Indiana daily times. [volume] (Indianapolis [Ind.]) 1914-1922, 1922-04-03
MARKET
REVIEW SHOWS
HEALTHY STATE
General Upward Trend Is
Noted in Weeks Trading
Shorts Cover.
OUTLOOK IS BRIGHT
Special to Indiana Daily Times
and Philadelphia Public ledger.
BY MONITOR.

Special to Indiana Daily Times
and Philadelphia Public Ledger.
BY MONITOR.
NEW YORK, April Swell sustained
activity, a generally upward tendency
and special strength in certain issue;
have given the market of the week JUS
closed the appearance of strength and
confidence. 1t is not at all unlikely short
covering on a large scale has been il
great measure responsible for the rise il
a few of the favorites among the equip
ments and motors, but there is no rea
son why this should detract from tbs
merits of these stocks. The professional:
merely miscalculated the strength of the
market position.
As a matter of fact, the failure of the
market to respond more substantially
to the imminent prospect Of the Goa
strike has been a great surprise to the
professional element here 1t was fell
this labor disturbance, coming on tor
of the spread of the walk-Out among
the New England cotton mills would
throw into bold relief the possibility Of
widespread unrest. The failure of thC
market to give the expected consider
alton to these features was due chiefly
to the ample supplies of fuel on hand
and the belief the output OF the D"1
union mines would operate still fur
Their to prevent scarcity.
As the textile strike, the cotton manu-
facturers are in a position where in
definite shutdOwns are preferable to
yielding. As an Illustration, it might be
pointed out one great concern making
staple fabrics has a production cost at
present 80 per cent greater than its lead
ing southern competitor. The southern
concern has reduced wages 80 per cent
but the New England company has .
strike on hand as a result of its effort
10 cut wages 20 per cent. The economic
factor is with the mill operators. and
while the struggle may be prolonged. the
outcome appear inevitable.
MONEY EASIER THAN
QUOTATIONS INDICATE.
So far as securities are concerned, II
would be impossible to explain the pres
ent remarkable market on any grounds
that would leave out Of primary con-
sideration the money situation and the
technical position. Money is easier than
official quotations indicate. Call money
mas UcGA uANAEu III quantity suDstdAANl0A-
IL below the official rate, and undoubted-
" the powerful pools are financed on a
basis that minimizes the cost of their
operations.
The position Of the market is healthy
because Of the tsence OF any unwiledly
speculative long interest for outside &C
count. Proof Of this state of affairs IS
furnished by the moderate size of loans
for the account Of brokerage firms. The
failure Of the public TO enter the mar
ket on a larger scale probably is due Il
the fact the influences that have beer
operative in the market thus far are not
Of the kind that impresses the mind Of
these speculative laymen. Big earnings
booming business, sharply advancing
prices, increased dividends and all thu
other trappings Of imitation are OF tn,
sort making the most effective appeal
The mere abundance Of money. that FOL
the moment is seeking no other channe
Of enterprise, sayOrs too much OF tech
niacality to be readily grasped by tn,
outsider
Meantime. business is showing a pre-
pOnderance Of improvement. Thus far
can not be called a general gain, but thu
majority Of items indicate unmistakal u
a forward movement Building is on
ceeding at a 20 per cent rate; copper
mining IS on the eve Of resumption
with the porohy properties opening thi:
week The garment making industry
seems to be on the verge Of settlin.
down to = production basis The bene
fetal effects of~the rise in farm products
are found IN increased purchases Of fer
tilizer and agricultural implements.
FOREIGN REPORTS
NOT ENCOURAGING.
Our foreign trade figures, it IS true
sAsne little occasion for encoura cement
&3t Is hardly TO be expected Natior
~ mas our commanding creditor posi-
<<&At Is now refusing TO grant addi
2 4<{2 ,redits and is one the eve u
<%4 tariff bill that viii prevent It!
3< debtors from discharging theil
~ bns in goods, can expect the type
nsion in its overseas commerce
- viii increase its pre- eminence as &
Seller, and seller only. February figures
On foreign trade issued this week show
f<aut Of a total decrease of S23S, OOOO 900 IL
sports as compared with February
XR1, our shipments abroad OF finished
49, nufacturers declined S133, O)O. 600
antime, Great Britain, Argentina anC
her countries are showing a disposition
grant credits, with the expenditure Of
se proceeds of the loans, Of course, hav
81 directed to the advantage Of tn,
pder.
There has been a distinct improvement
~ the railroad earnings situation. Re
&rns thus far indicate the probabili;
a a net operating income for Februarl
a approximately per cent for class
lads. II the complete returns justify
Is assumption, IT will mean that Feb
X%ry will be the first month since tn,
Z nsportatiOn act was passed in which
stfe carriers will have realized the re
Ndrn contemplated by its provisions.
One feature should be borne in mlnC
is the probability of recognition Of tn,
present government Of Mexico. This hal
been considered unlikely to the point o.
extreme improbability. but recent rumori
as well as the action of certain stocks
collaterally identified with the Mexican
situation, lend color to the belief sucl
a development may be looked for in tn,
near future.-Copyright, 1922, by Public
Ledger Company.