The New York herald., 1921-11-23
FINANCIAL NEWS
AND COMMENT
Stock Market Rallies at Close,
With Rails Steadier-Cot-
ton Improves.

The stock market yesterday was the
least interesting OF all sessions Of the
last fortnight. There were frequent sell
ling movements. which at times brought
declines Of a point to two points in cer-
tain Industrial shares and occasional
upbidding Of rails and several petroleum
issues. At the end of the day nearly
all that had been depressed rallied
briskly and weak spots were not large
enough in numbers to set their stamp
on the market as whole. The closing
found prices Irregular. Call money was
per cent. for renewals Of standing
loans. and 51z per cent. for loans ar
ranged In the afternoon.
Although the market appeared to find
few influences of a constructive nature
outside its own field, 1t discovered little
except technical considerations which
could be used to lead quotations down
ward. Even a broad suggestion in
Washington dispatches that the Admin
istration was much less keen about the
railroad funding bill than it was month
ago was reflected hardly at all in rail
shares. The reason for this evidently
was the assistance which cheapening
money market has extended to many
roads in financing themselves. sup
Elementary factor in steadying the rail
shares was the growing expectation that
October earnings statements. soon to
appear, would make a rather good
Showing. October is a peak month OF
the autumn for traffic movement and
building materials and other necessities
was stimulated in the fore part of last
month by fears Of a railroad tieup. the
impression prevails that several carriers
will make satisfactory display of gross
receipts. With the winter at hand. It
is problematical whether or not such
extensive cuts of maintenance costs will
be disclosed as in August and September.
The cotton market has shown a do
cided change of complexion this week.
in the face of larger crop prospects
than existed in the first week OF Octo-
Der. 1t advanced yesterday 40 to 60
points and it was plain that active buy
ing by Liverpool had considerable to do
with the rise. There may be more to
this than periodic recovery after an
extensive decline as reports from the
British manufacturing centre forecast
an improved demand for cotton goods
in India, where there are signs of a
break down of the practical dscrimina-
tion against British goods that has ex-
listed for several months. The rise, how
ever, was sustained after the first half
hours upturn by steady purchases to
retire short contracts and it is rather
early to determine whether or not
world demands are broadening.
Wheat gained ground for time but
turned irregular before midsession and
left off little changed from Mondays
Anal quotations.
The foreign exchanges contributed
nothing worth while to information
about financial and trade conditions in
other countries. Sterling went below
3.9S for time. but recovered to 3.98 ga
and there was a moderate rally in
francs.
In respect to the situation Of the do
nestle money market considerable sig
nificance was attached to the sale of
s11. 100000 of long term bonds bearing
a 4 ga per cent. coupon by the State
of Pennsylvania, at 104.31, new high
record price for State or municipal
Offering this year. They are to be Of
fered by the purchasing bankers on
4.20 per cent. basis, a figure that ap-
proximates the prewar yield of many
good municipals.