The New York herald., 1921-06-25
FINANCIAL NEWS
AND COMMENT
Active Stocks Gain After De
mand Appears and Show
Closing Strength.


slackened rather abruptly yesterday and
a demand developed in the afternoon suf-
ficient to leave the list in a strong posi-
tion at the end of the session. With the
exception of fall of nearly points In
International Mercantile Marine pre-
ferred the active group of shares were
"a points to 3 points higher than the
day before. The volume of business,
however. was much smaller in all hours
than during the preceding three days.
which showed that. while pressure was
less. there was no marked desire OF buy
ers TO take advantage of Improvement of
quotations. The turnover was less than
half as large as that of last Tuesday.
Friday dealings in such week as
this has been are wont to bring consid-
cradle short covering. but there evil
IDENTIFY was tightening of liquidation as
well in yesterdays market and offerings
were active in depressing quoted values
last week had become wary was inherent
in the position of prices. A seven weeks
decline, with only one or two genuine
position of quotations which might be
embarrassing to further short sales, at
least until additional material turns up
of use to the bear party. Undoubtedly
suits and developments in industry have
by this time been weighed by the specu-
lative community, these being vested in
passed and reduced dividends, contrac-
ports. No one may say that the influ-
ence of fresh facts and figures would not
be reflected in bear operations, but the
character of transactions during the last
two days has disclosed reluctance among
the professional traders to try to force
the market lower by drives against a
broad list of stocks.
In the money market changes have
been going on which are not conducive
to persistent selling. Again yesterday
per cent was quoted for call loans
and the remarkable showing of the
Reserve Bank in New York in this
weeks statement seems to forecast an
easy situation for considerable time,
although there may be a Tightening of
rates temporarily as requirements for
July are arranged for next week. De-
spite an increase of about $4,000 in
loans made to other reserve banks, the
ne No
substantial, with contraction of gen.
eral bill holdings and of circulation
that the ratio of cash to deposit and
note liabilities was carried upward to
the highest point since the fore part of
1917. Gold for outstanding Federal re-
serve notes, after providing for the pre-
scribed So per cent. against deposits,
covered the currency in full with a
margin of 3 per cent. over. In the light
of those figures and of the rise of the
reserve ratio of the consolidated banks,
it is plain that liquidation of loans and
the accumulation Of reserves are making
for an increasingly comfortable bank
position in the East and in most West
ern and Southern centres.
The market was helped yesterday by
the declaration of the same dividends
by the Corn Products Refining Company
as 1t declared three months ago. The
rails were not retarded by discussion
OF possible complications when the day
comes for abrogation OF the national
wage agreements. The Street feels that
since the main principle in respect to
the elimination of what the road man
ayers have described as waste" has
been set forth by the United States
Railroad Labor Board, bitches over new
wage arrangements will soon be elirni-
mated.
The foreign exchanges were inclined
lower for the most part under a. small
volume OF business. Cotton and grain
were hardly changed at all on the day.