The New York herald., 1922-04-13
FINANCIAL NEWS
AND COMMENT
Libertys at New Highs in
Heavy Trading-Stocks Ac-
tive in Irregular Market.

The Liberty bond market reflected in
decided fashion yesterday the latest evil
dence OF relaxing money rates. supplied
in the Treasury's offering OF a large
block OF six months notes at s1a per
cent. interest. Five Liberty loan issues
higher, the Third and Fourth ANS
reaching that level for the first time.
and four of the series established new
high prices for this year In tremendous
trading. The money market stimulus
was felt throughout tho bond field, the
demonstration Of strength being es-
pecially noticeable among foreign Gov
ernment Issues and railroad paper sec
ond grade. The bond turnover on the
New York Stock Exchange was the
largest in nearly two years. As the net
advance of several Liberty bonds was
in excess Of II point. It was plain that
investors were in haste to lay In supplies
against the day, now believed to be near
at hand, when a yield as high as 4 per
cent no longer can be obtained from
them.
The spectacular character OF the bond
market overshadowcd dealings In stocks,
but the share list was again exceedingly
active and for a time prices were bid
upward with vlgor. The number OF diff
forcnt issues dealt In was the largest OF
this year. or assistance to speculation
In stocks. as well as to investment buy
ing oc bonds. was the easy call loan
Of funds offered on time at 4 v per cent.
In fact loans for shorter maturlties
were arranged at "A per cent. on LIB
orty bond collateral.
Buying centcred chiefly In petroleum
railroad equipment and special stocks
It was noticeable that steel company
stocks, much In the foreground of this
weeks rise, were subjected to consider
able pressure in the afternoon, following
publication of the weekly trade reviews.
strike. 1t looks as though the stoppage
OF work In several non-union bituminous
fields had made necessary a revision of
estimates about production and was
causing q number of furnaces to cloA
down in localities in which an adequate
supply of fuel had been expected for
several weeks. The prospect of lessened
pig iron manufacture has brought al
ready advances of 81 a ton, and several
steel works are reported as chary about
coal strike, however. IS not causing gem
eral apprehension of slackened steel pro-
duction. The Lackawanna Steel Com
panys showing IN the March quarter
the deficit being no moro than $a79,972,
against 81 .465,00O in the final quarter
Of 1921--was a fair measure OF the re-
covcry that has taken place this year.
Last hour realizing sales We're heavy
among industrial stocks, especially IN
automobile and oil issues. some declines
running from point TO more than
points. But those recessions were more
than counterbalanced by gains in rubber
shares and scattered array OF specially
stocks The rails were carried back
short distance on the average, although
q quick fall of "a points In Southern
Pacific seemed to show that the stocks
lately in the best speculative demand
were vulnerable 70 concentrated selling.
The passing OF another Wednesday
without a reduction OF the Reserve
Banks rediscount rate strengthened the
impression held in some banking quar-
ters that the AZ per cent. figure would
be maintained for some time. Tho rate
could be lowered u per cent. and stiii
be above the open market rate for ac-
ceptances. but cut now might possibly
have to be revised upward later IN case
general business should expand with un-
of the steel trades growth