Richmond times-dispatch. [volume] (Richmond, Va.) 1914-current, 1921-09-01
IS CAUSE
of RECOVER|NG's HAL TING.
Stock Market Prices Fail TO
Hold in Face Of Trad
ers' Activities.
GOOD REPORTS FROM RAIL
Southern Preferred Advances on
y Rumor Directors VIII Declare DIrI-
drnd Recently Dcferred--JulY
8 Earnings Show Improvement.
By II. l.. Isnrnum.

| y
NEW YORK. Aug. 3l.-Following
mn, Irregular opening there was Il
further recovery In stock market
prices today. However. the high
prices did not hold There was profit
taking today by traders who bought
| last week when II became evident
that tho market on technical condi-
lions was due for n recovery. The
wiscst course for an investor Is to
pick out good safe security and
stick. But a trader cannot afford to
have convictions. He shifts his posi-
tfOn with every marked change
shown on the tape. Traders who
were talking very bulilsh early this
[R,'eek arc again talking bcar!sh But
1fg Is not likely that many new lines
OF short stock VIII be put out until
after the holiday. which begins with
the closing Friday and runs until
next Tuesday morning.
Mexican Petroleum. which sold
down to 81 1-2 last week. the day OF
the dividend nukc. md thai was the
day the stock market asfS, whole
started the recovery. sold up To l02
today. Besides short covering. and
the coming stock exchange report.
there was the news today of the dc
cision banded down by the Supreme
Court of Mexico restoring oil prop
l.irtics to private owners.
Yg. Brazil bonds Sell Quickly.
Today's Iron Age. In its weekly re-
view OF trade conditions, states that
Carrying reports from different
branches of the industry show the
bnlancc still on the side OF hotter
ment I'm demand. But II WAS added
that there is Ar yet no clear indi-
cation OF progressive Improvement
The Steel Corporation, II was re-
|. ported, lis still operating At under 30
h Per cent Of capacity and Us shown x
no change in it's policy OF aggressive
competition with the independents.
All of the s25,000,0o0 new Brazil
s per cent bonds were sold within
two hours. This called attention Of
Investment houses to the possibilities
OF finding buyers for outstanding for
eign Issues selling on favorable terms
such as the French LES. the Bel
GUM Gs. the United Kingdom rs
OF 1897.
Chicago reports that building per-
mits this month totalod over Sl2.0O0.-
\. 900 compared with only S5.52l.G00 for
SAugtfst OF 1920. and were the largest
for. any month since last February.
when two new bank buildings cost
b Ing $ll 100000 were included in the
total.
Rails Attract Attention.
During the early strength in the
Stock Market the rails attracted
much attention. especially the los
\ prices tissues, Southern Railway pre-
ierred was up 81 points on ru-
mors that tho directors would NEE;
hand declare the regular scmiannual
~ I-2 per cent recently deferred"
/ Rock Island made good statement
OF earnings for Juiy today report
ing Sl2.2S5,D00 gross against sl2.iI6.-
Z 900 q year ago with net operating
Income ut s2,5i0,000. against last
years deficit OF s2.39i 900. Burling-
ton showed Il loss OF only "A few
thousand In gross with net opcrat-
+ ing income ut S3.l5e.000 against only
sb27,0 for July OF 1920.
Net operating income OF the rail-
t, roads as whole for July Will reach
s,J.eG6.o00 according To estimates
mad. in Wall Street today. The
}s5! 100000 reported for June was the
':rgest since last autumn. At the
loa. for 1929. The government guar
antcc Of net income for the rail
roads was based on the average for
the three years ended June 80, 1917.
the beat three years in the history of
our railroads. and II provided for in
tcrest, dividends. and bctterments out
of surplus earnings. The monthly
guarantee OF the government on this
basis fluctuated. of course. with
! lseasorable business and with inter-
= est dividend requirements. For the
first six months of the calendar year
The government guarantee called for
s397,000,000 with June At $4,000. 900.
July called for S76,000.o0e, August.
SSS.000.00o. September. $4,000, 900,
o
100000; December, S73,,000.000 making
s507,0o0.o00 for the last half of the
year or 9o4.OOooOO for the twelve
months. If July shows $4,000. 900
! net operating income II will be the
first time In many Il long month
that the government guarantee WAS
learned. The per cent called for in
the new TRANSPORTATION act was based
* on the government guarantee figures.
Increasc I'm Car Londing.
Today's statement of freight car
loRdinEs for the week ending Au-
Glist 80 shows an increase Of 7,47l
compared with the previous week
Compared with this time last year
there is still decrease of 1900
ears and with 1919 II decrease of Co.
600. However. the SI6,i3G loaded
during the week ending August 30
.s new high record for this year.
The largest gains were in mcrchan
diSe and miscellaneous freight. that
is, the kind of traffic that brings in
the most money TO the carriers. The
low level for the year In f'Sight car
loadings was made during the week
Z. ending February &c. ut 65S,z22 cars.
b New Ravens request for a $4,000,
600 ten year government loan to meet
( maturing obligations and make
needed improvements has been APP
proved by the Interstate Comm erce
Commission. All the company has to
+ do now is to put up collateral that
will be approved by the commission
and Treasury authorities as provided