The New York herald., 1922-11-10
FINANCIAL NEWS
And COMMENT
Strength and Weakness Alter
nate in Stock Market
Profit Taking at End.

( Movements in the financial markets
/ yesterday were curiously mixed. stocks
nuctuated rather widely and had periods
of extreme strength followed by mo-
ments of equally pronounced weakness
Foreign exchange rates recovered some
OF the huge losses of the early days of
the week. Cotton continued its upward
swing, with practically all options get
ting into new high ground. In the grain
markets early losses were partly oIfse.
before the close.
Probably the most interesting OF all
these movements. although without mech
significance, was that i'm the stock mar
ket IreSularity marked most of the
days business. but IN the last hour some
really important profit taking was en-
countered. with the result that the gen
eral list closed substantially below the
high marks for the day and in some
cases early gains were entirely wiped
out. Steel common came in for some
more urgent buying again, which carried
it up close to its high point for the year.
In the late trading. however. it became
extraordinarily weak and on persistent
offerings declined more than two points
from the days best price.
What transpired in the stock market
was largely the result Of professional
operations based on technical conditions.
In the case of Steel common, for In
day, followed by renewed strength yes
terday morning. was altogether too rapid
and aMlecline was certainly in order It
was not surprising that such news as
reached Wall Street yesterday concern
ing the delicate state OF affairs in the
Near East should be blamed for the sell
ing. 1t Is characteristic OF the financial
community that when it can find moth
it always turns to the foreign political
field
If any evidence were needed that the
cable advices from London and Turkey
had little to do with movements in
yesterdays stock market 1t was well
supplied by the action of the foreign
exchange and commodity markets. In
the former there was a sharp upturn of
rates which brought most of the CONT
mental currencies substantially above
the low marks of the preceding day. 1t
is more likely that the weakness dis
played i'm foreign exchange on Wednef-
day was in anticipation of yesterdays
developments abroad. Certainly the re-
covery of 90 to 25 points and more in
French and Belgian rates did not ind-
cate the presence of any new scare
abroad. The cotton market, usually
weak in war market" was strong
Wheat, on the other hand, which always
advances in a spirited fashion on war
talk. reacted.
The bond market was dull and fea-
tureless all day, with little change in the
general list. United States issues were
fractionally higher, gains running from
. to 80 points. Foreign Government
issues for the most part were lower. but
only fractionally So Money rates re-
manned rather high as compared with
what the Street had reason to expect.
Call loans on the Stock Exchange COM
manded u per cent. rate all day.
Although little change was shown in
the Federal Reserve ratio this week
there was nevertheless some substantial
shifting of funds While member bor-
rowings expanded by more than $780,
100000 there was a reduction OF more
than s35.000.000 in reserve deposits at
the central bank. This indicated the
extent TO which banks are being called
upon TO meet the needs of their cor
respondents and customers. An in
crease of S31.000,000 in circulation was
another indication of the same thing
Much the same state Of affairs was re-
Elected in the statement of the New
York bank