Evening star., 1922-04-20
STEEL over PAR,
INVESTORS BUYING

I INVESTORS BUYING
BY STUART p. WEST.
NEW YORK. April 20.-The main
point Of difference between today's
stock market and that Of Wednesday
lay in a falling off in the volume of
business.
After an hour or more Of heavy
trading. excitement suddenly suosid- :
ed and the whole tone Of the market
became quteter than at any time Tor
q week.
Two inferences were to be drawn
from this. The first was that the rise
OF yesterday and this morning was.
to some extent dependent upon the
Setireme4t Of a defeated short inter
est and that the market was feeling
the effect OF the withdrawal OF this
supporting force.
The second was that enough stocks
had been supplied from important
banking and investment quarters.
where the recent speculation was dep
recated as excessive, to chill the
markets enthusiasm.
The investment market was not
discouraged by the continued failure
Of the federal reserve banks to reduce
their discounts.
More Investment Buying.
Yesterday the speculative market
had been more prominent than the
investment market. Today 1t was the
reverse.
Not only was the advance resumed
in the bond list, but in the stock mar
ket issues of a semi-investmene cha'-
aCter were more to the f0re.
Some Of the preferred inGastriais
and stocks of the type Of the Am. RI :
can Telephone and Telegraph renee
ed the presence Of investment buying
and so did the dividend paying an e.i,har .aalr
way shares, many OF whicn e'enef
drew close to or passed thelr pre-
vious highs Of the year.
Little happened In the foreign ex-
changes They threw no light Wna.-
over upon financial opinion regaro,ng
tho Genoa conference and upon tne
outcome Of the controversy which mas
arisen over the German-Russian
agreement.
Steel stock at Par.
Steel common touched par soon aft
er the opening, but the action OF the
stock as 1t got to 100h was quite
disappointment to the trading coterie.
The impression was that just above
the par figure there were large puylng
stop orders, originating partly win
shorts and partly with spectators.
who would reason that If steel was
strong enough to get across par IL
would be in for a considerable fur
ther advance.
But when the expected stop orders
were not encountered the traders fol-
lowing were quick to get out.
New York Central.
Rumors regarding a merger Of all
the New York Central properties
under one head were heard again to-
day. Such a step. 1t was the prevail
Ing belief. would permit OF an in
crease in the dividend rate to 81.
Ann Arbor Higher.
Ann Arbor preferred today had re-
covered practically all the ground
lost when 1t was denied by Pere Mar
quette officials that a merger OF the
two roads was in prosnect The pres,
is based on the earnings of the COM
pany. which are figured at IL per cent
on the preferred. The 8 per cent
dividend promised on the senior
shares has not yet materiaiized. but
in face Of the earnings 1t lie believed
that it cannot long be delayed.
Debate Note Issues.
sues was the feature in the weekly
reports Of both British and French
banks. The English circulation item
had rather an unusually large de-
cline, $4.000,000: while the decrease
If the Bank Of France was compare
lively slight. A moderate loan ex-
mansion at the Bank Of England in
dicated that as a result of the lower
bank rate. credits previously carried
in the outside market have been
shifted back to the central institu-
ton.
ON the stock exchange dealings
again ran. we'll above the million
share mark. but this was only be-
cause of exceptionally heavy trading
i'm the first hour. From then on the
market lost the feverish activity that
has characterized 1t for the last week.
The advance continued in q number
of directions. but 1t was a more eau
tious movement
Railway Earnings Better.
Railway shares were bought in ex-
pectation of favorable series OF
March traffic statements due within the
coming week.
Many of these stocks made new
highs for the year. among them At
lantic Coast Line, Chicago and North
western. Norfolk and Western, In the
standard dividend-paytng group: and
the st. Pauls, Rock Island and Eries
and New Haven In the non-dividend
Issues. ISallWdy UOLuss oSpSSioAsS eaS
conyertibles. moved, as usual, in SYM
pathy with the stocks.
Industrlals Erratic
The Industrial section grew much
more irregular as the afternoon wore
to a close. United States Steel com.
mon had gone slightly across the
critical par level. but. falling to pur-
sue the advantage. made the stock
the object Of heavy selling in the lat
ter part of the day.
other steels acted similarly. while
the coppers were held in check.
Financial Notes.
The Reading Company today de.
clared the regular quarterly dividend
of l per cent on the first preferred
stock. payable June 8. to stockholders
of record May %.
The National Lead Company de-
clared the regular quarterly Y per
cent dividend. payable June 10 to pre-
ferred stockholders Of record May 26.
The Hodgeman Rubber Company
declared the regular quarterly ~
preferred dividend today, payable
May / to stockholders of record April
"a.
The American Smelling and Refining
Company advanced the price of lead
from IS to $5.10 hundred pounds.
Stewart Warner Company today de-
clared a quarterly dividend Of IS cents
a share. payable May 1. to stockholders
Of record April 20. The company has
been paying a dividend Of SO cents.
New financial undertakings aggregat-
yno sA0 ono mn yrare offered and over.