Evening star., 1921-08-22
MANY new L0WS|N
INDUSTRIAL LIST

as today's stock exchange movement
expressed any dominant idea. it ex-
pressed the feeling of skepticism IN
speculative circles as to the pros
poets of any substantial Improvement
mainder of the year.
Any outburst of buying in an i'm
porta mt trade quarter or aLy sign of
an advancing tendency in trade prices
would quickly bring reversal OF
judgment
The failure of Trippe & Co. was
announced.
The way the average professional
regards the immediate market is that
Congress is likely to recess without
doing anything on the railway bill,
and that this postponed for another
, month. and probably quite a bit long
er. the development which holds most
promise for starting recovery in
the steel and allied industries. There
is not. in consequence. apt to be dur
ing this interval any piece of good
news" startling enough to turn the
market, and the speculative element
is basing it's main calculations
upon this.
Bears More Aggressive.
What difference there was between
trading today and that of previous
cline sought to enlarge their scope
and to take In more stocks.
The Steels. which had stood up so
well last week and the week before.
finally began to yield. although they
did not go down as readily as many
other issues.
Pierce Arrow stocks made new
lows, and there was continuous SELL
ing of other motors. with insistence
upon the fact that for most of these
| companies the second half-year's bust
ness will probably fall off consid-
| erably from that of the fret six
months
Harvester broke again. and Sears
Roebuck was very weak. on account
| of the slowness with which the latest
| figures have shown the company to
be disposing of it's inventory.
Sugar Cut Made.
A cut in refined sugar by one of
| the large companies started selling
of American sugar stock, which car
ried 1t to a new low.
! Anticipation of the passing of the
! dividend was behind the collapse of
Pierce Oil preferred.
Cotton options made quick response
| to unfavorable crop reports from
Texas. On the other hand. wheat.
after starting the day higher. broke
on Indications that the movement
from the Canadian wheat fields will
be earlier than usual.
Berlin dispatches telling of the
great rush to convert marks into
other currencies, or to use them for
| the purchase of securities. had their
effect in the exchange market. where
German bills We're offered Other ex-
| change weak.
Sears-Roebuck WenkIinE.
The break in Sears Roebuck to
; new low prices reflected disappoint-
ment because the company's business
| has not mended, and because the
greatly extended position. as it stood
at the beginning of the year. has not
| improved to anything like the extent
! which statements by officials had led
| the public to expect. At the close
of the first half year inventories still
amounted to $50. 100000 that is. only
5000. 900 down from the huge total
| of January l. Bank loans, which
| were s44.560.00O at the end of 1920.
were only off $14.560.000 on June 80.
| Sears Roebuck sales decreased ST
| 50O,O 900 in July. although the COM
parison was made with a period last
year when the company's business
| had begun seriously to feel the effect
( of the great downward turn.
American Sugar.
| The reason for the break in Ameri-
can Sugar below 60 was twofo,d
! There was first trade explanation
| and, second. a technical explanation.
| The Federal Sugar Company reducing
! it's price of refined was accepted as IN
| indication that the improvement in
i the demand for the sugar product a
| fortnight ago. which had led to in
| creased sales by the Cuban commits
sion and an advance in raw prices.
was only a temporary upturn.
The technical reason for the E. drop
| in American Sugar was that 1t was
| following the normal course of a
stock which is off the dividend list,
with little hope of any early return.
At the time the rate was passed there
was a big short interest and pre-
MUM was being paid for use of the
stock for delivery. 1t has taken the
| interval since then for the short ac-
count to be reduced sufficiently for
the market price to yield.
| With the support from short con-
| tracts partially eliminated. American
Sugar once more became vulnerable
| to bear attacks based on the conten-
| ton that a non-dividehd payer in the
| COS is not attractive in a market
where stocks paying dividends are
selling at such abnormaliy low prices.