The New York herald. [volume] (New York, N.Y.) 1920-1924, 1921-08-24
FINANCIAL NEWS
AND COMMENT
Stock Prices Close Lower After
Early Gain-Union Pacific's
Showing Good.


came into tho stock market in consid-
cradle volume yesterday. FASTENED by
developments having application TO
particular issues. But after that buy
ing had been completed in the first hour
prices became reaotionary and closed
lower than they did on Monday. Tho
pending consultation between American
petroleum producers and Mexican Gov
eminent officials, announced overnight.
naturally had reflection in Mexican Pc
troleum shares. which advanced nearly
4 points during the morning. The rail-
road group was helped for a time by the
passage of the Winslow-Townsend fund
ing bill in the House and there was en-
enlargement for the carriers IN the July
earnings OF tho Union Pacific But fac
tors of constructive influence usually
have little lasting weight when the pub
lie is not in a mood TO buy. and It was
clear all the way along yesterday that
professional spectators were practical
~ alone In the market. Several indus
trial stocks touched new low points for
the year before the end of the session.
Deficits reported by several porphyry
copper mining companies for the second
quarter. although not surprising in the
known situation OF the industry, made
easier the operations of traders work.
ing for the fall of quotations.
INF Dor
City Southern, which was the first to
report on July results. showed that re-
duced wages had a part in cutting down
operating costs. Although the months
gross receipts OF s14.049.5o0 were ST.
$4,000 less than they were in July
1920. the balance, after paying expenses
and providing for taxes. was s2,413,00O.
against s61,427 in July. 1920. and net
operating income of s2.102.156 was ST.
S51.546 larger. These figures. continu-
ing the record supplied In June that the
railroads are coming along In their eff
fort to control operating expenses, give
promise of sustained Improvement in net
revenue as the autumn season of en-
larged traffic movement progresses.
Under normal market conditions 1t
seems that the outlook for the carriers
would have been reflected before now In
railway stocks, especially az the action
OF the House in respect to the funding
bill suggests that the Senate. also, will
approve in due course measure which
has the endorsement of the Administra-
tion. But the stock market has dis
played so far this month no sign of re-
structive character. which may mean
that buyers for the longer future are
inclined to walt for general improve
ment in business before accommodating
shares to hold.
The commodities markets have proved
more sensitive to legislation aimed to
aid producers than has the stock mar
llet. Wheat prices advanced cent a
bushel in Chicago. speculation receiving
stinulant from the passage OF the act
which authorizes the use Of $1,000. 0o0.-
! 600 to assist In marketing domestic
crops abroad. Cotton was bid upward
for time. although sufficient realizing
came into the market in the afternoon
to carry quotations down about %
points from their best levels. IL Is the
time OF year when reports about cotton
crop conditions afford the basis for wide
speculative price movements. But the
weight OF large carryover seems TO
react against private reports. which in
dictate a small yield Such reports yes
tarday estimated the probable nutturn
between 100000 and 100000 bales.
one survey putting the percentage posi-
tion at no more than 511a per cent, of
normal.
The foreign exchanges disclosed no
new features. For nearly a week the
market has been free OF operations
hinged on German preparations to meet
this months reparations' payment and
the. impression has gained ground that
the transaction, or what remains of 1t
to be completed, has been provided for.
| Sterling gained cent to s3.66h.
y