Evening public ledger. [volume] (Philadelphia [Pa.]) 1914-1942, 1921-06-01
SAME |NDO[ENT
DRIFT OF MARKET
Different Construction Placed
on Wage Ruling Of Rail-
way Labor Board

New York, June 1.-The big piece Of
news in today's stock market of course
was the railroad wage reduction. Sew
eral different constructions of the eff
fects of the ruling by the Railway
Labor Board were made in the market
world. AT first glance the reduction of
approximately II per cent was quite
generally considered disappointing
mainly because some of the railroad
executives said so. Studied a bit more
closely 1t was found to be much bet
ter than at first supposed because It
was figured the reduction would save
amount not to be sneezed at just at this
time when all hands are pulling hard
to make both ends meet.
When examined still more closely an
even better Interpretation was posi-
| BILE. That is to say, those who pro-
fesSed disappointment because II per
cent was sranted when 20 per cent was
asked. '""I .Lvked the fact that IL the
full reQrssteo reduction had been made
all at once. the result might have been
series Of strikes or threats of strikes.
So, after celebrating over the matter
| for about an hour, il was generally con-
! ceded It was wiser to let the wages
/ down gradually. Another strong point
| overlooked was that the saving of ap-
proximately S4O0, 900, 900 is figured only
| for the 104 roads, which had submitted
their disputes to the Railway Wage
Board. Therefore, 1t is safe to assume
when the remaining requests are settled
1t will put the roads on their feet at
once.
As a market factor, however. the In
cident fell as fiat as a pancake in a
cheap hash house. 1t did serve to check
a reactionsry turn which started at the
opening, or was continued from last
night, but after producing a half heart
ed sort of rally the market and trad
ing assumed the same indolent charac-
ter which marked yesterdays opera
tions. Altogether the days market was
to large extent almost a complete rep
lica Of Yesterdays colorless production. |
Although stocks yielded rather easily |
when subjected to professional pressure, |
there was continued conspicuous alb
sence of real liquidation and persistent |
selling Selling by the traders. as a |
matter Of fact, was noticeably cautious,
indicating an approaching overcrowded |
condition on the short side. At the |
same time the entire list disclosed feeble |
rallying power. or at least ability to |
sustain the recovery movement.
Activity on either side was retarded |
by the continued frmness of the money |
market. Brokers reported brisk de-
mand for call money at per cent, |
while the supply was anything but |
plentiful, and 1t was rather surprising |
higher rates were not exacted. On the |
other hand, exchange on London rose |
substantially over yesterdays final quo
tations. Continued weakness Of the |
Liberty 31a per cent bonds, which es-
tablished a new minimum at n frac-
tion under 81. was also depressing. The |
price variations, however, much the |
same as in the previous sessions, were
governed entirely by the shifting oper-
ations of the professional traders
The entire list turned reactionary i'm
medately following the opening. Ship |
pings, sugars and chemicals were added |
to the long list Of heavy issues during |
the morning. Several of the minor
rails also registered substantial losses. |
but Coalers and Pacitcs were fairly |
firm. Shorts were aided in their opera
tions by further price cutting in the !
motor and oil industries Sears Roe
buck, American Wooden. National |
Enameling and United Drug represent
ed the reactionary specialties.
European oils, reversing their recent |
course. showed fair support. Steels and |
tobaccos led an irregular rally before |
noon. Passing of the dividend on South |
Porto Rico Sugar eXerted no adverse |
effect, having been discounted in yes
terday's severe decline. Motors were |
under increased pressure. however. |
Pierce Arrow preferred falling almost |
D points to a new low.