The Rock Island Argus and daily union. (Rock Island, Ill.) 1920-1923, 1922-06-22
S1OCK MARKET
PRICE CHANGES
ARE CONFUSING
sY STUART P.wEsT.

msn street, New York, Juno e.
Tse reduction of the New York
As.rai reserve discount rate from
81 rer cent to 4 per cent announc-
j. affair the close OF business We'd
.ssoay' mas had effect on both the
..,ek and bond markets To-Day.
uoueyer, THIS effect was mainly
.an,imentaI inasmuch as the OUT
.,ae money market had long ago
.-,,c;nated the action of the re-
go authorities. The stock mar
=, on the DAY was "a very confused
ssrsss of price changes. Opinion as
Z ,he immediate drift of things
80 yery much divided. and this
,saved itself in a great majority Of
sonAicting professional effort, first
= oue side and then on the other.
The market started out rather high
= Then selling broke out in some
= the motors and oil shares and
~ rhoIe market for an hour or SO
sas dragged downward, but in, the
ssrlv afternoon a diversion was
ereated BY a suddenly inaugurated
saving movement in the railway
stocks
The picking up of the rails
1 caused some surprise in view OF the
uncertain labor outlook. But in
reality il was a logical, if belated,
4 rssnonse to the statement of rail-
raw officials belittling the strike
1 threat and expressing confidence
that if a strike does come, it viii
4 he easily defeated. New York Cen
A tral was the leader of the dividend
paying rails, the especial strength
al Baltimore and Ohio and Chesa-
( beake and Ohio-stocks of roads
/ depending largely upon coal traffic
was an interesting sidelight upon
ouinion in railway circles regard
I Ing the outcome of the strike in The
coal industry.
The most important result of the
4 Federal Reserve discount reduction
4 occurred in the Investment bono
market and this especially in the
A market for Liberty bonds. In these
there was quite remarkable dem
oastration. Under the most active
II luYlLE StGH IA 5OLlS Nl1lAC OAA'
Of the IA percent loans were car
4ried from the new high prices
j other government issues were not
however. affected; at the momen
they are too much concerned will
] European developments and thu
course of exchanges to be sensitiv,
TO the money movement on thi
4 side. Company bonds were some
whit higher, but still, in the cas-
Of Soth the railways first mort
i cages and high grade industrial
bonds. were we'll under their higl
price Of two months. 1t will b
Interesting to see whether the res
Of the market will eventually fol
low the U. S. war securities int
new high ground.
A In the money market the lower
ing of the federal reserve rates ha
been fully discounted Call none
was reported as rather more pken
i ,iful but quotations were the sam
4 as they have been for severa
aveeksN past. This was true also {
mercantile paper. After the violer
Ejaculation in sterling and contiT
&ntaI bills which had been goin
Hon since the start of the weel
adealings quoted down considerabl,
EThe indications are that receI
speculative operations in sterlin
ahave been Improbable to those III
3dertaking them. The market fC
Continental bills. relieved from II
urgent pressure of week ago, hs
Evidently settled down to ava
more assurance that Germany Wi
be able to meet the July install
! nent of Preparations.