Evening star., 1921-12-19
STOCKS NERVOUS;
RAILS IN REQUEST
Buyers Discriminating in Fa'
vor of Dividend Payers.
Some Profit-Taking.
by STUART p. WEST.

NEW YORK, December 19.-During
the greater part of the time today
trading on the stock exchange was
very much confused. Some stocks
were decidedly weak, while others
were just as distinctly strong.
1t was a question from one hour to
another whether 1t was the points of
weakness that were more influential
on the general list or the points of
strength.
The weakness in the Mexican oils,
american Sugar and one or two other
stocks induced profit taking early in
the day in last weeks industrial
favorites
The strength of the rails was a sus-
tanning feature, and so was the readi-
ness with which the equipment shares,
steel common and most of the Amer
lcan oils were taken.
British and French exchanges re-
neWed their advances. the former
crossing the $4.20 mark again and
.he latter once more getting through
the scent level. This seemed to ef-
iectually dispose of the notion held
IN some quarters that the violent up
turn OF week ago was due to the
covering of an over-extended short
account and would prove ephemeral.
Foreign Trade Fails OF.
soppieHehtdry uSureS on our
foreign commerce show that ex-
ports to Europe took a big drop in
Cctoper and, in fact, it was one of
the smallest months on record and in
way points to the most important
OF the various causes Of the recovery
In the exchanges
england and France. along with the
reSt OF western Europe, have been
aple to cut down their purchases 50
neaVily In the American market that
ihe international credit balance has
swung in their favor.
Inc offerings of commercial bills
have thereby become small as com
pared with what they were even two
months ago and the recent 30-cent ad-
vance IN sterling and 1R-cent rise
IN francs are primarily due to the
demand for remittances exceeding the
supply.
At the same time the renewal of the
upward movement in the foreign ex-
changes would scarcely have been
conceivable if there were anything
put confidence in the final adjustment
OF the German reparations problem
Likewise it fitted in logically with
the favorable forecast of tomorrow's S
vote In the Irish parliament and with
the acceptance by France of the ma
val ratio assigned u.
Atchlson was prompt to respond to
the suggestion of a dividend increase
The very first sale was 94, against
92a at the close Saturday. The meet
ing for dividend action is not far off
now. At 81 Atchison is much too high
for a per cent rail, and, therefore,
the presumption that it is headed for
a per cent distribution.
In this case it would be in the class
of Illinois Central and Norfolk and
western, selling around par.
Strength in Railroads.
ings for November will fall quite a
bit below those for October. there was
a good deal of fresh buying in the
railway list today. This buying was
carefully discriminating. Most of the
low-priced non-dividend payers were
left alone. The principal demand was
for the shares of the coal carrying
roads. some of the transcontinentals is
and New York Central. The run-up
in New York Central, the rally in
Pennsylvania above "a. and the tenn
porary squirt in a few other stocks
like Southern Pacific. Northern Pacific
and Canadian Pacific. was proba bly,
to be set down to short covering. The
short interest in the railway group
has been growing of late.
Weak Spots.
American Sugar common was the
weakest stock in the market and the
preferred broke with it. The street
feels that one of the conditions for
obtaining the new money will be that
the preferred dividend be suspended.
The selling in Mexican Petroleum
followed the citation published over
Sunday from the official organ of the
Standard Oil, the gist of which was
that the bulk of the Mexican light
oil producing fields would be ex-
hausted in the latter half of 1922 and
that the situation would be very bad
unless the Mexican government
changed its attitude so as to aid the
development of new territory.
The weakness in Mexican Petroleum
carried the Pan-Americans along with
it.
Ajax Rubber reflected more than it
did Saturday the announcement of the
new financial plan.