Evening star. [volume] (Washington, D.C.) 1854-1972, 1921-02-08
STOCKS WERE SLOW;
PRICES UNCHANGED
BY STUART p. WEST.

NEW YORK, February S.-The stock
market today was for quite a part Of the
time an extremely stupid affair. OF much
more interest were the developments in
the~foreign exchanges Here from the
outset there was vigorous renewal of
the buying movement in sterling and a
sharp advance, which drew with rates on
the continental centers as well. The
whole exchange market was, in fact,
more buoyant than 1t has been at any
time since the preliminary terms for the
German reparation payments were
drawn UP. Sterling had gone down from
3S8 to 379 on the first impulsive judg-
ment that such terms could never be en-
forced and would lead to a long-drawn-
out controversy which might contain
some very delicate moments for allied
diplomacy.
The subsequent recovery showed a
much more comp1acent second view
Of the situation. but it was not until
today that sterling rates moved for
ward with the energy they did three
weeks ago.
At today's high drafts on London
were back almost to their previous
top. That this betokened a growing
feeling of confidence in the settle
ment of the all-important reparations
question was not to be doubted. It
was reasonable to suppose that this
feeling was Influenced by the dis
closure in this mornings news that
the expense Of the army Of occupation
had been cut down s300.0 100000 a year,
a sum almc5 st equivalent to the IL per
cent tax proposed on German exports.
This was development which OBJ
viously p aced matters in a much
brighter light 80 far as the chances
of German acceptance of the recently
drawn up settlement plan were con-
cerned.
stock market lay almost motionless.
The only incident Of any cons equences
| at all was q drive against the sugar
group, based upon the anticipation of
a very unfavorable report by the
American Sugar Company tomorrow.
American Sugar stock was down at
one time over 8 points. but when
| sugars they met with one Of the
| sharpest checks which recent bearish
| endeavors have yet received. Cuban
American, Cuban Cane and Punta
Alegra, after giving way a point or
SO. recoiled against the short sellers
| almost violently. This was an effec-
| tive demonstration In critical quar-
| ter of the extent to which unfavor-
| able trade conditions have been dis
| counted at the present price levels.
At the same time, however. the
market for raw sugar had a better
l.tone than it has had on any day for
some time. and the obvious tendency
Of raw sugar quotations to harden
had, Of course. had much to do with
the prompt rally in the sugar stocks
Southern Pacific. dealt in for the
first time ex-rghts. opened higher.
The first sale OF the stock, Joined
to the first sale Of tho rights. made
up the equivalent Of e7H. as against
last nights closing of 9TH. In the
subsequent. dealings both Southern
Pacific rights and the new Pacific oil
| were decidedly slow. while Southern
Pacific stock continued stronger. 1t
acted as IL relieved because no longer
having to be weighed down by the
liquidation which has been going on
very steadily in the rights since the
outset Of tho year. Moro notice was
taken Of the difference between South.
ern Pacific reduced to the status OF
plain railroad stock and Atchison