The New York herald., 1922-04-25
FINANCIAL NEWS
AND COMMENT
Low Priced Rails Lead Ad-
vance of Stocks - Demand
for High Grade Bonds.

The financial markets yesterday. with
tho single exception OF that OF bonds
were featurcless. In stocks especially
there was a lack Of developments of
outstanding character. In the bond
market an unusually strong investment
demand for high grade issues developed.
which resulted in heavy turnover. with
substantial gains all around the list.
Utility bonds. particularly those of loca!
traction companies. were bought heavily.
and ell important issues of that depart
mcnt scored big gains.
With no news developments over the
week end 70 influence the trend of stock
prices one way or the other, the market
started or with a great display of
strength. It was soon displaced by a
moment or irregularity. after which
profit taking became the order of the
day. The market was called on to
absorb heavy offerings of stocks from
traders Who felt inclined TO turn their
paper profits into something more sub
stantial. and absorb them it did. At no
time was that selling OF a particularly
urgen. character. but 1t was persistent
and the manner In which it was taken
In the general list did not indicate by
any means that the upward movement.
had run It's course. Indeed. after those
offerings were out of the way the market
gave an excellent account OF itself and
prices moved forward easily.
The lower priced railroad issues
assumed the leadership OF the stock
market for the greater part OF the
session. New Haven was in steady de-
mand all day and moved up steadily
through 20. Ontario and Western was
another favorite for part OF the ses-
sion. and on heavy demand advanced to
.sh. Most OF the other rails were well
bought, and many spccialties. particu-
larly those in which group action had
been apparent went into new high
ground. The pools have not found any,
thing in the situation to cause them to
abandon their efforts TO move up their
special favoritcs.
Aside from the slight furry In call
money just before the sessions close
there was little change In the credit
situation. Time money continued to be
offered freely for around AZ per cent,
and bankers were not expecting the
500, 100000 Canadian issue. to be
brought out to-day. to have an important
money market effect. Comptroller Cris-
singers warning that speculative opera
tions in Wall Street might pull needed
funds from necessary enterprises was
not regarded seriously In banking circles,
in which 1t was held that there was still
plenty OF money to meet all needs
Nevertheless seasoned traders were In.
clined 10 caution as a result of the warm
ing, as they recalled very vividly pre-
vious occasions when Government of.
ficials have taken hand In the credit
situation as affected by Wall Street
speculation. Another theory advanced
In certain quarters that business men
wero beginning to sell securities 10
finance their expanding business was
regarded as far fetched. The offering
at this time OF 100000, 900 of Canadian
Government bonds at per cent. is an
excellent indication of the condition OF
credit and represents the only foreign
government issue OF as low as per cent
since before the war.
Foreign exchange was quiet and
fuctuated narrowly. Week end develop
ments in Genoa were negative IN so far
as they affected currcncies OF different
nations. Commodity markets also were
quiet, grains declining slightly on the
day and cotton going a little higher.