The New York herald., 1922-03-18
FINANCIAL NEWS
AND COMMENT
Stock Market Has Broadest
Day-Prices Disregard I'm
favorable News.

The greatest number of stocks ever
dealt In In the New York Stock Ex-
change in one day, the heaviest turn
over of stocks this year, an exceedingly
active and strong bond market and
markets for foreign exchange and
the start Of business. all reflected yes
terday the influence Of low money rates
and confidence held In many quarters
that the business outlook had grown
measurably brighter this month. Easy
money was undoubtedly the most
potent factor in securities, and the ra-
pidity with which capital was flowing
into bonds and notes for the sake of
higher return than at present can be
obtained in business undertakings and
collateral loans was shown in the quick
sale Of large blocks of new funded is
sues. The bankers who handled the re-
Gently offered $4,000. 900 Of the city of
New York's AZ per cent. loan closed
out the last Of their commitments, hav-
ing sold more than 900 in two
days. The sSo.00O,oOO Of the Paris
Lyons -Mediterranean Railroad Com
pany's 6s. offered in the morning were
oversubscribed before early afternoon.
French Government bonds and several
domestic railroad issues went to new
high points.
There were so many directions in
which confidence In respect to prices
had vent that complete description
would run to more detail than can be
presented here. 1t could be said OF
stocks that - no other session of this
siliency, as net gains of point to 5
points in active issues needed to be
measured against a persistent flow OF
realizing sales, a frequent development
on Friday during rising movement.
Records of industrial company losses in
1924 were practically ignored. Instead
Of receding sharply as the result of its
omitted dividends Crucible Steel left off
with net gain, early efforts by short
sellers meeting with merely temporary
success United States Steel common
approached its years highest price
closely when it sold at 96h. News of
an increase in the price of petroleum at
prominent Texas field helped carry
petroleum stocks forward. offsetting the
sentimental influence attached to the
omission of the Tide Water Oil Com
pany's dividend.
1t remains to be seen, Of course,
whether or not call money can remain
for any length of time at yesterdays
minimum levels of per cent. on the
New York Stock Exchange and Pa
per cent. outside. But a stiffening of
little effect on the general loan market
so long as time funds could be obtained
at to AZ per cent. and while COM
mercial paper was discounted at Az
per cent. or lower The tax payments
and transactions In Treasury certifi-
Gates have concentrated deposits in New
York. which will be reduced gradually
next week That natural outflow, how
ever, is likely to have less force in re-
gard to money quotations than the
marketing of new bonds and accumula-
ton of old issues by investors, which
promises to be very heavy in the next
fortnight.
The Governments report that stocks
of wheat on March 1 we're the smallest
for that date in ten years, with one ex-
ception, urged forth large speculative
buying orders, carrying the May option
upward 3A cents bushel. At $1.39ss
May wheat was 101s cents more than
this weeks lowest figure and showed q
recovery of half the decline from the
best quotation of this year.