The Rock Island Argus and daily union. (Rock Island, Ill.) 1920-1923, 1922-05-18
MIXED;
MIDvALE STEEL
SELLS HEAVILY
By STUART p. WEST.

wall street, New York, May 49,
The outstanding features in the
financial situation today were a
xery mixed market in stocks. a
arm and rather more active bond
market, renewed advance in
sterling exchange, and still more
relaxed condition in the money
market. The speculative element
had looking for Midyale Steel to
duplicate the performance OF Lack
aganna a week ago. The rumor
that the Midvaie company would
he taken over by Bethlehem Steel
vas not absolutely denied but it
fsiled to obtain even semi-official
eorroboration- Consequently the
shares were very heavily sold right
from the start and this put damp
ere upon speculative enthusiasm
for other steel stocks which have
Hpures in the discussion Of merger
possibilities.
Wall Street, however, had other
things which interested it quite as
mucn as the possible steel mer-
gers. It's plan which is believed
to be taking shape for bringing into
closer union some OF the copper
producers. 1t had fresh advance
in prices for the copper metal and
another new high record for the
year for silver. There was also the
general encouragement afforded by
Inc lowest money rates yet seen
this season. Loans for two months
r-annrAnd n A
Der cent as against the Official fig
ure OF AZ which has been in force
for the last month. Call money on
the stock exchange remained at 31s
per cent but transactions On the
outside were put through at 3A.
There was an obvious connection
between the concessions in the
money market and the increased in
investment bonds. 1t was some
thing of an achievement that a COM
pany like Virginia Carolina Chem
zeal which in 1920-1921 had a loss
Of nearly $8,G00,000 and is also
counted upon to show quite a def
cit for 1921-1922, could bring out
a S22 800 900 bond issue this morn
ing and have it Immediately over
subscribed. The metal stocks
coppers. smelling issues and zinc
shares took the place of the steels
In popular interest. 1t was evident
enough that this group was max
ing tardy response to the signs
which have so often been pointed
out during the last few weeks, that
unsold supplies has gone down
where even with the partial re-
Of mining, consumers
could no longer feel sure of the
low prices. Apart from
the metal stocks, a variety of spe-
eialties we're bid up at one time or
another. In instances such as In
dustrial Alcohol and American Lin
seed. more profitable trade condi-
tons furnished the incentive.
Sterling again reached practic-
ally its best figure for 1922. The
between the movements
in English and Continental rates
was emphasized by the action of
the latter, French francs, which
until the last month have always
almost followed sterling, were
quoted today "a points-that is,
about quarter of a cent untr their
high of month ago. Italian Ira
developed conspicuous weakness.
1t might be possible to read into
these conflicting moves the infer
ence that France and Italy have
more at stake than England in the
failure at Genoa and the dubious
prospects at The Hague. But main
ly the difference lies in the very
much stronger position of the Brit
ish budget as compared with the
continental budget and in the great
er progress which Great Britain
mas made in balancing It's current
accounts with America Another
factor bearing on the situation is
Inc continued reduction of paper
note issues. The Bank OF England
reported another decrease of ST.
100000 in its circulation during the
last week The Bank of France
also reduced its paper issue, but
oenation in its case is not nearly
so lar along as it is with the Eng,
iish institution.
While realizing sales caused
more or less irregularity in the
STOCK market, it was another day
OF advancing prices in the main,
win interest sharpened in the
sseels, the coppers were taken up.
"hen the copper and smelling in
oustrles had been pushed ahead a
point to the two points, the rails
zane In for some attention, and
soNoWlng the rails, the sugars for
Whlle occupied the center of the
sage 1t was the same sort of |
market that has been typical in the
wall street of 1922 There was no i
suggestion at any time that efforts
~ ADVANCE prices were firing. In
;act many stocks reached their best
~ tne hnal hours. The reassuring
.sature, however, was the element !
:. witness which characterized |
sae speculation of three weeks and |
month ago was lacking.