The New York herald. [volume] (New York, N.Y.) 1920-1924, 1922-03-28
FINANCIAL NEWS
AND COMMENT
Stocks Fall but Partially Re
cover in Late Trading; Ster-
ling Drops 2 SO Cents.

The reactionary tone OF stocks which
prevailed yesterday until the last hour
OF business was evidently the product OF
continued realizing sales, and rather
abrupt declines OF recent favorites for
the rise indicated that stop loss orders
had been reached. But when profit TAX
ing sales were checked I'm the afternoon
II was plain that no large volume Of
liduidsting orders was In the market,
and several brisk recoveries occurred.
The market was the duplicate of others
% last week and contained the usual
features OF operations on the heels of a
fairly persistent advance of nearly two
months duration. II the threatened coal
strike had arr SENTIMENTAL influence IT
was not sca& 81. .9e actions OF coal com
rany shares, as several OF them ad-
vanced. As far as surface Indications
vent stocks were governed principally
by their own internal speculative condi-
tons. The final rally was not sufficient
10 make the list firm, but in a highly
irregular array OF prices several indus
trial speciality shares went 70 new high
points for the year and al declines were
mainly fractional
On the whole bonds were more inter
esting than were stocks and the days
really outstanding events were a decline
Of 2ss cents in sterling exchange and
rather spectacular conversion OF grain
quotations from weakness to strength.
In the case Of sterling it was probable
that spectators had elected TO hold
aloof until the German political caul-
Gron, heated by the Preparations COM
missions demands, had cooled. prerit-
ting the Government TO deal with the
rearranged program for payments IN q
way which could be understood by mar
kets in other countries. A moderate
fow OF business in exchanges brought
a general recession of rates. more the
product of hesitant demand than of
insistent selling Sterling at 1886. its
lowest quotation, was back close to its
rate OF March 10. Marks descended TO
a new low point st .2sA cent.
The clear relation between present
money rates and bond prices was dem
onstrated In firm tone OF Liberty
bonds and an active demand for many
foreign government and domestic COR
poratlon issues. Call money eased from
! y per cent to 4 per cent. A signifi-
cant event OF the day was the cut from
3 per cent TO AZ per cent in the At
ianta Reserve Banks rediscount rate, q
change made possible, according to the
read Of that institution, by general
business Improvement. The liquidation
II loans has been exceedingly rapid IN
the section OF the South served by that
bank. as its ratio of cash to deposits
and circulating notes stood last week at
1913 per cent, in contrast TO SO low
figure as 42.2 per cent. on January I.
As recently as February It was no
higher than 5s.3 per cent. Tho planting
81 asor in the South and the West is be-
ing entered with credit In position SO
easy that possibility Of strain anywhere
IN the next two months is decidedly re-
mote.
Reports on railroad operations In Feb
ruary make Il appear as though the
good record Of car loadings was not les
sened in its effect on earnings by
freight rate reductions applied during
the winter. A long list OF statements
issued yesterday showed, with few ex-
ceptions, increases OF gross receipts
compared with those of February. 1871
ana operating economies enabled the re-
PORTING railroads to display enlarged
net income.