The New York herald., 1922-12-23
FINANCIAL NEWS
AND COMMENT
Stock Trading, Completely in
Professional Hands, Is on
Constructive Side.

Preholiday trading in the stock mar
ket came to an end yesterday with a
session of more than average activity.
Professional operations were still In
complete control of the market situa-
ton. but traders activities continued to
favor the constructive sides No little
short covering was forced during the
day. particularly in such speculative IA
vorites as Studebaker. Baldwin. &c.
and as result many of these issues
had very substantial Dhvances
News developments which could be
calculated to affect the market gener-
ally were lacking. The news of an
extra dividend on Corn Products had
no effect on the stock. which suggested
that the higher disbursement had been
IT has been discussed pretty generally
for a week or more. and the element
of surprise was lacking.
Aside from weakness IN one or two
ter the bond market was just about as
featureless as that for stocks. Trading
was in comparatively small volume and
interest was largely absent. Liberty
tuations as a whole were very narrow.
Foreign exchanges moved within mar
row limits and in irregular fashion. In
connection with the exchange market
t,t af tho nj nf
Germany had some interesting features.
First and foremost new hign record
for the circulation of paper money was
established during the week covered by
now stands at 97O.202. 900. 900 marks
which represents an increase Of 123.307.-
100000 marks over the preceding week
This smashes all previous records and
ion marks outstanding by the end OF
1922 will be borne out
OF course. there is nothing IN the
nature of surprise in this<statement,
for it merely represents the carrying
into effect of the German Governments g
promise to keep up the issuance of
paper marks at a high rate. About the
only amazing thing about the rate of
note increase In Germany is that print
ing presses can be made to operate so
rapidly.
The German Bank circulation as of
December 20 represents an increase of
s6l. .206. l00, 600 marks since January l.
This is an appalling figure and demon
strates pretty conclusively the sound
ness of the position taken by American
bankers in their refusal to consider a
German loan unless and until steps
have been taken to put German fiscal
affairs in a better state.
In the cotton market there were slight
advances all around. Wheat and other
items of produce. however. receded
from the high points established in the
last two or three days, but this was
only a natural reaction which could
have been expected following several
days of STEADY advance.
The continued betterment shown in
the railroad statements for November,
which are now coming to hand. gives a
pretty good indication that the losses
occasioned by the strikes have in most
cases been entirely marked off and
there Is no reason to expect anything
except constant Improvement In that i'm
dustry unless 1t be the danger Of radical,
and dangerous legislation. That, how
ever seems to be distant prospect
Call money ruled at AZ per cent from
the opening until Just before the close.
A sudden demand for accommodat ton
over the three day recess, however re.
suited In stiffening of the rate to )
per cent.