Evening star., 1921-10-31
.REALl|Ne SALES
IN STOCK MARKET
Resessions Are Not llnpor.
tant-Mexican Oil Sit
uaton Puzzfng.
BY sTUARF n WEST.

NEW YORK. 0ctQhet 3I-Wtthoue
any change In financial sentiment or
without any outside developments OF
Importance over the week end the
stock market today had to take q
lot Of realtsing, which after the first
hour or SO checked the advance and
brought about come reactions. Be-
yond the fact that after the advance
last week Of three to. ave points at
speculative purchases which seemed
worth while convertng into cash,
there was no significance to the SELL
ing.
Reports from manufacturing CEN
ters coming tn over Sunday we're gen
orally favorable. rhsy tended to re-
inforce the view that while recovery
is proceeding slowly. 1t is at the same
time sure. Particular attention may
we'll be given to the statements that
the export trade has at length joined
in. THIS may not show SO much In
the October figures. because both
wheat and cotton shipments have
midsummer. But there 10 ground for
anticipating some small gain over
previous months in exports Of manu-
facturea. to be followed by still more
of an increase in November and from
then on.
The professional judgment today
was that the market was entitled to
fairly substantial advance last week.
Mexican OIL SaDDly.
The vexed question OF the future
ward anew by the statement Of a
prominsnt American oil operator re-
turninE from Mexico that hight oil
reserves In that country were down
to 6o.oee.eo9 barrels BY March l. he
continued. Mexico would have become
producer. aS the greater part Of the
light oil field had either been destroy
ed or was threatened with destruc-
tion from salt water.
Whether this was an unpre1udiced
view any more than the reassaring
Mexican oil officials was. Of course,
open to reasonable doubt But on the
present show Of earnings and
dividends 1t is exceedipkly hard to
uRderstand the low selling prices Of
the Mexican oil shares. except on the
ground that there Is . good deal Of
truth in the picture. Of an uncertain
outlook for new production In Mexico.
Mexican OIL had . rather sharp
break aud there was more or hess
profit-tAkinE In other members Of the
Oil group. Eut this was offset by
fresh buying in two or three other OF
the American oils.
Studebaker declared the regular
dividend and came out with an excel
lent earnings statement for the third
quarter. But the immediate good eff
feet so far as the stock was concern
ed was evidently anticipated by
the recent advance The Pierce-Ar-
rnv al 10 Pol hA NJ nH
ing sales more than any of the other
motors.
Advance Checked.
The rise was checked for the time
being in the steels and most of the
equipment. Railway shares reflected
to some extent the misgivin9a felt
over the possibility Of long delay in
StaininE permission for a further re-
duction IN wages.
Affected ~ London.
Royal Dutch and Shell Transport are
stocks which are much more respon-
sive to conditions In London than to
conditions here. They went down and
continued soft a week ago while
American oil prices were being ad-
vanced and the American oil shares
were moving vigorously upward
This was because liquidation was in
progress in the London market GEN
orally, QHe TO tne unsettled political
and economic position abroad. This
|hquidatioa has now, at least tempo
rarfiy. ceased.
The ovar>SundAy cables told Of some
recovery on the London stock ex-
change along with a feeling that this
recovery would continue. With the
London pressure removed the chance
was given the Royal Dutch issnes to
swing into line with the other oils
The reported acquisition by Royal
Dutch of the Union Oil of Delaware
was discussed as a further reason for
the advance.
Baldwin Locomotive.
Although Baldwin Locomotive moved
with the general list and sold of
when others were easing. the main
bull position on the stock was
strengthened by the interview with
the president Of the company, which
appeared over Sunday. Mr.. VauclaiI
described the Baldwin business "a or
the mead, with plenty of orders or
hand and in sight. OF the contract.
on the books. 50 per cent originated
abroad. OF the foreign business. tht
president said that all one had te
do was to go after it and it was