The Washington times., 1922-09-17
Weekly Financial ReUieW
- By HENRY CLEws,
of Henry Clews b Co., New York Bankers.

NEW YORK. Sept. 1s.--Practicai
,.ttiern.nt Of the coal and rail
STRIKES had already been fully ex'
net "a and discounted by the market,
eo that the developments OF the past
week. bringing assurance that these
controversies area thing Of the past
for the prerent at least. can hardly
be reckoned as an immediate factor
In the Investment situation. since
they did not interfere, with the ad-
Vance Of stocks, there has bean no
particular reason why the settlement
should exert any new or direct
effect. The market in short mas
already begun to look forward 10
other conditions as the dominant
factor In prices.
Business Situation Near Normal.
The continued news OF excellsnt
and assured crops in nearly every
line has naturally exerted a powerful
and stimulating effect upon market
conditions. This has been aided oy
the steady recovery In the steel
situation, which has considerably sur
passed current predictions on that
score. At a good many plants II
would now seem that output Is back
TO a level Of approximately SO per
cent Of capacity. while the move
ment Of steel products has been very
satisfactory. The appearance OF rnil
embargoes during the past week
may interfere with this progress for
a short time, but is not likely to be
a permarie factor. A favorable ton.
mage report indicating untitled
orders of nearly 6,000, 900 tons for
the United States Steel Corporation
was fully 100000 tons better than the
market had been he'd to suppose, and
shows the underlying strength or de-
mand In a great many basic indus.
tries. Talk of shutting down fac.
tories for want Of fuel has largely
disappeared and there is O very de-
cided shortage in nearly every line
OF industry Upward tendencies In
prices continue and II may be ex'
pected that price ipdexes for lthe
rest o. the month win tend Toward toY'
:. Stability Of Rails. NJ e.
A noteworthy feature during the
past week has been the stability Of
the railway list Notwithstanding re-
cessions that have taken place here
and there among the industrial
shares. y The effort to attack some
Of the cheapersy railroads has not
been successful for more than ySry
short periods. or time. II the mar
ke. did not display such a hating
disposition. at the present. time IN
all probability no attempt would be
made to single out weak spots OF
that sort. with the trading element
disposed to work for a reaction, how
ever, no opportunity. to cause hqtii'
dation Is neglected. Recoveries have
promptly taken place. when reces,
sion due to this cause hRs occurred.
The floating supply of j. railroad
stocks has been reduced to very
small prcfprtions, tand steady ab.
sorption e6Swbat IS available has
kept the martet from suffering any
unusual burdeaS Of undieested Sc
curities OF this Snlass. Few new
stock ISSUES. have taken place among
the rails fore long time, and for this
reason their price level has tended
to maintain itself In a way that
shows the underlying soundness OF
that kind Of investment. All Of the
indications frequently noted during
past weeks with reference to the
growth of business to be expected
during the autumn season, have be.
come more rather than less pro
nounced.
Increase Of Buying Power.
Important announcements Of wage
increases in the textile regions muo'
| be classified with the advances In
steel wages already announced. indi
eating as they do the satisfactory
increase Of buying power In a con
siderable number of important
branches OF business. The strength
| Of general buying mower has already