Evening star., 1921-07-09
CLOSING |SSTR0NG
ON ACTIVE Buying
Early Losses Retrieved, With
Some Substantial. L..
Gains.
BY STUART p. WEST.

NEW YORK, July 9.-Renewa1 Of
active buying in the railway shares
turned the market upward this morn
ing after it had passed through an
other half hour or so,of weakness in
some OF the Industrial stocks. AL
though word came from Cuba that the
government there was planning a
loan to take 100000 tons Of raw
sugar of the market, and although,
for the first time in many weeks. the
commission handling the sale of Gu
selling continued in American Sugar
and the Cuban Cane issues.
Along with these. various specialties
were offered down, among them
American Sumatra. Harvester and
these stocks looked to be the result
Of speculative operations for the de-
cline rather. than real liquidation, and
accordingly had very little effect
upon other parts Of the list.
Equipments Feature.
With the failure OF speculative ef-
forts to bring on any general SELL
ing movement. the market was ready
for an excuse to rally and found this
when the railway issueS started for
II.
equipments. Baldwin Locomotive par
ticularIf, were strong and SO were
most Of the steel shares, despite the
expectation of another large decrease
in untitled tonnage to be recorded
after the close of business by the
Steel Corporation
The buying in these groups had
common incentive, namely. the expec-
tation that the project to place $780,
600, 900 cash in the hands of the rail-
roads for payment of bills and the
purchase of new supplies. would be
carried into effect in the near future.
Break I'm Sterling.
Another remarkable break In ster-
ling exchange, which carried down
cident Of the day. Sterling went well
through its previous low for the. year
when it struck $3.67k. At this figure
rates were down 2 cents in the pound
from the lowest reached a month ago
during the financing Of the first In
stallment of the German indemnity
The explanation commonly given
was that dollar credits were being
accumulated as they have been right
along. This accumulation might be
for the reparations commission, or 1t
" hich is redeeming its 5h per cent
notes Of 1921. or 1t might be for both
OF these interests.
Targets for Selling.
The selling which came into the
market yesterday and was noted
again this morning was centered in
Ia certain group of stocks These is-
sues-Asphalt. Chandler, Sugar. Har-
vester and Sumatra-were made to
appear very weak in the belief that
their weakness would be communi-
k,A Aot ~ ha ie%
The selling, it is believed. was done
by the same crowd of bearish op-
orators which was on top Of the mar
ket q couple Of months ago. In the
case of a couple Of these special is
sues there have appeared several rea-
sons for the selling.
Several market experte have taken
the stand that the market act0 Just
now as it did at the top q the great
bull movement In 1919.
Rail Earnings Improve.
The latest reports filed by the rail-
roads with the Interstate Commerce.
had a net operating income in May
of approximately 100000 better
than in April. The total net was put
down as $37.24s.o00 and was the
largest amount earned by the rail-
roads since last November. when
their net operating AuCOIAo WA
slightly over $54,000,000.
Some of the sugar stocks made new
low records during the early trading,
especially American Sugar and Gu
ban Cane preferred. These stocks
were offered down despite two ap-
parently pertinent encouraging news
items. Ono of these was that the
Cuban sugar commission. which has
been out Of the market for a couple
Of months. past, has begun to sell
again. The other was that an extra
session Of the Cuban congress has
been summoned for July 18 to au-
thorize an issue of Cuban bonds, the
proceeds to purchase million tons
Of Cuban sugar.