Evening public ledger. [volume] (Philadelphia [Pa.]) 1914-1942, 1921-08-30
CALL LOAN RATE
DOWN TO 041-2P. c.
Further Short Covering Lifted
lndustrials, but Market
Was Flat

New York, Aug. 30.-The lowering
Of the call loan rate to Az per cent was
the outstanding development of the day
in stock market. The renewal rate was
fixed at 5 per cent, but call money was
soon offered freely at the above reduced
rate, while on the outside free offer
ings were reported at per cent. The
easement of the rate was more striking
! because Of the knowledge of the further
large Government Withdrawals from the
banks this week. The piling up Of loan
able funds on call, however. was partly
explained in the diminutive buying
| power and also in the willingness of
some of the institutions to put out
money accumulated to pay taxes next
month in demand loans. a number of
individuals also were apparently dis
posed to keep similar funds employed.
As a speculative factor the incident
fell as fiat as a punctured tire. There
was little life to the market and most
of the dealings represented almost ex-
elusive evening-up operations of the
professionals. Quite naturally, in view
of the near approach of the triple holi-
day, none of the traders was particu-
larly anxious to take on new commit
ton to cut down outstanding contracts
as much as possible. In view Of the
recent preponderant selling for the
short account, the bulk of the opera
tions represented covering on the part
of the bear interest. There was still
n conspicuous absence of the follow
up buying. In consequence, when the
requirements of the shorts were met the
market became fat and noticcably thin.
Confirmation of this reluctance on the
part of the trading contingent to ex-
tend or widen operations was given in
the steadily diminishing dealings. At
the same time the thinness of the mar
ket was indicated in the setbacks sus-
tanned by several of the more prominent
speculative specialtcs on moderate real
izing when efforts on the part Of those
maneuvering against the shorts relaxed.
The market seemed to have divorced
itself entirely from the influence of the
unpleasant local transit situation, al
( though further receSsions were made by
the related issues affected by the
! threatened receivership. At the same
time, while they unqueStionably for
the time being at any rate lost their
! grip on the market, 1t was evident the
bears were not yet disposed to give up
the contest. This at least was Sug-
gested in the selected issues which were
again subjected TO pressure in the
earlier dealings, American Sugar Re-
tining and Famous Players being par
ticularly prominent targets. The latter
was depressed on the strength of the
Washington adviccs indicating pro-
posed investigation OF the moving pic
ture industry by the Government.
Soon after the initial dealings the
market began to pick up strength and
in number of the industrials substan-
tial rallies were registered. Mexican
Petroleum, Atlantic Gulf common and
preferred, American International,
Mercantile Marine preferred, Vanadium
and Replogle advanced l to 3 points.
American Agricultural preferred, Nir-
ginia Carolina common and preferred,
L. 5. Rubber common and first pre-
ferred, California Packing and Endi-
colt johnson preferred also improved.
/ Norfolk and Western featured the rails
at a gain of pa points, Reading and
Northern Pacific showing support. The
heaviness of General Asphalt under
mined the oils before noon, Mexican
Petroleum reaCting = points.