Evening star., 1922-09-03
LESS AGGRESSIVE ACTION
is NOTED IN STOCK MARKET
Minor Rails In Trouble Strike Situation
Not Ended-Money Ease Continues.
Financial Factors.
BY I. A. FLEMING.

BY I. A. FLEMING.
|, Again Wall street is in the mood
Of ignoring happenings. but 1t is q
little less aggressive in its forward
action. having been chastened a lit
tie by the developments in Chicago
and Alton, q one-time great railroad
system, by tho fluctuations in Erie.
by a big break in United Kingdom
| bonds and by a few less promising
happenings.
And, Wall street may well take
breath.
One sure thing-injunctions do not
deter desperate men from taking des-
perate chances.
There are penal statutes in the
code of every state that would seem
to cover the evils complained Of and
prohibited by the Injunction.
Under the elixer and dope Of easy
money and good crops. Wall street,
ket of the nation has kept on at a
pace, and for one entire year has
been disseminating the return to nor
malcy.
Everyone understands that money
Is cheaper than for years, that 1t Is
crop-moving era is passing without
any draft on central reserve cities:
that bankers have difficulty in max
ing sufficient loans to keep their
surplus funds employed and are US
ing low rates on Wall street call
more and more money going into
real estate ventures than ever before.
1t has been the persistent and
more or less frantic search for good
dividend payers by investors that
has been responsible for much of the
steady advance in stocks and bonds
Time after time and on occasion
after occasion the cause of this money
plethora has been commented upon
in these columns. And the same con-
ditions that were. in large part re-
sponsible therefore. are still existant,
SO that there is small chance Of any
nearby change.
And this ease in the market for the
circulating medium has been marked
by q trailing reduction in interest
rates and advances in prices on the
more moderate yields. Not so very
long ago 8 per cent interest was
available on certain bonds and then
IN, z and 61s and nov there are few
offerings over 6 per cent. while S per
cent standard bonds are selling close
chances good for a realization of this
market figure in the very near fu-
ture.
Investors, too. are turning to real
estate mortgages, using a fine dis
elimination in making selections.
No matter what the investment un-
der consideration, the non-profes-
sional Iayman should by all means
get the bankers opinion before tieing
up a dollar in any investment and
bankers are willing to give this in
formation.
Abroad-Perhaps q Rest.
As to the foreign situation the best
the street cah hope for is that Ger
many may know a short recess from
dunning-but at best 1t Is just put
ting off the evil day.
Conditions on the other side are not
improving with any rapidity nor Is
there any immediate prospect OF any
great betterment. 1t seems impossi-
Bile.
Leaders Of the former great nations
are trying their best to work out
plan Of salvation, but they find small
encouragement, and front pages OF
the daily press again read something
like war extras-with retreats ana
advances. mobilizations and threats.
Cancellation of debts Is still re-
ferred to more or less freely on the
other side just when using the in
terest on debts to pay bonus Is suS-
gested over here.
Wall street has ignored the threat
of bonus legislation, a measure that
a short time ago threw bankers ana
the investment public into conster-
nation.
There is small question that the
urbanity over bonus legislation exists
because the very men who Will oack
the measure with their votes UNDER
stand that the President will veto 1t.
and they, having made good on their
pledges, will then stand back of the
President. not the bonus.
Business Fairly Good.
In tho meantime business. consid-
ering the fact that two great strikes
are still unsettled and unsettltng Is
making as good strides as can bs
expected.
Clearings are keeping up in the
ea stern and central states, collections
are good and freight loadings hold
up remarkably we'll. all things con-
sidered.
During the last week the let up in
trading in local securities has been
decidedly marked. Buyers and sell
former looking for concessions and
in some instances obtaining them.
although as a rule there has been
but small disposition to stimulate
trade by making the slightest con-
cession.
The week has been marked by a
20 point rise in Real Estate Title In
surance shares comparatively in
active security.
Capital Traction and bank stocks
have held strongly, but railway has
been nominally easier and the type
settlers q little on.
The Merger Proposition.
A different aspect is placed on the
recent Senate legislation permitting
merger of the Washington Railway
and Potomac Electric Company. Some
of the old-tim antagonism has been
aroused against by the possibility Of
fought in the House, II, indeed, 1t
is not brought back to the Senate
for reconsideration. Just why there
should be objection thereto is not
thoroughly understood, as the union
would not take the two companies or
either Of them from the control of
the Utilities Commission.
The traction situation was working
along smoothly to the satisfaction Of
all concerned and this awakening,
this disturbance, where all was. ap-
parent peace. may be regretted.
A. b. A. C0nvention.
Tuesday. October 8, the first session
of the 1922 convention of the Ameri-
can Bankers Association will be call
ed to order by Thomas B. McAdams.
president.
After the invocation Thomas W. La
mont will deliver, what will probably
prove to be one Of the most impor-
tant addresses of the convention. He
in an address describing the work of
will be followed by President McAdams
the association during the year, prob.