Evening star., 1921-02-09
STOCKS ARE ACTIVE,
WITH PRICES FIRM
BY STUART r. WEST.

NEW YORK, February 9.-The call
money renewal was reduced this
morning from to Z per cent. This
showed that yesterdays similar de-
was not fash in the pan. but in
dicated genuine betterment in the
money situation. 1t was in conse-
quence the determining influence in
the financial markets of the day.
Time money rates did not come down
prise, as the market for call loans is
always the first to show the change.
1t sufficed that the call money supply
was on the increase. that the IN
terror Withdrawals of a week ago
had slackened and that the flow of
funds as between New York and in
land centers was now in favor of the
former.
with such misgivings as were felt
last week over the money position
completely removed, speculative SEN
timent grew more confident in all di-
rections. Recovery continued sharply
in the wheat pit. but the principal
display of strength was on the floor
of the stock exchange.
The buying which put up prices of
stocks was, to be sure. Of highly
speculative character. for the most
covering with fresh buying for the
rise by trading interests that pre-
viously had favored the short side.
Nevertheless the thing of impor-
tance was that the market had con-
WINGED expert professions that liqui-
dation had ceased. and that while the
time might not be right for an active
and sustained speculation. the bear
movement had exhausted its possibl-
tiles and that the main tendency was
upward.
All classes of stocks were carried
OF lo M
ton to the price-cutting campaign
and were as strong as any OF the
rest.
Coppers were helped by the report
that the plan to finance\the 100000
ooo-pound exports OF ; the metal
the day Oils under the leadership
of Mexican Petroleum advanced in
reflection of the belief that the trade.
by it's recent drastic cuts. pretty well
completed it's readjustment.
Indications that the sugar market
has turned the corner were borne out
again by another advance in raw
sugar quotations., this time to 3A
cents per pound. as compared with the
low of az reached first in December,
and again at the close of January.
The sugar stocks took their cue as
they were bound to do from this de-
velopment.
Motors and equipments had their
full share in the improvement of the
day. but rails were more hesitating,
as was natural, because their main
uncertain:y-the settlement OF the
wage question-still lies ahead.
The steels divided with the oils.
motors and equipments the first pla ce
in the market today. This was a
great shock to the remnant of the
bear party who had been counting
upon the price cutting of the Mid
vale and other independents and the
consequent revival of talk about a
steel-trade war to start liquidation
going again.
There had been very light trading
in Steel common. while the general
market last week and again on Mon
day was reactionary There was
heavy trading IN the stock just as
soon as the market moved forward.
This from A technical standpoint was
highly significant. 1t was sign to
professional students that. the main
tendency is upward.
Strength of the independent steels
which are making no money at pres
ent prices and with which 1t was a
question whether money Is not being
lost. was also notable incident. 1t
showed how well period Of depres-
sion believed to be temporary has been
discontinued at the recently prevailing
stock market levels.
Also the annual reports Of these
companies have revealed the fact
that the 1920 earnings were larger
than expected. and that the average
therefore between the two years.
supposing a lean period in the first
half Of 1921. will still be good.
mat stes st. in t1asS ssS
, against only $3,060.o00 in 1919. and a
net profit after depreciation of $l.-
100000 against $4,000. .-.