The New York herald., 1922-11-17
FINANCIAL NEWS
AND COMMENT
Foreign Exchange Rates Ad-
vance Sharply-StOcks and
Bonds Irregular.

Individual influences in the various
financial markets yesterday, each in
dependent of the others. caused a curl
GUS mixture Of movements. Stocks and
bonds were irregular, with the stock
market at times displaying signs OF real
weakness. Foreign exchange rates ad-
vanced violently in the late hours of
trading, while cotton. just prior to the
closing of the market, suffered break
which extended to as much as 100
points in some positions. In the search
for reasons for this condition factors
were found which ordinarily would have
been passed over with but glance. but
which in the present uncertain state of
the speculative mind loomed very large.
Probably the movement having great
est significance was that of foreign ex-
changes. Their course was much the
same as that of foreign bonds and re-
fected about the same factors. Gables
chronicledN political developments Of i'm
portance The complete defeat Of the
Liberal and Labor parties in the Brit
ishe elections was interpreted in New
York as very constructive develop
ment, foreshadowing the elimination Of
the Liberals as political factor. Evil
denceS SO far received concerning the
British election are that the Liberal
party has suffered severely through
drains made on it's membership by both
Lloyd George and Bonar Law.
The advance of foreign exchanges
and foreign bonds also reflected to some
extent the better feeling over the Turk
ish situation. But when the Near East
difficulties were in their most serious
stage foreign exchange rates did not pay
as much attention to them as might
have been expected. Therefore, it is a
bit illogical to attribute to the i'm
proved situation anything more than a
slight effect on the international mar
ket. The latest development in conncc-
tion with the Near East affair was the
increasing evidence that at their con-
ference tomorrow the allied Powers will
be in complete accord in their discus
sions.
Movements in the stock market were
mixed, although there was a more
marked trend toward lower levels. Pro-
fessional traders still appeared to be
in complete. domination of the share list
and to direct its movements more or
less at will. The public interest in the
market has been very materially les
sened in the recent decline, partly by
reason of fear over the extent and vio-
lence of the decline and partly because
commission houses all over the street
hau 1a;v
to get out of the market for the mo-
ment. An honest desire to see their
clients safe on the sidelines was re-
sponsible for some of this advice, but
in other cases it was less disinterested
and was done largely for the purpose of
reducing loans and making a better
showing in replying to the New York
Stock Exchanges QUESTIONABLE.
Stock dividends continued to come
from several drectorates in large vol
ume. AT the same time whispers of re-
sumption of cash dividends and in
creases in current rates on many in
dustrial issues helped to keep the market
from being decidedly weak right through
the whole list
General Motors was accumulated In
heavy volume on reports that the divi-
dend was to be restored at yesterdays
directors meeting
In the bond market there was more
or less irregularity. with foreign Gov
ernment bonds and the fractions mod
erately strong. Others moved narrowly
and quite aimlessly.
The break in cotton was largely the
result of technical conditions. An at
tempt was made to attribute it to q
private crop estimate showing about
9,15O,o0O bales. but this is more or less
ridiculous when 1t is considered that
these hgures were pretty well known
before the last big advance. Call money
eased yesterday to per cent.