The Washington herald., 1921-02-16
PLENTIFUL SUPPLY
OF CALL MONEY IN !
STRONG MARKET
Further Rise in Sterling
Exchange Also Aids
Condition.
TRADING is ACTIVE
Reading Plan Offers Excuse
For Raid; Proves
Futile.

NEW YORK, Feb. ia further
rise in the price Of sterling e1-
change to a new high level for this
movement together with a good
supply Of call money all day al
per cent impaired q stronger un-
dertone 10 the stock market TODAY
Trading was more active and tho
general list showed more broad
ness, the so-cSlIed standard shares
participating 20 a larger extent 10
the days business.
Issues in which there has been
a large short interest showed tbs
largest gains. This wNs particu-
larry true OF General Electric. ana
Atlantic, Gulf A. West Indier.
Announcement OF the contents Of
the Reading plan az exclusively
predicted in this column late last
week served as a depressing infv-
eLce on those shares and resulted
in substantial losses with new low
records for this movement
RendinE Plan Raid Excuse.
Despite the strong undertons the
uncertainty which exists regarding
the status OF some issues found p
fectiOn in new bottom prices fr.
Continental Candy. Texas & Pacific
Coal & Oil and CASTOR. Williams k
WiEmore
Following the opening Of buvf-
ness professionals used the dIg7r-
pointing Reading plan as an excuse
for attempting 10 raid the general
list. They were fairly successful
before noon but in the Afternoon
offerings were readily absorbed and
the market turned strong.
The contents Of the Baldwin I,a-
comouve report we're known 10 Wal
Street early in the day. Tbr show
ing is disappointing compared with
what had been anticipated and for
that reason Baldwin failed t. mar
ticipate in the strength.
Have Different Ideas.
Practically every commission and
wire house in the financial district
had different idea as 10 tho r-ob.
able value OF the new Pesdrr- roar.
stock and the rights 10 svbs~r.hs
to the new shares Tbev 49,,
practically unanimous. however m
analyzinG the plan as bea-.sb on
I Reading common
Persons who predicted late las,
/ week that the Reading rTar wnr.5
/ he MED early this week said tod
/ that the LehiEh Valley and the L
nigh Coal and Navigation pIsns
were practically ready for formal
announcement Tho plan Of m,
latter however, is expected Ia bs
[ very favorable from the vfevpofrr
OF the shsreholders- LehiCH Coal
and Navigation earnings published
/ yesterday for last year showed
| surplus after dividends Of g. --r r--
compared with 35.54O,s67 the Dre-
/ vious twelve months
Reading bonds were strong early
IN III" day but subsequently, sold N
Bond Market SrH soft
Additional advance q the p-..e
/ OF refined sugar by refining com
/ panles served to cause f-unrsp in
I the sugar shares which arc bsr5Cvrr
| TO have passed through tho wo-s,.
| Bond houses reported ru-rhr-
Softness in the marko' for now rs-
sues. Most recent offerings s-r de-
Clared TO be going slowly because
| new issues have been too plentiful
and have glutted the market lib
erty bonds were also slightly lower
Because OF the large amount OF un-
| digested securities nov offerings
. which are now "on the frr" arc SE-
peCted to be held in allowance until
. the market has been given a chance
to absorb the major portion o. the
floating supply OF recent issues.
I Prominent investment bankers are
| astOnished at the large volume o.
new securities which have been ah-
sOrbed within the last six weeks
and are surprised that IN. market
] did Eh0u- enFF wrgC hrFn~r now