The Washington times., 1922-07-23

steel SHOCKS StrOng.
The Industrial and steel stocks
were exceptionally strong and active
during the entire week, and the
railroad stocks, while comparatively
inactive, maintained a strong and
firm tone. In fact, quite a few of
the railroad shares advanced to new
high levels for the year on stea'ly
accumulation of investors who are
looking far beyond the present tur.
mol. Baltimore and Ohio, Penn
syivania Railroad, Northern Pacific
and Union Pacific particularly dis
tinguished themselves during the
week, and Pennsylvania sold at the
, highest price that has been record
ed for this stock since the early
part Of 1920.
The motor stocks have not Jared
quite so well. Realizing sales In
studebaker resulted in a moderate
loss, while Maxwell and Pierce-Ar-
row have borne the brunt OF the
heaviest liquidation that has been
seen in them in many weeks,
Pierce-Arrow common and preferred
declining to new low levels for the
year. Mack Truck. on the other
hand, has been exceptionally
strong, selling at a new high. at
$50 a share, compared with $3.50
In the early part Of the year.
Buying of the steel stocks has
been proceeding steadily on the as.
sumption that the Attorney General
would find no flaw in the legal
structure that has been built up for
the merging of a number Of the
prominent companies. The Attorney
Generals report held that the con-
templated consolidation does not vio-
late the Sherman act, the layton or
the Webb act and that there is not
the slightest ground for the belief
that restraint of trade or monopol'
istic control will result. The steel
shares have also been in favor be-
cause of the prevailing belief that the
steel industry has turned the corner,
reports OF four of the leading inde.
pendent companies made public dur
ing the past week indicating a trans.
formation from deficit to surplus in
their current earning rate.
Traders in the stock market dur
ing the past few weeks have been
surfeited Of expansion and curtail.
ment of production, of discovery Of
new fields and salt water flooding Of
old ones, OF increases and decreases
In prices OF crude, refined and fuel
oils, of jumps and slashes in gasoline
prices, OF increasing stores of crude
oil in storage, Of the flooding and
pinching of former productive wells
in Mexico, and, finally, of the plans
for the exploitation Of the oil fields
OF Europe with the help Of Amer
lean capital.
Wall street Is looking for still
further reductions in crude and
gasoline prices. in which view 1t Is
supported by many OF the leaders
Of the oil industry. who are desirous
of forcing a drastic shrinkase In
production until such time as the
present abnormal amount in storage
has been cut down.
An incident of the financial dis
trict during the past week was the
actual filing Of the bankruptcy
schedule Of Allan A. Ryan, former
plunger in the speculative mar
kets, and more recently an active
spectator in the district. The Incl.
dent serves as a reminiscence rath-
er than a factor In the present
stock market, for none of the Ryan
properties were listed on the ex-
change, and his brokerage house
had only a small selected list OF
patrons. One wonders at the sa'
racity Of the financial wizards in
the banking institutions when loans
as high as 5000, 900 can be made
on collateral Of doubtful value. or
course, the adjustments have been
made long ago and losses charged
off the books.
While the aggregate of the new
bond offerings during the past week
has been somewhat smaller than
the average, there has been no
diminution Of interest in the in.
vestment market. The feature OF
the week has, of course, been the
steady climb in prices of Liberty
bonds, all of which reported new
high prices The most popular IS:
sue has been the fourth "A e. OF
which nearly $2,000,oO0 par value
were sold at prices reaching the
maximum Of S1$l.54. The thiro
loan was a close second in volume
~ sales and the high price was Slol'
Heavy transactions were also re-
norted in foreign government bonus,
a. well as in domestic railroad ana
Industrial issues. The French gov