The Washington herald., 1921-07-19
NARROW AVERAGE
PREVAILSNN.Y.
STOCKQUOTATi0NS
Reading Inactive Until
200 p. M.-General
Tone Firm.
MEX. PETE DROPS
Stock Reacts After Featuring
In Morning-CaIl Money
At So.
MEX. PETE DROPS

NEW YORK. July Is.-Another
thin and narrow market appeared
on the stock exchange. The quiet
ness Of the trading may be judged
from the fact that no sale OF Read
ing appeared on the tape until
nearly o'clock. With the general
tone firm. the feature OF the morn
ing was weakness in Atlantic Gulf
and strength in Mexican Petroleum.
In the afternoon, however. Mexican
also sold on sharply. Sugar stocks
were firm. but the market clearly
was made up of the disconnected
activities OF professionals. Toward
the close fractional advances pre-
dominated, but much irresularity
existed. Call money was at per
cent throughout.
Foreign Exchange.
Weakness was again in evidence
in the foreign exchange market
bids being conspicuous by their alb
sence and offerings resulting in
substantially lower quotations.
Sterlings lost another "a cents at
a new low for the present movement
Of S35SS. while francs were quoted
points lower at 7.73 cents. The
whole European market reacted In
sympathy with the loss In sterling.
and German marks, which have
been relatively firm Of late. declined
4 points TO l29 cents. IL seems
clear that the principal cause OF the
present depreciation in EurOpe's in
creased purchasing in this market.
which comes at a time when no
great supply Of dollar bills Is beirg
created by our purchasing abroad.
South American rates. meanwhile.
show no rallying ability. and the
Argentine peso was offered at a
new low price OF 2s cents.
Commodity Price Trend.
Our best weighed and most re-
liable index Of the trend OF VINO
%. commodity prices, that OF the
Bureau Of Labor statistics, shows.
that prices during June averaged IS
per cent higher than in 1913. The
decline as compared with the MAJ
level amounted to 20 per cent.
which is slightly Erea.er than the
Immediately preceding recession OF
l.9 per cent. but is smaller than any
other monthly recession during the
past year. OF the nine groups OF
commodities making UP the index,
two. building materials and drugs
and chemicals, are unchanged: four.
food, farm products. clothing and
miscellaneous articles show slight
declines; and three Crpups, those
including fuel and lighting. metals
and metal products and house fur
nishings, show declines which are
greater than the average.
one might be tempted TO ASSUME
that a levelinC up is going on and
that the relatively expensive com
modities are growing cheaper. while
the cheaper ones are showing a
| tendency toward stabilization. Such.
however. is only party the case.
Farm products. for example, de-
clined over per cent IN value dur
/ ing the, last month. and in June
were worth only Is per cent more
than in 1913. while building mate
rails remained obstinately Un-
changed at a level loe per cent
above the pre-wsr. The truth Is
that the decline in commodity prices
continues TO be a very irregular one
While the tendency is toward
slackeninE in the rate Of recession.
it is apparent that considerable
time will elapse before the price
structure is harmonized and a gem
eral measure OF stability Is attained,
The farmers purchasing power Is
| likely to remain subnormal as long
as a condition persists in which his
products bring him only 10 per cent
more than before the war. while
house furniAhings cost l50 per cent
more.