The New York herald. [volume] (New York, N.Y.) 1920-1924, 1921-07-19
FINANCIAL NEWS
AND COMMENT
Industrials Hold Well in Quiet
Stock Market - Foreign
Exchanges Drop.

Although yesterdays stock market
was too dull TO register the product Of
any true economic forces, its price
movements were evidence that efforts to
get quotations down met with little sue
cess. In fact several industrial groups
offered resistance all the way along.
notably sugar and steel issues. and sew
eral shares, inclined to sell off during
the morning. came back in the after
noon. 1t was a midsummer market. a
narrow list, indicating that trading in
terest was closely limited to the pro-
fessional operators. Atlantic Gulf. Next
can Petroleum and General Electric
were about the only stocks In which
pressure was not lifted before the close
of business, and they left off above their
lowest prices. The general run of in
dustrial and rail issues gained from
fractions upward to 1ss points. Call
money was per cent on the New York
Stock Exchange and 5h per cent In
loans outside. the tendency being toward
easier rates in a few days
The stock market. like its sessions
of last week. supplied little material for
discussion with reference to underlying
business conditions. But utterances In
official sources in Washington. especially
recent speeches by Herbert Hoover. Sec
rotary of Commerce. disclosed the i'm
preston among men in position to touch
the major commercial and banking
nerves of the country that industry and
the distribution of goods were slowly
expanding. The action of the House
in eliminating yesterday proposed duty
on crude and fuel oil from the tariff
act suggests that larger economic con-
siderations were coming forward rather
than those comprised in the desires Of
special interests In few days there
probably will be definite plans for put
ting the railroads in funds through adj
ditional advances on account Of unadjust-
ed claims hanging over from the period OF
Government control. and from now on the
record of rail earnings, especially OF
properties which carry grain. cotton,
lumber and fuel, will be worthy of es-
pecial study. Stocks during the last
three weeks have displayed an 1ncreas-
ing desire on the part Of every day
SPECTATORS and the public to see what
actually would happen in industry and
transportation before taking position
in the market.
1t will be possible later to trace the
factors which have been bearing down
on certain European exchange rates
since the middle of June, but it is out
of the question to refer to more than
general influences at this time. Ster-
ling declined ~ cents to the pound yes
terday, getting below 1854 and ap-
preaching the minimum prices of the
year. which were established in January.
Francs. lire and others followed ster-
ling's lead and the German rate. which
was steady last week, also drew back.
Evidently the German Government is
accommodating dollar balances In New
York against additional reparations
payments. That process is the matter of
greatest uncertainty in the present mar
ket, as the extent of conversion OF
foreign currencies and securities at
Germany's disposal into dollars is now
known. The force of ordinary trade
operations In the exchanges is more
easily estimated. as the May and June
figures of American imports showed
that the creation of dollar bills has been
supplying a dwindling offset against
foreign bills here drawn against wheat
and other shipments from this side.
Large sales of cotton in the Liver
pool market. indicating the expansion
of material in spinners' hand made
practically no impression on prices
here. declines of ten to forty points
being the result of the days dealings.
A fairly sharp reaction of wheat quo
tations in Chicago reflected increased
deliveries and lessened tension about
reported damage to the crop in the
Northwest.