Evening star., 1922-08-13
STANDARD SHARES
IN Strong HANDS
Wall Street Observes Axiom,
"Never Sell Stocks on
Strike News"

NEW YORK. August 12.-Wall
streets traditional axiom: Never sell
stock on strike news" was religious
ly observed by important invest
ment interests this week when quoted
values in the financial markets moved
TO higher ground. several to new
high records for the year, regardless
of the fact that the coal and rail
strike situation had reached criti-
cal stage.
The strong undertone that prevailed
throughout the week gaVa ample evil
dence that standard shares werS in
Slrang hands, brokers reporting that
the floating supply of stocks was the
smallest in several months. Attempts
OF short interests to force iiquida-
ton was generally unsuccessful ex-
cept in the case Of few individual
.Shares which lacked effective buying
support.
The governments forecast of
bumper crops this fall had beneti-
c!ai effect on the shares of northwest
ern railroads, railroad equipment con-
Germs, farm implement companies.
mail order houses and other organ
izations which would he likely to
benefit by the increased buying pow
er of the farmers. Indications of an
early settlement of the soft coal
strike also was held responsible for
the advance in some of the issues OF
industrial concerns, which have been
hard hit by the fuel shortage.
Deterrent Effect of Strike.
Further evidence of the deterrent
effect of the coal strike on the iron
steel and other basic industries was
noted during the week, several more
blast furnaces being blown out and
production generally being curtaiIed
The gain OF over lao. 900 tons in the
July untitled contracts of the United
States Steel Corporation was con-
strued as being due to curtailed pro-
duction rather than to any heavy in
crease in orders. However, it is
known that several of the larger
steel companies have been forced to
decline orders because of the pres
ent impossibility of filling them.
Every indication points to strong
industrial revival upon the settlement
of the coal and rail strikes. When
the autumn movement of the new
crops to market gets under way it
is predicted that railroads will be
hard pressed to furnish cars and
other facilities to take care of the
vast volume of traffic.
New High Record in Building.
Building operations during July
reached new high record contracts
IN tWtnty-SeNen NOrthsaStern states
amounting to $3.50 900 .000. an increase
of per cent over the June figures
and an increase of more than GO per
cent over July of last year. There
has been n slackenirg in the demand
and production of motor cars. as is
customary in this sea son of the year.
Interest in the foreign situation
was centered on the meeting OF al
lied premerS in London. Foreign eX-
changes We're irregular. owing to the
early uncertainty regarding the out
come of the premiers' meeting. Cable
congestion, due to the seizure of the
landing stations i'm Ireland by the in
surgent forces, caused q virtual ccs-
sation of commercial business in for
eign exchange for nearly two days.
but some Improvement was noted
toward the end of the week.
Firmer Tone in Call Money.
A somewhat firmer tone was noted
in the rates for call money. which
fuctuated between IL and ) per
cent. This was attributed to with
drawals by interior banks to finance
the crop movement. Money was in
ample supply. however, the absence
of any stringency for some time to
come being indicated by the weekly
report of the federal reserve system,
w which. showed a reserve ratio of S0.4
per cent, the high record on the
present movement.