Indiana daily times. [volume] (Indianapolis [Ind.]) 1914-1922, 1922-02-06
FACTORS JOIN
IN PRODUCING
MARKET GAIN
Weeks Developments Show
Good Foundation for
Activities.
REPORT SUPPLY SHORT
Special to Indiana Daily Times
and Philadelphia Public Ledger.
nv MONITOR
By MONITOR.

anu ulidQSi plild ubAlS 0CN6CAF
By MONITOR.
NEW YORK, Feb. G-Both technical
and fundamental factors have made their
contribution to the improvement in the
tone and conduct of the stock market for
the week. There seems to be no doubt
of the favorable position marketwise, fol
stocks have been in none too plentiful sup
ply, and even the pool managers, who an
ticipated a more substantial reaction,
have had difficulty IN getting back the
lines sold out in order to provide pur-
chasing power in the event of a trouble
some setback. At no time, it is believed,
have public speculative holdings of stocks
been large and as a result the advent Of
fresh buying finds the market in a re-
sponsive attitude.
As a consequence Of the upward tend
ency, there has been much more dispOst-
tion to give consideration to certain fay-
orable developments in the general sit
uation. The strength in the foreign ex-
changes and the rise in sterling which
crossed 1888, may be construed as bro
metric evidence of financial improvement
in Europe. The strength Of sterling Is
not in consistent agreement with the
gloomy reports from Manchester on the
state of the textile industry or general
business conditions in the United King
dom. Private cables during the week
have predicted that the British Board of
Trade reports on exports from Great
Britain in January would make the poor
est showing for any peace year, in the
last half century.
BRITISH FISCAL AFFAIRS
CONDUCTED WITH SKILL.
On the other hand, British fiscal af-
fairs are being conducted with extraor-
binary skill and judgment. The an
nouncement made a few days ago that
government Indebtedness in the last year
had been reduced $246, 100000 records an
achievement for any nation to be proud
Of, one in fact that the United States
cannot equal. 1t should be borne in
mind that this has been accomplished
without indemnities or tribute and comes
on top Of balancing a budget in the face
of abnormal difficulties.
Among the other favorable foreign
items is the reported acceptance of wage
reductions by large groups of operatives
in Lancashire, to go into effect early this
month, and the belief that the economic
conference at Genoa may amount to
something after all. Great Britain, of
course, is suffering an economic penalty
over political grievances in the form
of boycotts in India and Egypt against
British goods. This is the work OF po-
litical agitators.
From a domestic standpoint, primary
Importance should be given to the final
agreement on the naval disarmament pro-
gram, thus leaving the atmosphere much
clearer than it was short time ago, and
to the pronounced tendency in the direc-
ton of lowered production costs This
movement is now well under way in the
New England mill district and manufac-
turers do not believe that the textile
industry can be stabilized until ade-
quate wage revisions have been effected
Competition with Southern mills is diff
cult because Of the lower wage scales
in the South, and the higher overhead
expenses in the North, one of the i'm
portant items Of which is the cost of
heating the plants.
The lowering Of production costs IS
proceeding in many industries and 1t Is
bringing gradually nearer the restoration
Of equilibrium between the various pro-
ducingt groups. sOne of the most impor-
tant discussions at the recent aGricul-
tural Congress in Washington related
TO this very question, and in fact was en-
bodied in one of the resolutions adopted.
Another point brought out was the neces-
sity of more efficiency in agriculture,
which would make it possible for farm
ers to obtain a larger profit in spite Of
debated prices.
So far as the money outlook is con-
cerned, no special Importance is at
tached to the decline during the week
in the ratio of the Federal Reserve
system 1t is believed that this fuctua-
ton is merely an inciednt resulting from
shifting of money and credit at the end
of the month The time money market
gives no evidence of recurring stringency.
Financial circles are disturbed over the
prospects for the passage of the soldiers
"bouEs bill Various rumOrs emanate
from Washington, some of them asserting
positively that the bill stands no chance
of passage owing to the difficulty in the
way of tapping a new source of revenue.
There is nothing in reliable political
gossip, however, to justify the hope Of
defeating the measure.-Copyright, 1922,
by Public Ledger Company.