time. it would mean another
3h per cent per share for Dry Goods
common. These figures show that the
ctdared safe