Evening star., 1922-05-22
GREAT ACTIVITY IN
THE STOCK LIST
Higher Prices Are the Rule,
Public Buys Back
Its Shares.
BY STUART p. WEST.

NEW YORK. May 22.-The two fore
most features in the markets today
were an enormous turnover in the stock
market and the conspicuous weakness
of the continental exchanges, espe-
cially francs and marks.
The big business on the stock ex-
change and the further advance with
which it was attended clearly indi-
Gated that the outside public had recov-
cred from the check given the specula :
tive movement at the outset OF the
month and was once more pouring its
buying orders into Wall street.
These outside purchases and the
operations of pools and large trading
interests encouraged by their prohtabie
ventures of the year so far. supplied the
Two main elements on the buying side;
On the other hand. realizing sales
were extremely heavy and made their
influence felt While advances pre-
even and there were many STOCKS Which
either failed TO gain or fell behind
Francs Are soft.
For the first time in three months
French exchange got below the y
cent level.
German marks got down close 10
their extreme low Of the last week
In March.
Italian and other continental rates
were lower. but not in any important
degree. while sterling stood up
strongly,
1t was apparent from this that the
main factor in the exchange move
ment OF the day was not the Bul-
sarian revolution nor the warllke
statements of the Russian Trotsky.
Had there been any genuine un
easiness on either of these two mat
ters, it would have shown on British
exchange as well as the rest.
The fact that the only real weak
ress centered in French and German
rates. proved it was anxiety over the
reparations question that was the
main consideration.
Selling of francs and marks for
the last week or more has been mere
ly speculative discounting of the an
ficipated German answer OF May 81.
Motor stocks.
Spec,ia,ors went into Studebaker
with enthusiasm, once it was apparent
that the stock had started upon q
fresh upward move. There is Ger
tainly nothing new in the fact that
the company earned Sc a share in the
first quarter and is expected to earn
SO in the second quarter. Yet these
earning results are the whole basis
for the bull operations IN Stude-
baker shares
know is whether the campaign has
the same sponsorship that previous
moves have had. and there seems
no doubt that this question can be
answered in the affirmative.
sears-Roebuck.
A big block of Sears Roebuck was
taken at II. following which the
stock pushed ahead rapidly. The
earnings for the first quarter were
s7.304. 900 less than for the same
period last year but April made a
much better showing and from all
indication May will be a considerably
better month than April.
Republic and Midvale.
On Saturday Republic Steel and
Midvale Steel had been hastily
thrown over by the speculative fol-
lowing which jumped TO the con
clusion that the withdrawal of the
Youngstown Sheet ~and Tube would
mean the disruption of the whole
six company deal.
To-day this Judgment was revised.
1t was recognized that these com
panies are bound to f1gure in some
sort of combination or combinations.
Republic Steel and Brier Hill were
linked together in all calculations,
and there was eager buying OF Re-
Financial Notes.
The Delaware llSCkdW anna 0
Western railroad for the first quarter
of this year showed total income Of
$5.277.65l Surplus after charges
showed a decrease of s1.eo1,14o
The General Motors Corporation
expects its units to exceed produc-
tion and sale of 10000 vehicles this
month.
The United Shoe Machinery Cor
poration for the year ending Feb
ruar IS. 1922, earned s1.7s a share on
its common stock. as compared with
SIS cents for the previous year.
The initial dividend of the Hudson
Motor Company will be so cents a
share, and is payable July l to stock
of record June 20.
Members of the New York Coffee
and Sugar Exchange have voted to
close the exchange Monday. May %
White Eagle Oil Company increased
10000 gallons in the first four
months of this year. So far this
month sales have been so per cent
over those of May 1921. one-third of
this gain being in Kerosene.
Investment Buying.
While the principal part of the days
big business on the stock exchange
was speouls tive, there were more
signs of investment activity. The
better class of railway mortgages
were higher, although the gains were
slight, and stocks of an investment
type, like the dividend-paying rails
American Telephone and Telegraph,
the high-prIced tobaccos and various
Industrial preferred shares came in
for more 2atention. with some of them
up quite sharply.
This was the investment markets
response 10 the reduction last week
in time money rates. The prominence
of the railroad stocks-both the
higher class members of the dividend
group and the low priced altogether
speculative issues-expressed the re-
assurance felt at the outcome of the
White House conference with the
railway representatives Saturday
night. There had been some hesita
tion at the possibility of some drastic
encouragement regarding rate cuts.
On Rail Rates.
AS It. now appears, neither the ad-
ninist-ation nor the Interstate Com
merce Commission is inclined to force
the hands of the carriers. The latter
may initiate lower rates in certain
specified commodities like they did in
the case of hay and grain at the
outset of the year.
But the chances are that there will
be no general reduction until the
labor board has acted on 1.-The new
wage scales. and then the roads will
carry out their promise to pass on
TO the public whatever saving in
labor costs may come to them,
Railway stocks had been consider
ably out of line with industrials in
the advance of the last fortnight
Today's operations served to partially
close the gap. Such representative
issues as Delaware and Hudson, Della
ware. Laokawanna and western
Union Pacific. New York Central and
Pennsylvania either equaled or sur
passed their best previous prices Of