Evening star., 1922-08-21
Market STRONG;
! ADVANCE GENERAL
Rails and Industrials Lead
in Largest Movement
Since Last Spring.
BY STUART p. WEST.
Special Dispatch to The Star.

Special Dispatch TO The Star.
NEW YORK. August 21.-The
stock market today had the largest
and most general advance Of any
dsy since the elimination of the
active speculative movement Of April
and May. Trading did not reach the
volume of three months ago, but the
Advance was more confident than at
amy time since then. This increasing
activity as prices rose might have
bcer set down to one or all of three
causes. either a large participation
ly the outside speculative public, a
rnurc vigorous effort by the Wall
street pools. or an increased invest
ment demand.
All three influences doubtless play
cd Il part in the market OF the day.
But the investment factor was clear
L. the more important of the three.
Investment capital. more or less
crowded out of the bond market. be-
cause the higher grade mortgages
had got out of range of the ordinary
buyer, has had to make up It's mind
10 greater chances for the sake Of a
moderately high return.
BrondeninE of Market.
Hence II has drifted more and more
into the semf-investment channels OF
the stock market-into the dividend
paying rails. into industrials, which
went through last years slump with
out serious impairment. and public
utilities, the position OF which has
been greatly strengthened by the re-
auction of operating costs and the
more favorable attitude Of rate-mak-
ing bodies.
This investment buying movement
was held back somewhat by the labor
uncertainties. But today. with the
soft coal strike settled. with en- agree
;nsrt practically sure with the an
rhracite miners and with every
reasonable prospect of solution
within the next few days Of the rail-
into the market with full force.
Previous Highs BettereL
Nearly all the dtvidend-paytng rails
and many of the non-dividend pay
crs bettered their previous highs Of
the year.
This was true likewise of the rail-
way bond list.
The industrials and public utilities
were no less prominent. Railway
equipments. American Woolen. U. s.
steel common. Columbia Gas. Con-
Solidated Gas and Pacific Gas were
among those which entered new high
ground.
higher. even German marks gaining
with the rest The recovery in marks
and francs might easily have been
nothing more than one Of the familiar
periods OF profit-taking by successful
short sellers. incident to any great
decline. But it was reasonable to
suppose that 1t had some connection
with the reported proposal by the
members Of the reparations commits
sion to the Berlin government to
offer a counter plan to that submitted
by the French premier to the London
conference.
Sales Readily Absorbed.
Realizing sales were readily alb
sorbed for the most part, although as
the afternoon went on prices came
down somewhat from the top. Rail-
way shares were particularly we'll
sustained. and a number of them
like New York Central. Baltimore and
Ohio. St. Louis and San Francisco, the
81. Louis Southwestern. the Wheeling
and Lake Erie and Pere Marquette
reached their high points in the last
hour. With the prospective settle
ment of the strikes. the forthcoming
terestinE as they would have been a
week ago. It Is doubtful II they have
any effect at all upon the market.
Railway stocks and bonds in their
remarkable upturn in the last few
days have simply been discountins
the extraordinary earnings fore
Swallowed during the next few months.
when the roads. in addition to the
heavy grain movement, will be called
upon to handle the pent-up coal ton
mage and the unusual shipments in
other lines that have been delayed by
the strikes.