Indiana daily times. [volume] (Indianapolis [Ind.]) 1914-1922, 1921-08-25
FIRMNESS NOT
IN EVIDENCE IN
STOCK MARKET
Pressure Steadily EXerted and
Selling Heavy in Some
Lines.
STEEL MORE HOPEFUL

STEEL MORE HOPEFUL
Special TO Indiana Daily Times
and Philadelphia Public Ledger.
By MONITOR.
NEW YORK, Aug. 25.-Wednesday'
market showed little or no relaxation in
tie pressure that has been steadily ex
erted of late. Stocks were for sale on
rallies and declines, and while the session
produced few examples Of outstanding
Weakness the instances Of firmness were
stin less numerous. Heavy selling took
place in United Drug and international
Paper, while only a moderate volume of
offerings was required to cause further
declines in National Lead and Chandler
Motors.
Perhaps the most discOuraging feature
was the continual dribble of selling in
the rails. 1t had been hoped the week
would bring good news for this group.
The July earnings were expected to make
a good showing. and they have, despite
the moderate gross due to general bust
ness conditions. There also was the eX-
pectation Of adoption by Congress Of the
railroad refunding bill, which would
doubIy strengthen the position Of the car
riers. Wall Street hears, however, that
some Of the senatorial obstructionists
are determined the bill under no circum-
stances shall become 4 law at this session.
and there are now some doubts as to Its
ultimate enactment Legislative efforts
seemed to be concentrated on the pass
age Of the sO-caIled agricultural relief
measure calling for the use OF $l,OO,OO0,-
OOO from the War Finance Corporation.
Dfscouragement over the business out
look and particularly the earning fu-
ture of industrial companies has pro-
noted selling for both long and short
accounts. This sense of gloom may be
modified. but it is not dispelled, by the
somewhat more hopeful tone of the re-
view of the steel situation in the Iron
Age this week and the fact that call
money remains at 5i3 per cent in plen-
tifuI supply, with numerous loans at
per cent, outside the exchlnge.-Copy-
right, 1921, by Public Ledger Company.
WALL STREET GOSSIP By MONITOR.
For many years there has existed in
Wall street a type of loan which is made
only on the highest grade Of securities,
usually bonds. and TO houses Of the
highest standing. While nOminally call
loans. these advances are made with the
understanding that they will not be dis
turbed. 4 new policy has been inaugu-
rated by the banks here which has re-
suited in some of the selling that has
occurred in stocks. In one instance a
loan of this kind was called on fifteen
minutes notice. This class of loan. il
is rum0red. is TO be wholly eliminated.
and within the next thirty DAYS a large
number of them viii be called for pay
ment.
feature in connection with the loan
market which is exercising its effect di-
re.tiy ON low priced stocks is the number
fused as collateral in mixed loans. Evil
dence of selling in many OF this type
Of stock has been apparent recently. The
list Of such issues is 4 long one. and
is being increased as prices decline.
An accumulation Of selling orders in
American Steel Foundry was responsible
fer decline IF more than 1 per cent ~
the opening. Further selling developed
on reports that the present - per cert
dividend is in danger There is excel
lent reason To believe the payment viii
be authorized at the meeting to be hell
within ten d2ys.
American International declined 10
new low for the present movement. Er
cry time selling breaks out in any took
Of which American International :
known T. be a large holder A l. Z. de
clined. This has been true all through
the decline i'm L. ;. Rubber. and today,
when International Mercantile Marine
dropped 70 81 International American
sold OF The latter company holds ap
proximately 10000 shares Of 1. NJ. "
stock,
Central Leather has been sold steadily
by out town interests as well as by
local investors and professional operators.
There has been talk q a reeeivership aud
Of REORGANIZATION Of the company with
s. assessment. on the highest author
ity IL may be said there is no possibility
81 either one. The company today Is i'm
measurably stronger than II has been
since the first OF the year. There is ex-
cellent buying Of both common and pre-
ferred stock on scale down. and Il
would surprise no one intimately IA
miliar with the affairs Of the company il
the statement for the third quarter
ers Of the stock.
Chandler Motors made a new low rec
ord on liquidation and selling by pro-
fesionals- Firms who are active in this
stock make no attempt TO predict a bot
tom. but il is known buying for interests
identified with the company is in prog
ress. There is excellent reason to believe
the present 3 per cent dividend viii be
maintained when the directors meet. The
regular date is Labor Day, but the meet
ing possibly will be held within a day or
two thereafter.
General Motors was pressed for sale IN
large blocks, one lot of 10000 shares
changing hands at 9i2. Ever since the
Durant holdings were taken over last
December. there has been an ample
supply Of stock in the market to meet
all bids. The unwieldy supply Of this
stock makes it unattractive from the
traders viewpoint.
United Drug. which was a feature of
the market several weeks ago. when a
tr5-steeship was named for Louis X
Liggett, came into prominence again
when a five point drop was registered
in the first few minutes. The selling
was based on report that the present
S per cent dividend is TO be cut in
half.
Three months ago any one who spoke
of salt water in the Mexican oil fields
was branded as n propaganda against
Mexican oil stocks Now it is officially
field have gone TO water in the last week
A 10000 barrel well of the Tidal Mexico
Company showed - per cent water Mon
day. One OF the large wells Of the At
lantic LObOs Company has gone wholly
TO water. while third well has developed
C per cent of salt water.
The Standard Oil Company of Indiana,
announced n price reduction of l cent a
gallon for gasoline in the Chicago district
TO IL cents wholesale. This might have
been construed as 4 constructive develop
ment for the motor stocks had not the
Stevens bureau announced reduction
of from 500 to 81 200 for their car The
continued weakness of the Pierce Arrow
issues also mitigated against the motor
shares.