The New York herald., 1921-10-27
FINANCIAL NEWS
AND COMMENT
Stock Market Trading Narrow
and Mostly in Tndustrials
Which Show Strength.

The sharp line of cleavage which ex-
railroad stocks Indicated that specula-
tors were basing their operations on
current events and not taking many
chances on what might develop in
few days. This was especially notice
able In transactions in the rails. Move
ments OF the latter while tending to-
ward heaviness. represented a non-
commltal attitude of the Street toward
the hearing in Chicago before the
United States Railroad Labor Board
The plea OF railway executives that
conditions prevented them from engag-
ing to refrain from further wage re-
ductions was exactly what had been
expected. but il was more difficult to
gauge the forthcoming moves OF the
union leaders. The relations of the diff
ferent brotherhoods t., one another i'm
respect to the threatened strike have
been higniy confusing to the layman
all along. The stock market was I'M
able yesterday to guess whether a set
pressure from the Government or
through an acceptance OF the July wage
cut by the unions and the resembling
of the strike order. The stock market,
furthermore. was nwilling to jump to
conclusions about rate reductions, and
consequently rail shares We're allowed
to drift.
Business in the industrials comprised
an unusually narrow list. being con-
fined mainly to petroleum. railroad
equipment and shoe and leather issues.
Most of those stocks were strong, gain
ing a point to 2ia points net. Steel
stocks were firm, as was natural il
view of the United States Steel Cor
poration's display of business month
to month growth in the third quar-
ter of this year. AZ the recent ad-
vances of S. ton ir wire and other
light products had only small applica-
ton to tho results of the quarter, there
Is reason for the market to feel a de-
gree of confidence III the outlook for
the winter. It is evident. however
that the steel business; is likely to fluc-
tuate considerably until the matter of
freight rates becomes clarified. The
IRON Age noted in its weekly discussion
OF the market that "the general ex-
be made in freight rates on iron and
steel is now the controlling influence
In the market" and "its chief effect in
the past week has been to check new
business"
Cotton proved to have been bid UP too
rapidly on Tuesday and realizing sales
carried several options down about
half cent pound. There was also a re-
action Of grain prices, wheat futures
receding more than cent bushel. The
movement in Chicago accompanied a
fall of quotations In Winnipeg. where
deliveries again were speeded up.
In the light of recurring reports that
the November reparations payment by
Germany has been Cor will be) post
poned until next spring. it is question
whether this weeks stability of mark
exchange is not connected with expecta-
tions in the market of radical read
justment of reparations terms. The ex-
changes, presumably. are also paying
attention to dispatches which tell OF a
contemplated movement toward an
Anglo-American loan for Germany
under the, auspices Of the R6thschild in
| terests. the proceeds to be used for
| reparations. Such an arrangement If
made, undoubtedly would bring relief
to the exchanges. especially to exchange
on Berlin. as it would curtail purchases
Of bills for delivery TO the Reparation
Commission when the quarterly pay
ment dates approach. Mark exchange
remained at 81 cent. The sterling
quotation was slightly lower at S.93%
than 1t was on Tuesday.
Call money relaxed from per cent.
to So per cent.