The Washington herald., 1922-04-20
STOCK TONE FIRM !
AFTER HESITANCY
IN OPENING HOUR
Active Short Covering Is
Principal Source Of
Strength.


slackening in activity was apparent
on the stock exchange today,
sales totsiing approximately I.feo. 900
shares. After momentary hesitation
at the opening. the tone was nrm. II
was fairly clear that this strength
came principally from active short
covering in those issues which suf-
fered most in yesterdsy's selling. At
the close. rails were fractionally
higher and industrials showed many
gains Of better than one point
Taken altogether. II was apparent
that the market has been moving
with reference TO its own technical
position rather than to any OF the
several political Developments Of the
last few days. Bonds continued 20
show signs Of pront-tsking. but
rallied from the mornings low levels.
Call money remained at al per cent
There was q tendency this morn
Ing to minimize the factors which
many people regarded as the basis
for yesterdays selling and prices
rose impressively throughout the list
although the volume Of trading in the
forenoon was below yesterday and
not much more than half Mondays
record-breaking market. But the
financial community seemed 20 have
decided overnight that Genoa. the
coal strike and the bonus bill had
been overplsyed as bear arguments
and in spite Of the unanimously
cautious tone OF commission house
advice substantial buying appeared
both for the seml-investment stocks
and in the speculative specialties.
There was also a good deal OF Gov
ering OF short lines put out yes
terday in hope that morning news
might be Of a character TO encourage
further selling on the part Of those
who have acquired substantial profits
in the rise since the first OF the
year.
Submarine Boat Feud.
Results OF the counting OF ballots
in the annual meeting OF the Sub
marine Boat Corporation which has
been in progress for nearly a week
resulted in victory for the manage
ment. The Rice faction which put
up the opposition failed by a con-
siderable margin to elect any Of the
directors it nominated. Opposition
I
to ratify the acts of the company's
directors during the past year.
Consolidated Gas.
Following its impressive strength
during yesterdays reaction. Consoli-
dated Gas continued on the upward
road this morning. selling above lls
before noon. With the Supreme Court
decision establishing the compsny's
right TO charge higher rates and 10
retain the money collected from con-
! sumers during the progress Of the
! litigation the way Is now clear for
the company 10 readjust its capital
zation to the benefit OF stockholders
and reports have been persistently
| circulated for some time that this
will be done. II is also believed in
some quarters that notvithstsndinC
the company's recent victory over
the Public Service Commission in the
matter OF rates many OF the directors
see writing on the wall which thev
translate into a warning that domi-
nation OF the heating and lighting
business in Manhattan may not he
TO the best interests OF their stock
holders Hence a distribution OF the
stock OF one Of Consolidsted's most
profitable subsidiaries is eaid 10 be In
contemplation.
Exchange.
Firmness returned TO the EXCHANGE
market thus confirming the view ths-
financial quarters have entertained
| extremely modest hopes as TO the
immediate results OF the Genoa CO..
| ference. In quiet trading sterling re
covered y OF cent TO s441s. and
French francs regained 5 points 10
s.3l cents. Most OF the other con-
tinentals made similar gains, Ger
man marks rallying " OF a point
to o.35 OF a cent and Norwegian
kroner reaching a new high for the
year at 1905 cents. Heavy buyinS
OF silver at London on account o:
India and China sent the price Of
that metal up from 80 pence an
ounce TO 3SH. This produced CORE
spending strength in the Chinese sill
yer exchanges. Shanghai tsels rising
from "a cents 10 7ek.