The New York herald., 1922-04-04
FINANCIAL NEWS
AND COMMENT
Public Buying Reappearing in
Stock Market-Industrial
Issues Improve.

The great activity and strength OF
stocks yesterday indicated pretty clearly
that public buying. held back during
February and most of March. had been
attracted by the advertising that the
market received from its own progress
in the last fortnight 1t was hardly
conceivable that purely professional de-
mand accounted, ss- the establishment
of new high recs-'t, of transactions
for this year, and pool operations in pre-
vious market sessions had not COM
prised so varied a list of securities.
Such realizing sales as were put through
were absorbed without ripple In the
price front, and at the end of the day
many industrial shares were lodged at
or close to their maximum figures for
1922, and the average upturn of the
most active steel, automobile. petroleum.
railroad equipment and chemical issues
was around points. Several were be-
tween 2 and 3 points above Saturday s
final prices.
The power of the stock markets rise
supplied a spectacle which overshadowed
the other markets, but relatively bonds
were in as much favor as were indus
trial shares Liberty bonds moved for
ward briskly. The quick sale of $50 0,000,-
900 of New York Central refunding
mortgage 5s acted to stimulate dealings
in all classes OF rail issues, and variety
was impaired to dealings by sharp
bulges of Mexican Government and sew
eral European governments Nbonds The
! large accumulation OF demand deposits
recorded in last Saturdays statement OF
the associated banks In New York en-
abled the call loan rate to stay low de-
| spite the increased demand for stock
market use, the rate going from Az
per cent to AZ per cent. 1t appeared
however. as though the supply of time
funds on collateral was somewhat NOR,
restricted than 1t was last week, as few
| loans of shorter maturities were re-
ported for less than Az per cent.
1t was cheerful day in all markets
except cotton, as grain and foreign ex-
change ran parallel with securities, al.
though no close connection existed be.
1 tween them. The New England textil.
strike has been in force sufficiently long
now to have an unsatisfactory effect or
sentiment toward consumption of cotton
and has complicated spinners' problems
Doubtless the closing of mills and re-
tarded liquidation of stocks In spinners
hands has worked to slow down the re.
| tirement of old bank loans in New Eng
land. Also an increase of the loan &C.
count is indicated by 1913 per cent. re-
serve ratio of the Boston Reserve Bank
In contrast to rs on March Is and 50
on January 4. Yesterdays recession OF
cotton futures. however. was slow
| prices receding only point to IL points
and selling pressure was light. Sterling
exchange went forward cents at its
best price and stood 10 cents above the
minimum of the March reaction. With
the exception of marks, which again
sagged, the European rates were firm
under small volume of business. The
market refused to become excited over
the British Premier's appeal for support
in the Commons. although news of Its
result did not come during business
hours.
The Pennsylvania Railroads pamphlet
report for 1921 was especially interest
ing for the light it threw on It's struggle
to keep expenses down. A recession Of
80 per cent. in outlay for operations
compared with that of 1920 was inn
pressive. as was the management's
ability to earn balance over the divi-
dend in a bad year, the first half OF
which was filled with traffic difficulties
and a topheavy wage account.