The New York herald., 1921-04-19
FINANCIAL NEWS
AND COMMENT
Prices Drift i'm Narrow Stock
Market = Foreign Trade
Declines i'm March.


found in last weeks railroad labor deci-
sion proved to have lost its force when
business got under way yesterday. with
the result that prices drifted under a
substantially smaller turnover than on
| last Friday. The weekend bank state
ments showed that after the rather
abrupt strengthening OF reserve and
loan accounts of the preceding fortnight
the earlier influences for slow liqufda-
| tion were again in evidence. Quite
likely the very moderate rise or the
Federal Reserve systems ratio of re-
serve to liabilities and the slight recess
sion at New York compared with tho
preceding weeks showing, tended TO
slackeu short covering. and there were
not many signs of fresh purchases for
the future. News of the day was OF a
sort, in the main. to submerge examina-
ton Of favorab BILE factors In industry and
trade under the contemplation of one or
two unfavorable items. Chief OF them
was the statement OF our foreign COM
merce in March, which recorded the ex-
traordinary shrinkage OF 5s per cent. in
i'm contrast to totals of the merchandise
flow in the same month of last year.
The stock list opened at about the
closing levels OF Saturday. Thereafter
fluctuations OF rail and manufacturing
issues were generally within a narrow
range. Petroleum shares proved an ex-
ception, as marked advances occurred
after 1t was learned that an important
crude oil purchasing agency had raised
it's price for Pennsylvania oil % cents
a barrel II is possible that that initial
recovery from the winter slump. which
carried the highest grade of petroleum
from more than S6 barrel to So. may
prove OF considerable significance in re-
spect to business conditions. But the
bearing that a single industry has on
the entire fabric can be determined only
through series of Developments, and it
Is not clear yet that steel, generally con-
sldered the basis of prosperity or depres-
sion. has passed through all of its read
iustment Railroad stocks left off with
fractional declines, and the same was
true OF most other issues except oils.
Cali money remained at per cent, and
large Government Withdrawals Of de-
posits scheduled for this week suggested
that the market would continue rather
firm for time. despite reports OF loans
+1,~ al
ing the afternoon.
The March trade statement supplied
a strong commentary on the reccding
tide of the worlds commerce. Not
only were percentage recessions COM
pared with those OF the preceding
March strisingiy large but the fall of
aggregate values was very heavy. The
value OF merchandise which left our
shores in March OF last year was sS19,-
556.coo. and last month it was no more
than 1881 10000 Imports fell from $780,
a23. 900 TO s252, 10000. The resulting
favorable trade balance, s132, ,0o0. 600, was
the smallest for any OF the last twelve
months, except June, July and August
months when the gap between outflow
and inflow was narroyed by rather
sudden expansion of imports from
about $4s1, 10000 in May to totals
we'll above the $500 10000 mark a
month. But the March showing
may have been affected by changed
methods OF recording shipments. as
there was known to have been some
overlapping in preceding months. If
the report issued yesterday included
only. actual shipments Of the month the
figures may be misleading in so far as
they appeared to disclose an abrupt
contraction. Exports were about s105.-
ooo,oo9 less than in February, which. by
Itself, had shown a decided recession
from the result OF January.
Extensive selling from bear sources
carried wheat options down 3a4 to 4
cents a bushel. Cotton reacted under
the lead Of Liverpool price movements.
The foreign exchanges were firm but
dull.