The Washington herald., 1921-07-06

NEW YORK. July s-If II had
not been for the fact that the Aexi-
can oil stocks suffered another sink
ing spell today's stock market ses-
sion would have been the dullest In
weeks. 1t was actually the duiiest
in point of aggregate TRANSACTIONS.
The general list moved frregui2riy
at all times when there was any
movement to mention. the range on
industrials. being q point or SO above
or below the Friday closing, Rails
averaged for the most part frac-
tionaIly lower and dull. Only one
class of stocks declined as q group
and failed to demonstrate much
power of recovery. That was the
steel group, Influenced by the lower
price list announced by the Bethle-
hem Steel Company. American su-
gar, Pullman Company and few
other special issues were heavy
throughout. Royal Dutch was one
Of the strong features.
while the Mexican Oils were de-
clining and the shares Of American
companies were barely holding their
own, q movement to accumulate
Royal Dutch was in progress. This
stock advanced more than points
before the demand was filled. Such
strength gave rise to the usual num-
Der of rumors. One of them was to
the effect that the Royal Dutch in
terests were acquiring Union Oil
stock. The story IN not exactly new,
having been used several weeks ago
TO explain a similar rise in Royal
Dutch. Union Oil did not act as II
It was being bought up by any one.
The renewal Of call loans again
at 6 per cent had no bearing on the
stock market. Scarcely any one be-
lieved that the S per cent rate would
be restored, but many were prepared
to pay a rate higher than per cent,
especially in view of the large re-
duction in the clearing house banks
surplus reserves. o.
All the Steel stocks were under
heavy selling pressure in the early
trading today. following publication
of a completely revised list of prices
by the Bethlehem Steel Company.
Crucible stock declined even more
than Bethlehem class B, losing more
than points before IL found sup
port. in common with the whole
group, around the end Of the second
hour. Heaviness in the Steel stocks
recalls the speculative community's
attitude toward them on the occa-
sion of the Steel Corporations price
reduction on April IL. The Street
was not then as bearish on a price,
cut announcement as IL was today.
and the Steeis went through April
IL with only fractional net losses
In April the automobile business was
showing plain signs of a" recovery.
which was expected to endure for the
remainder of the year, but which
later proved to be temporary in all
but a few cases.
report that oil production In the
Tampfco region had been suspended
on account of the increase in the
export tax caused renewed selling
of Mexican Petroleum and Pan
American Immediately after the
opening today. Mexican opened with
net loss of almost a point at esh,
and then went into a decline. which
did not end until a price of s2L
had been reached. The previous low
price for this year was s6. Not all
this loss was due to bear raidins.
The snort faction was principally
responsible for selling the stock
down below s6. They started out
with the purpose of accomplishing
that feat. feeling confident that once
the stock went below its previous
low the market would be supplied
with stock resulting from the ex-
planation of stop-loss orders. The