The New York herald., 1922-07-27
FINANCIAL NEWS
AND COMMENT
Bears Attack Industrials, Be.
lieving Rail Order Will
Affect That Branch.

The stock markets first impression
yesterday from the Interstate Commerce
Commissions priority order for ssssn-
tiai freight shipments was that Il would
assist the movement OF goods and thus
have . favorable bearing upon corpo-
ration earninga
The result was IN early improvement
OF prices. Very shortly after the start
of business, however. the probability that
the prorating Of coal supplies would re-.
act against some branches Of industry,
not omittins steel. received attention
and proved Of use to short sellers In
dustrial shares declined In practically
every direction, and the receipt Of one or
two Items of unfa-orable application to
stocks before noon eaused the reaction to
progress moro rapidly In the latter part
of the Session. OIL. automobile, steel.
rubber and railroad equipment issues
left off point to nearly points lower
than the day before.
1t was decidedly q bearish day for
some of the oils and motor stocks. Re-
ports Of new salt water In ono Of the
Mexican oil fields depressed Mexican
Seaboard and Atlantic Gulf and West
Indies more than 5 and points re-
spectively. Studebaker was under pres
sure before and after the corporations
statement for the second quarter ap-
peared, showing profits equal to $11.50 a
share of junior stock. United States
Steel fell point after a fairly firm
start. Railroad issues did much better
than the others and diversion in the
Industrial list was caused by the rise
of corn products to q new high point In
the last hour.
The weekly steel trade reviews con-
tributed much to speculative unsettle-
ment. as through them were visualized
some of the serious results of the strikes
The Iron Age noted that classes of con-
sumers preferred over steelmakers
might use up most OF the soft coal out
put. throwing the latter back upon their
accumulated stocks. 1t was feared that
consumption of steel might be affected
adversely along with production by rea-
son Of irregular coal deliveries. Ad-
vances Of $3.50 to SIS a ton in coke prices
during the last week gave evidence Of
shortened coal supplies, as did a harden
Ing of pig iron quotations.
Sucn IactS ana fearS were 1alrly con-
elusive In recounting i'll effects of the
strikes. On the other hand the report Of
car loadings in the week ended July Is,
the second week Of the rail strike, dis
closed movement of general merchan-
disc which came close to establishing a
high record. Excluding coal, total of
1858 cars Of commodities were loaded
only l per cent less than the peak num-
ber Of the great traffic flow of the
second week of October, 1920. The COM
plete loadings Of the second week.-Mrs.
month comprised 860,9oT cars, an in
crease of 142,5SS owe, the preceding
week which contained the July holiday
The increase over the corresponding
week of 1921 was 86.023 cars.
The Treasury's plan to call In about
half the outstanding Victory Az per
cents. on December Is aroused heavy
buying Of the bonds, especially Of the
Series which are not to be retired. AS a
limited amount of the bonds are ex-
changeable for new An per cent notes
to run more than three years purchases
of the Victorys were evidently stimu-
lated by thoughts of such an exchange
The money market again favored bonds,
the call rate getting down from to 8
per cent.
Cotton and wheat lost ground, the
former being subjected to heavy selling
after stock market prices began to re-
treat.