Richmond times-dispatch. [volume] (Richmond, Va.) 1914-current, 1921-05-12
HUN DECISION CAUSES
HYsTER|A ON MARKET.
Professional Traders Sell on An
nounccmcnt OF German
Acceptance.
PRoFIT-TAKING WARRANTED
Selling Based on Argument That,
with Pence Actually Here, Ger
many VIII Begin TO Dump Manu-
featured Goods on l.. S. Markets.
Nv IL. L.. Iinrn,Im.

NE" YORK. May l1.-Proflt-takin ing
ana some hystcrical selling occurred
Today on the news that Germany had
accepted the allied ultimntum. Pro-
isSsional traders invariably sell on
the actual announcement Of expected
Sood news. inasmuch rs today'S an
nounccmcnt was discounted stock
ihirk"twisc In the price advance that
ncEhn on April Il. and ran until last
FRIDAY. today's profit taking WAS war
ran,cd. But there was little Eround
Tor the hys,erical selling that was
based on the argument that with
peace actually here. Germany would
begin at once to dump manufactured
goods on this market.
Germany VIII have something else
10 do FOR some time other than dump
ing It's goods on other markets. How
VIII the money which she has just
agreed TO pay over be raised? OF
course. bonds will be issued. but the
sale OF such securities will not be
easy. In the first place. the bond is-
sue VIII be an open one as no one
knows exactly how much Germany
MORTGAGE is not an attractive one
from the viewpoint OF investors And
then too, the average Investor is not
looking for bond. the interest on
which VIII likely have to be collected
regularly by the sheriff.
Steel and Automobile Active.
But there was som" good selling Of
steel and automobile shares today,
tUtt "tS flbI HSsttTl''al. lt1NN * ne" y
included the sale OF $4,000. 900 first
MORTGAGE 2t-ycar bonds. by Kelly
Springfield Tire. and price reductions
OF from - To 20 per cent by III. Good
year Tire &. Rubber Co. and. accord
Ing To Detroit dispatches. other auto
mobile companies are going TO cut
prices In rcsponac to urgent demands
OF agents who deal directly with the
public. These agents are claiming
that the only way tho industry can be
stabilized Is by quick price reductions
to something like pre-war basis.
Outside OF today's wcckly trade
review by the Iron Aye which re-
ports business very quiet. with buyers
apparently awaiting lower prices.
Their. was no actual news on the steer
shares. But what was lacking In
news was more than made up In ru-
mora. wall street heard. from many
different sources. that both tho Lack
awanna and the Republic Iron 6 steel
Companies were to pass dividends
dividend meeting on May &c. whii"
the Republic directors viii meet to
act on the dividend on May IS.
Trade Poor During Rcaction.
WIN tho COuntry's iron production
running at the smallest figure sine"
1905. with the last published month
~ earnings OF the Steel Corporation
those FOR March. mt the smallest level
since 1915, following the first war
trade reaction. with the country's
steel production considering capacity
at tho smallest on record. and with
untitled orders OF the Steel CORPORA
ton back to the level OF September.
1913 II would not be ~ all surpris-
ing II the independents passed their
dividends from long experience. IL
hns been proved that the INDEPENDENTS
make n poor showing during periods
OF trade reaction.
Both cal. and timn money were
tighter today. on next Monday pay
mcnt viii be made on the S230,00o,-
GOO Great Northern Northern Pacific
bond issue recently noatcd by n
country Wide banking cyndicatc.
on the same day. payment Of
government maturitics and inter
est calls for f3oo,ooo.oo0. Then.
again. on tho same day. the
Eovcrnmen; will make its Offering Of
the new s2o0.00G.000 nine months
. IL per cent treasury certificates.
Tho total OF this financing. which
must be arranged for by tn: banks
reaches $3.50. 100000. Therefore. II is
not surprising that call money sud
denly advanced to Z per cent, Il
would not lie surprising Il 1t went to
eight or even higher. before the end
of the week,