The Rock Island Argus and daily union. (Rock Island, Ill.) 1920-1923, 1922-02-28
MARKET
STRONG AFTER
TRADERS RAID

En- the otner naT AeeS soua! "
from Yesterdays little weak
Some further decline occur
a. the outset, but it was album
.,iv clear that the selling at last
-ss's close had been a mere trad
raid and that it had not in
L.Ivd any serious change either in
\. market position itself or in
.,;mept regarding the outlook.
IN an hour after the opening fresh
ling made its appearance in a
srber of individual stocks and the
limit response which followed
ssctually discouraged any furth-
sfforts to drive the general mark
Ia down.
1 tina grain market found it more
jadcult to shake off the effect of
l-sslising sales, which had stopped
Z IN advance yesterday. The same
~ss true of sterling and continen-
l,.I exchanges, which went lower.
Ira fall in the German mark was
II least temporarily arrested and
f,sere may have been some connec-
isop between this and the disclosure
H. the Reichsbank statement that
lar the second week in succession
Isaper note issues had ceased to ex-
land. To be sure there was no de-
l~ease during the week, yet it may
~ significant that while Germany
IN still under extraordinary pres
sure to meet the reparations INSTALL
Inants. the resorts to help currency
Inflatiou have discontinued for the
Ihst fortnight AS compared with
Ihe maximum of 116,060, 000, 900
marks in the second week in Feb
Iuary, the circulation items now
stand at lis, 500 ,000,0 900 marks.
The stock exchange had to rely
mon the initiative of various spec
lulatiye cliques which pushed up
Vbeir favorites. These efforts were
!. Theoretically opposed by another
section of the trading element who
thought that the rise had gone far
enough for the time being and were
| working for a reaction.
As a result the market movement
was at times pretty much confused.
During the period when prices
we're pointed upward the leaders
we're the motor stocks, the sugars,
| the teas and variety OF other spe-
cialties. The rails were either ne
elected or sold off, and here there
Awas a direct connection between
the price movement and the Janu-
ary traffic statements. The things
have to be borne in mind before
passing jud gment upon the January
results, which do not compare fav-
Orably with those of the month pre-
ceding. In the first place, they
cover a period of the year when
tonnage is relatively small and op-
Grating expenses relatively high be
cause of the seventies of the wealth
er. In the second place, the effect
4 Of the sweeping rate cut on farm
Commodities which were introduced
At the beginning of the year, began
10 appear for the first time in jan
nary. These things considered
most of the roads have done we'll
Union Pacific, for example, reports
a net of 81 1874 900 against a deficit
iof S207 900 in the same month last
|year The operating deficits of the
Northern Pacific and the Great
Northern are exceptional and would
fact that they take no account of the
| potential income from the Burling-
ton and Colorado and Southern in
vestments.
Sterling exchange gave more
proof that its recent so cents ad-
vance has by no means exhausted
The forces that are back of the
movement 1t had sold off about
l a cent early in the day, but in the
/ afternoon got back to its higher
French and Italian did not do quite
as we'll. They went down at the
start and later rallied. but the re-
eoyery was not sufficient to Offset
| ne previous loss. Both English
| and French government bonds
which had been moving closely in
1 sympathy to the rise of their cur
rencies, held at top prices and the
upward tendency continued in Bel
glan, Danish and South American
J government bonds.
The stock market furnished the
principal interest today. There had
oeen quite q test as to whether the
speculative influences working foI
decline could follow their advan-
| age gained toward the close yes
terday. The sequel of this test was
10 establish completely the fact
mat the speculative interest com
mitted to the side of the higher
prices had not relinguished theii
control. The general list started
! forward in the last hour. and there
we're several rather striking feat
ufes in the movement of individual
s.oeks. One was the consistent
strength of the Motor group. An
etner was the heavy buying of the
missouri, Pacific & Texas and Pa
emc shares, which made the street
sssurally feel that the denials Of
ae recent REGENTS of the consolida-
aOn OF the two roads were to be
.scelved with great deal OF
Aepticism.
:, third incident was the cessa-
uon Of the selling in the steeI
Su,cks, and the ready recovery not
\ uaiy In United States Steel com
an, out likewise in the shares Of
ne Independents.
4 an exception was United Retail
cures, which broke on the news
Slal action on the dividend had
1 been deferred.
a y