The New York herald., 1922-10-04
FINANCIAL NEWS
AND COMMENT
Professional Operators Put
Stocks Higher-Standard
Oils at New Peaks.

~ professional operations We're re-
sponsible for the reaction of the last
fortnight, they were just as much at
the bottom of the rise which started
in the stock market on Monday and
continued with increased vigor yester-
day. Reports from commission houses
revealed little or no buying for public
account and the preponderance of the
purchasing power which forced the
market so much higher on the first
two days this week was obviously pro-
fessonal in character
Whatever was the moving force be-
hind the rally. however. it was a more
or less convincing demonstration of the
paucity of offerings not only of stocks
but of bonds also. Whenever efforts
were made to buy securities they were
met with a scarcity of stock for sale
that made necessary bidding tactics not
too much to the liking of the buyers.
1t was inevitable that this situation
would bring about rally Of substan-
tial proportions and at the close yes
terday tho general list was up from
two to five and six points above Satur-
days closing levels.
But the very fact that the buying
was largely of professional character
detracts considerably from the inn
presslveness of the showing. All move
ments of Importance, of course. are
started by professional operations, but
-t-t- IL
ticipation must become pronounced be-
fore the major swing has struck into
it's full stride.
In yesterdays market there were
some sensational gains Certain spe-
clal issues in which there were either
individual developments at work or
strong pools In control moved forward
with extraordinary force. Notable
among these were Standard Oil of
California, which gained more than 8
points to 12s and Standard Oil of New
Jersey, with point advance to 20i.
both new high records. S. S. Kresge
shares advanced in rather wild fashion
for total gain of nearly II points,
making new high record at 1877.
Persistent inquiry for high grade in
vestment railroad stocks, such as Atch
son, Canadian Pacific, Union Pacific,
Louisville and Nashville, etc. indicated
how far overdrawn have been opinions
recently expressed as to the top of the
investment movement. 1t is true that
the steady absorption of surplus funds
by gradually expanding business is
bound to make its effect felt in the
market for investment securities, but
day to day movements in the market
prove that the time has not yet arrived
when investment in trade and industry
will swallow available reserves of money
to the point where investment in securi-
ties must end and their sale begin.
There was little In the foreign news
yesterday to cause any changes of signi-
ficance marketwise. Foreign exchanges
moved within a narrow range and with
minimum of business. What few
changes were recorded were largely.
though only slightly, higher.
q Grain prices, with one or two excep-
tidns. rallied somewhat. recovering just
about what was lost on the preceding
day.
In the cotton market two very impor-
tant monthly reports made their APP
pearance, but with little effect The re-
port on the crop showing condition OF
about so per cent was In line with esti-
mates made previously and had little ef-
feet on the course of prices. The same
was true of the Governments ginning
report. At the close, after a day Of
mixed and confusing movements. cotton
showed net gains OF s5 to 43 points.
Despite the increased activity on the
floor of the Stock Exchange money
rates headed lower. Renewals were
made at "a, per cent. which compared
with Mondays closing rate of 5 per cent.
Subsequently the rate declined TO Az
per cent. where II closed. No important
changes occurred in the rates for either
time money or commercial paper