The evening herald. [volume] (Albuquerque, New Mexico) 1914-1922, 1922-06-24

i've WlIANlM HANF AtANNiNNA w
point whore they are most affect
Cd by special Developments In their
own narrow sphere rather than by
tho general progress OF Internal
tionni finance and business. and VI
has been characteristics % the stock
mnrkot, In recent weeks. that
some Of It's most violent reactions
have occurred simultaneously with
1.-The reports Of the most favorable
economic Developments. This may
be accounted for on the doullc pre-
mise that movements Ia the stock
mnrkct prcccdn by from four TO
six months the march OF events In
tIaIo and business and hat the
market operations OF professional
i operators are often tho largest
single factor In determining the
swing OF prices Of individual
stocks. This IL particularly true
az tho end OF either an upward
or q downward movement. when
small traders nave been induced
to come into the market and over
extend their accounts on weak
margins or to honcycomb tho
markets with Etop-loas orders,
which make fruitful game" Tor
the professionally who make a spec
inl point Of trying to dislodxe these
accounts From an economic >tand-
point. therefore. breaks and adj
vnncea In speculative stocks in the
comparatively dull summer season
have no particular Significance, eN-
oopt az indicating that active COM
petition between the professional
bulls and bears Is still present In
the market place.
Money
by far the most important de-
velupments OF the last few weeks
have been In the money market
both at home and abroad. The
Bank Of England has nsnunicd the
Initiative which II Was hoped
would be taken by our W feder-
al reserve bank. marking down
their discount rate twice success
siveiy between similar periods NJ
action by the New York federal re-
serve bank and thus establishing
the London market IA n lower
market of discount than New York
or any other American financial
center. However artificial such nc
ton by the Bank OF England may
he held to be. II has certainly AS
sisted In the flotation OF n number
OF new bond laslca that have long
been hanging fire.
In the domestic market. new
bond issues continue to reach the
market at the rate OF about one
hundred million dollars per week.
OF which about onc-fourth are new
municipal and state fioiations, ono
fourth foreign issues and the hal
ance divided between domestic In
dustrial, public utility and railroad
bonds.
Turing the past year 1t 10 csti-
mated b a a billion and n hall
doilarH OF foreign loan have been
noatcd here. this being mt he rate
OF more than SEQ. coo. 600 a month
American Investors have natural
~ been attracted hy the high rate
OF income on these foreign bonds
and their participation has been
resumed by the Enforcement OF
conservative American bankers
and. In some cases. by the lndorse-
ment OF our W government. The
demand for foreign bonds has In
crensed as the Yield on prime do
nestle Issues has declined.
Prior TO the war the process was
Just the opposite. foreigners buyins
American Industrial and railroad
bonds In preference to their ISSUES
, hccnusc higher coupon rafnr were
to be found In America than Iu-
ropo.
Corporate mnturiues in July
s VIII be fairly heavy. amounting 10
about $4,000, 600 and decided
somewhat as folluwsg Railroads.
900. industrial. $50. 600. 900. he
! cause of the large nmount OF th.s.
manirities aud the heavy receipts
OF Investors. the reinvsstmon; de-
mand during July Will be propor-
uonatcly heavy. This will DO par
ucularir encouraging TO banking
tNndicntcs which, II Is undt ratood.
! nave quite "A number of new issues
TO introduce Ia the market.
brsiitr the considerable ADVANCE
IN prices or the various issues OF
. government war bOnds during the
y past Few months. Il will be possible
. 10 secure % Yield 81 better than 4
? per cent on most OF the outstand.
= ing issues. r~onHcrvatsv, INVESTOR
a who showed their preference for
: Liberty bonds when they were sell
J. ms below 20 are thus assured OF an
income Yield Of around 6 per cent
TOR q good many years to come.
, ana nave good reason 10 congratu-
late themselves upon their fore
R t"N'AAt btNu issue MNlrn are
. now selling at par yield fi-4 per
cent. "
Industrial Disputes
d The best proRnosficafions for the
future OF bualnesa and Industry are
: often upset hy n~nfortunnte d.vel.
I opmonta hr the hbor situation II
u not always easy 70 lay the blame
7 for those Developments when
4 cause the laying OFF OF thounnnds
Z OF men from productive pursuita
sometimes u n due to tho unroas
Condolences OF cnpitaiiutlc employ
crH, sometimes to cntasfrophes
a over which men have no control
ana quite often 20 the diaantinfnc-
uon Of working men over working
4 conditions. The neccnelfy for an
adequate return for labor IN tho
: muin consideration Of the working
man and tod often his righfa are
suhordinatcd TO other factorn. The
public. o. course. does not with Ia
take sides hut 10 subjected to a
10 good many Inconvenience durinn
tho process Of the owe
between employers and employees
The strike IN the coal regions
has been quite serious. hat not a.
epectncuinr an 4 would have been
IN the winter months. Conaidera.
4 ton may also be taken OF the fact
that the coal Industry has iiser
"a Ffeatiy ovef-manned and not toe
well organized To-Day the a9untie
faces an uphonNnf OF another clan,