Evening public ledger. [volume] (Philadelphia [Pa.]) 1914-1942, 1922-08-05
RAILS
!. MARKET FEATURE
average Of Prices Reach New
High Level Despite Strike
Situation

New York. Aug. 5.--Strensth of the
low priced rails featured the rather
limited dealings in the short session
OF today's stock market The entire
rel group showed n strong upward
srend, but IL was generally in the nom
dividend paying shares the wider spec
uiative interest prevailed. st. Paul
preferred and Northwestern touched
new tops for the year, while the others
closed at or near the best prices of
the week with fairly active trading in
Rock Island, Il. and o. and Erie
Week -end adjustments were RESPONSE
pie for the irregular movement of the
industrials. OIL stocks opened strong,
hut yielded in the subsequent trading.
There were the usual demonstrations IN
few selected specialties. The trading
continued professional, as there was
still general disposition 70 await de-
yelopments in the strike situation be-
fore making further extensive commit
ments.
The demand for railroad securities,
which moved 10 still higher levels, was
the outs anding development of the
bond dealings. Wisconsin Central is
led the list with gain of l point,
smaller advances being recorded by
oregon Washington Railroad and Nav
1gation As. st. Louis and San Fran
cisco adjustment Us. Northern Pacific
Us, Southern Pacific convertible As. !
st. Faul refundlng il.s and Missouri |
Kansas and Texas adjustment IS, when /
issued. Czccho Slovakian IS and Bor- |
deaux 6s bettered their positions in
the foreign group, in which there was
little HCtivity. Liberty prices held !
firm. Brazil IS and Ss and United /
States Steel IS az losses of /. 70 |,
point were the weak spots.
While tho wppk's market hlpu hot
and cold alternately, according TO the ,
interpretations of the negotiations to
end the coal and railroad strikes. it IS !
rather interesting to note the aver
age price of the twenty active repre- |
sentative industrial stocks reached the T,
highest level of the year, while the |
railroads went within O33 per cent of /
their top notch. This accomplishment |
appears somewhat mystifying IN view "
the acknowledged ultra professionalism !
OF the current market operations. II |
Is more surprising because of the known
absence of the more important traders
and market leaders, as we'll a. the con-
spicuous Indifference of the so-called .
public
It has been n market wherein the
short interest, or bear party. or what
ever you want to call them. at no length !
OF time had a ghost of show. On
the other hand, pools and speculative !
combinations encountered practically no |
opposition to speak OF in all efforts TO ,
push the stocks in which they are con-
cerned in the higher levels. In the par
lance of the Street the market at most .
all times demonstrated beyond dispute |
the line of least resistance was enroun-
tered while market values were rising.
This market phenomenon il made
doubly interesting when other elements
ordinarily of disturbing influence like
wise are similarly ignored, as has been
the distinct adverse effects of the labor
difficulties at home. Despite the sin
gular persistency of both the market and
financial realm not 10 regard the strike
situation with any degree Of alarm. all
cumulative evidence distinctly indicates
the growing fuel shortage is likely TO
seriously interrupt the reconstruction
program of the country's industries.
Nothing seems to chill the hope Of an
early settlement of the labor troubles.
1t Is no matter how the end is accom-
plished to Wall Street. way of thinking
and they are simply mbued with the
idea which cannot be shaken that it's
going to be settled. In fact. a number
OF recognized experts express the view of
the remarkable performance of the
market as discounting that happy event
The constructive forces have been
strongly fortified in measure IN the
tNtS HuVe luhtn DS TWO very
powerful influences. One, the unde-
niab!e easy money market. Occasional
fiurries in the call rate really have little
significance, as they mostly reflect tenn
porary or passing conditions easily cor
rected. The fact that time money is
in plentiful supply at t per cent indi-
Gates an unusual abundance of available
credit. which is not being drawn upon
by the interior banks as Is usually the
case at this time Of year. Neither is
il likely 10 be. If curta!lment of indus
trial operations is 10 be continued for
any length of time.
The other is the conspicuous absence
Of an over extended long account, which
has been well exemplied by the fact
that a reaction of only moderate pro-
portions followed the somewhat dis
turbing developments Of the strike stu
alton. If this fundamental soundness OF
the market can be held un!mpaired until
the atmosphere clarifies. little difficulty /
probably will be encountered in carrying
out the program of the much discussed