The New York herald., 1921-02-19
FINANCIAL NEWS
AND COMMENT
Fall of Atlantic Gulf UnSettles
Stock Market - Foreign
Exchange Again Off.

The stock market yesterday concerned
itself almost wholly with developments
and conjecture surrounding particular
industrial and shipping companies. The
trading atmosphere was of the sort in
which professional operations for the
short account thrive most vigorously:
in consequence. sharp reactions occurred
in one or two issues whose support from
the public has been slight during the
last two months. fall of about 10
points in Atlantic, Gulf and West Indies
shares was the outstanding incident of
the day. trading reaching such large
proportions as to disclose extensive bear
pressure after the movement got un-
der way. together with liquidation
which affected the preferred as we'll as
the Junior stock. The action of these
issues-the days decline left the COM
mon stock 10 points under the best
quotation of the year-suggested possi-
bic complications in the company's
business programme, which entails new
financing, but the larger text from
NiilClI utQuCliOHS may Dt uTdNH uedlS
with trade conditions. This shipping
and oil organization would be in a po-
sition peculiar to itself If 1t could es-
cape from the altered aspects of world
commerce which have slowed down the
activities of ocean transportation and
the consumption of fuel.
Other weak shares. Including Ajax
Rubber, American International Cor
poration. Marine preferred and Royal
Dutch. suffered much less than Atlantic,
Gulf and West Indies Evidence that
bear drives were instrumental in under
mining certain issues was presented in
the lack of consistence in the price
movement. While some stocks in one
department, as oil, sugar and steel. were
receding others moved forward or dis
played steady tone 1t would be pos
sible to describe the days processes as
additional events in the scheme of re-
adjustment which began last Novem-
Der and has seemingly been completed
in the cases of many shares whose de-
clines have been greatest The stocks
Of numerous companies have passed
from the shadow of Improbable manu-
featuring undertakings in the second
half of 1920: others are still rejecting
information which appears from time
to time about past developments. and
advantage of It Norfolk and Western
was the strongest member of the rail-
road group. owing to expectation of de-
velopments within that company, but
the rails as a whole were unsettled.
Call money got down from Z TO 6
per cent and easement was further
indicated by moderate loans In the out
side market at 5ia per cent. At the
same time the bid quotation for time
loans was lowered a half per cent, the
shorter maturities. secured by mixed
collateral. being quoted at 6A per
cent This was in line with the pre-
ceding days shading of the rate on
ninety day renewals. The lowering of
money quotations appeared to have in
fiuence in a late recovery of stocks, but
the movement nau f1OTe QHtCl tpphCb-
ton to bonds. A permanent tendency
toward easier money would undoubtedly
aid in the distribution of new issues
now before the public and would tend
to bring forward new financing known
to be in the making, waiting for an
unhampered market.
The markets were all fairly active.
although relation between them was
as difficult to determine as earlier In
the week. when the price tendency was
upward The foreign exchanges receded
as previous engagements for the rise
were undone. A 2 cent fal of sterling
brought the rate back to point half
way between the quotation OF ten days
ago and this weeks best price, the
final sight rate being sS.S6h. With the
exception of Swiss francs, the quota
tions on western European centres re-
ceded, but central European rates were
steady. Wheat futures were churned
about violently. as speculation ebbed and
flowed about the green bug scare as
a pivot. the net decline being three
quarters Of a cent to IL cents a bushel
rnttor uaa haaVy