Evening star. [volume] (Washington, D.C.) 1854-1972, 1922-05-05
market lSBR0AD,
At H|GHERPR|CES
Lower Money a Factor in
Specuiatien-MineF Shares
Develop Activity.
BY STUART p. WEST.

NEW YORK. May 5.-The impor-
tant incidents in today's financial
markets were a new high record for
the year in sterling exchange, an
other huge expansion in German note
circulation. reported by the Reichs-
1sbank and a renewal of the advance
in stocks.
Crossing s444as. sterling not only
established a record for 1922, but
stood at the highest in three years.
The most Interesting part about
this movement is that 1t has been en-
tirely distinct from that of the other
European currencies. 1t has not been
halted like the rest by the uncertain
ties attaching to the Genoa confer
ence and German reparations. 1t has
been a plain record of Great Britain 8
improved relations in the foreign
trade and of the balancing of the
that first among the nations of the
world England has reduced its income
tax.
Increase in Marks.
The jump in German note circula-
ton during the past week eQualed
the hitherto unparalleled increase Of
the first week of April-it amounted
.the total up to 140. 400. GOO. 600 marks
as against 113.63s,0O0.000 at the be-
ginning of the year. and ~. zoe. 900 not
quite year ago. before the start Of
indemnity payments.
y In other words. the terrific strain
upon German finances is indicated
by the fact that paper money out
standing has nearly doubled within
the last twelve months, and is seventy
times greater than it was before the
war - s
It became perfectly apparent that
Thursdays decline had been merely
"a temporary check in a stock market,
the main tendency of which was still
upward.
= AS soon as it was discovered that
the selling movement had run its
course, the Wall street pools got busy
again. and one after another, follow
ing the usual formula, large array
of, favorites were bid up.
!. Very little was to be said about any
of these movements-thati is anything
In the way of news. They simply
demonstrated that the speculative in
terests which have been guiding the
market for the past four months have
not lost their grip despite the advance
In prices.
p. No doubt it was a matter of en-
scourasement to these operators that
the. slight signs of hardening early in
the week in call money quite disap-
'peared. The renewal rate, which stood
yesterday al II per cent, was HAeo Al
AZ per cent.
Money Easier.
Time money was unchanged. but
rates on bankers aceptances-Quite as
fair a measure as any of the lendable
money supply-were reduced Is per
cent, a new low for the year, and in
deed the lowest in six years.
If the easier drift in money helped
the speculative market, it had no dis
cernable effect upon the investment
, list. Nearly all the representative
government issues were unchanged and
the same tendency showed in the mar
ket for liberty bonds and the higher
grade of railway mortgages.
1t was noteworthy that French gov.
eminent securities were again under
some pressure at the lowest prices al
, which they have recently sold.
steel Tonnage.
The untitled tonnage statement OF
the United States Steel Corporation
due to be made public next Wednes-
day and covering bookings for April
'will show an increase of between
5000 and 100000 tons of untitled
orders The previous months showed
an increase of 353,079 tons. The April
figures therefore make the largest
month in bookings since May, 1920
while the total untitled orders are
brought above 100000 tons or the
largest since June, 1921.