Richmond times-dispatch. [volume] (Richmond, Va.) 1914-current, 1921-05-24
FRENCH BOND OFFERING
STEAD|Es STOCK MARKET
Change of Sentiment i'm Banking
Circles Over Sunday Causes
Sharp Rise.
HOPE FOR BIG ADVANCE
Upward Jump Of Prices VIII Aid
In Selling Of Frances Securities
and Lend Improvement to En-
change in General.
HOPE FOR BIG ADVANCE


NEW YORK. May ga marked
Change in sentiment In Wall street
bank circles occurred over sunday.
Floor traders on the stock E%changc
reported few minutes after the
opening that there had been buying
orders placed In steel and other lead
ing stocks on scale down. THIS
started short covering resulting In
gains OF from two 10 four points In
many shares.
what happened was perfectly plain
This mornings papers officially an
bounced that negotiations had been
closed with the French government
Tor Il public Offering here OF WOO
100000 twenty year / i2 Der cent
bonds At 50 10 yield The buyer slight
ly over per cent. \ large banking
syndicate is now being formed TO
underwritc this Offering
Short interests Tnrgc.
When negotiations for tho recen,
Offering of the !23O.nO.0Oc Great
%orthern-N Northern Pacific bonds we're
concluded. thcrc was Il large snort
in,crcat outstanding In the stock
'aark"'.. This short interest vas run
20 cover under the leadership OF
Studcbakcr, thus creating a better
market on which 10 float the Great
northern Northern Pacific bond issue
AS result Of the recent dividend
fNw "a largo short interest OItstnnd-
ing in tho stuck market. Efforts are
now grinB to be made to run this
short interest to cover. In other
Words ,hcr" !s TO be an exact dupli-
cation. u possible. Of what happened
IA ~" stock marie, from around tho
Widdlc of Apr! until tho upward
price movement eliminated on May
. The aycragc for the market as -
whole at a now nigh record for the
year.
There arc two reasons. however.
FOR hHliey!ns that the present plans
Of stock market leaders VIII not be
as successful aa those ~ last Aprl.
N tn" Mrat place last Apri! there was
definite IMPROVEMENT Ia several lines
OF trade. notably IN tho automobile
industry whereas the dividends
reductions anL suspensions OF
tho past fortnight ten quite
another story. The other rca-
son 10 that part al ;hc r!s. In the
stcc, Ear.ci tina, culminatcd on May
8. was due 10 buying by tho pubic
Wat has happened since May ~
still too 'rcsh In mind 10 get th- pub
Tic back into the stock market at this
time.
Many shorts ia Crurihir.
IhHrc IS 81 large snort Interest out
standing in crucihlc. Mexican Pc
,ro!cur. international Paper. Stude-
baker and a number OF other shares.
BY taking the stur out OF tho show
windows that was there last week
and putting IN an entirely new cxhi-
billion. calculated 10 make tho profcS-
hional traders VINO are short OF stock
N nerves. AN advance in tho stock mar
. kct ~ whole can be brought about.
AnH Slch an advance at this time
would greatly help the sale OF the
new French bonds. But II remains
10 b" seen whether or not the public
wi,! Lake part At this time IN any
upward stoch market demonstration
From VIVA; could be learned today
Studcbakcr may again start the up-
ward price movement. which is uow
scheduled TO begin before the end OF
,E.s week. That company has been
doing much better than other auto
mobile manufacturers. Ana then the
proposed upward price movement for
those shares IS III the hands az Il
master.
There was heavy liquidation going
on today in General Motors THAT
company, outside Of two units. rs re
ported as being practically standing
sim.
nunor> on Corn Dividends.
Some talk was heard today that
Corn Products is to omit tho extra
dividend at it's next dividend meet
Ing. on shes" rumors thor. was "A
decline % point followed by re-
covcry Of Il couple Of points.
Lackawannn steel directors will
hold their dividend meeting on We'd
ncsday OF this week. Somehow
rumor started tho rounds this morn
ing that the dividend meeting wau
20 Toe held today. The cha noes are
thar the dividend will be passed fol-
lowing tho example set last week hy
The Republic Iron and Steel manage
mont
:, great deal OF interest Is being
taken in conservative banking cir
clcs III the market movement Of the
shares OF the new coal company
which T.ackawanna is TO give or
rather sell to its shareholders for IS
GA ch. The rights 10 subscribe are
NOW selling around 80 which would
make tho price OF this stock $35 a
snare.
over the week end n number Of