Indiana daily times. [volume] (Indianapolis [Ind.]) 1914-1922, 1922-01-31
INVESTMENT
SECURITIES IN
GOOD DEMAND
Market UndertOne Reaction
airy and Trading InclineS
to Dizziness.
STERLING SELLS HIGH
Special to Indiana Daily Times
and Philadelphia Public Ledger.
BY MONITOR

y E1b114F0 OhI4lAO l1AN1A
Special to Indiana Daily Times
and Philadel phia Public Ledger
BY MONITOR.
NEW YORK. Jan. 31.-Operations in
the stock market yesterday reflected q
feeling Of uncertainty. There were $50
lated examples OF strength among the
specialitieS, but the general unceTtone
was reactionary. and the volume Of trad
ing suggested dizziness. Short selling
was not particularly in evidence, but
there appeared 10 be a good deal Of scat
tered liquidation.
There were a few price movements Of
more than average scope on both sides
Of the marked. kresGe, Corn Products
and International Mercantile Marine pre-
ferred were relatively strong Stude-
baker also displayed nrmness until the
last hour ON the other hand. marked
weakness developed in L. 5. Food Prod
ucts, Atlantic Gulf and Consolidated Gas.
Sharp reactions also took place in Amer1-
can Can, American Sumatra, Dawson
Chemical and some Of the oil stocks
Nevis with a bearing on the market was
about evenly divided. Foreign exchanges
were very strong. Sterling sold higher
than nj any time since August, 1919 Most
Of the buying came from London, anu
foreign exchange brokers here reported
that both pounds ad francs were scarce
An excellent demand for investment Sc
curities was indicated by the manner IN
which the S3o.cGoOOO Of Burlington 3 per
cents was absorbed.
TIE less hopeful feeling in financial
cilcles is not explained entirely by the
hardening in the rate for call money, or
the -eactionary tendency that has made
its appearance in the commodity group,
With the exception Of grain. It IS true
that cotton has been weak and more or
less authentic reports are IN circulation
REGARDING the pressure OF offerings OF
copper metal Undoubtedly much or the
hesitation may be traced to apprehension
over the passage Of the soldiers bonus
bill. and its trail Of consequences IN the
for L. Of added tax burdens. At any
rate present uncertainties over the action
Of Congress do not tend TO produce con-
fdence in the market outloOk.-CopyrlSnt
1922 BY Public Ledger Company
WALL, STREET GOSSIP BY MONITOR.
Weakness in several specialties spread
gradually to the general list WIN the
result that q general decline IN prices
was in progress when the market closed
Some Of the selling in the more specula-
tive issues was OF professional origin
but there also was apparent consldera-
Die quantity Of liquidation. There IS
general feeling in the financial commun-
ity that an extensive distribution OF
stocks by pools took place under cover OF
the wild demonstration in the steel shares
ten days ago hence a cautionary atu-
tude toward making new commitments
Atlantic Gulf and West Indies was the
first issues 10 show real weakness in
trading. Although the annual report VIII
not be ready Tor several weeks, IL is
known that the company sustained large
losses during 1920. There has been an
unconfrmed report in circulation Of
some legal difficulties confronting the
company. The action Of the stock has
been disappointing. and tired holders
were among the chief sellers. Some short
covering from time TO time brought
rallies of a point. but these were short
lived and the close was within a fraction
Of the bottom.
[. S. Food Products was another weak
feature OF the early trading. Under
large offerings the price declined nearly
two points 10 a new low record for all
time After the regular meeting Of the
board today, President Palmer said,
There IS nothing 70 be given the public
now The financial difficulties Of the
corporation have been thoroughly aired,
and the question Of further banking ac-
commodatlons remains the uncertain fac
,or- There was little support in evil
dence.
Consolidated Gas advanced sharply be-
Tore noon 10 yUi2 on buying by shorts
- no were fearful Of q favorable decision
by the I. ). supreme Court in the ac-
tion by the company for the retention
Of approximately S13OOOOOO collected in
excess Of the legal SO-cent rate. When
the court adjourned taking a recess to
Feb. p without handing down de-
cision, there was scant demand for the
limited offerings which came into the
market, and the price declined five points.
A twO-point rally did not hold. Last
Thursday the directors referred to the
finance committee the question Of diyi-
dend payment and the latter. 1t is under
stood, VIII arrive al no decision pending
action by the court.
4 demonstration I'm the motor stocks in
the late afternoon attracted attention only
for q few moments, and the relapse was
even sharper than the advance Stude-
baker was bid up little over two points
volume of selling orders in other stocks
was plain evidence Of the purpose Of the
move in Studebaker. The buying Of the
motors was not impressive, while the sell
ing elsewhere in the list was OF excel
lent character.
The oil stocks were featureless prior to
the announcement from London that the
Royal Dutch Shell interests are about 10
issue additional stock Of 100000 in fl
shares. Both Royal Dutch and Shell de
clined on this news. and this selling had
an adverse effect other oils. There
was little evidence Of important support
in any OF these stocks. Some scale buy
ing was in evidence. but nothing that
would indicate sustained strength.
Call money opened and renewed at .
per cent at which figure the bulk Of the
days business was done In the after
noon belated borrowers had TO pay 513
per cent for their accommodation. Bank
ors said that the probability for main
tenance of . per cent rate is strong.
in view of the recent showing of the
clearing house banks. Out-of-town IN
stitutiOns are not inclined to leave funds
at this center at a lower rate than
per cent, bankers here say.
During the morning Reading held
firmly around - and there were conf
dent predictions made that the Supreme
Court would render a decision favor
able to the stockholders of the common
in the coal segregation plan. When court
adjourned without announcing its de
cision, the stock declined to Saturdays
low
The copper stocks were sluggish. At
least one of the import producers now
has Joined the ranks of those who are
Offering the metal in liberal quantities
at 1885 cents for first quarter delivery
and there are offerings unde this figure
70 second quater delivery. Demand IS
reported as light. both domestic and eX-
port This is believed TO be only sea
SOnaI dullness, but provides little in
centive for market activity.
Coco Cola was not affected by the de-
ciSiOn at Atlanta requiring the com
II. IL 1. -