Evening public ledger. [volume] (Philadelphia [Pa.]) 1914-1942, 1922-03-11
FRACTIONS we're
WEAK FEATURES
All Signs Point to a compre.
hensive Market Movement
Being Under Way

New York. March IL 1.--Stocks moved
forward again today after early hest =
tation occasioned by heaviness Of local
utilities. Motors and related special.
ties. notably the rubber group. were
most active at I to 3-point gains.
Equipments. independent steels and
coppers also made extreme advances Of
TO almost 3 points. American Tele.
phone was among the representative is.
sues which made new high price for
the current movement. Oils were COM
parativcly dull and there was little de.
inand for high grade rails, but that
group was firm TO strong. 800 was
the only exception. reacting over point
to adverse dividend action.
Selling of local utilities caused some
irregularity in tho bond market,
although the tendency was mainly bet
ter. marlborough IS. InterbOrough
Consolidated Alas and Manhattan Ele-
vated As fell l TO = points, but these
losses were partly retrieved MEXICAN
Government AZ were heaviest OF tho
foreign group. French Government IS
displaying marked strength. with i'm.
rrovoment in United KINGDOM issues.
Among rnils Louisville 4 Nashville
Jt2s and Great Northern Is were OK.
ccptionally strong. st. Paul Convert.
hles. Chicago 4 Eastern Illinois IS,
baltimore & Ohio As. Chesapeake &
Ohio 412s and New Haven Debcnture
Us were frmcr. Liberty bonds and
Victory notes held steady.
AZ has been the case In all major
market movements. there is still q great
dihercncc OF opinion as TO the real cal
iber OF the current swing of security
values. When Il market, however,
steadily mounts TO higher levels, re-
anl IL
1t ~ almost an absolute certainty
comprehensive movement in the main
body OF stocks is under way. Pune
tuatcd by frequent moderate backsets,
the trend of security values hns vir-
tually been upward since last August.
The spectacle Of the rising quotations
IN face of the most discouraging earn
ings statements, reductions and sus-
pension Of dividends has. at times. been
confusing and undoubtedly in the mind
OF the average loyman appeared para
doxical. Rather than being r phenom-
enon as many regard it. after all. it IL
market tendency. In other words. the
great swings Of the security markets
never present reflection of the past.
but rather mirror the possibilities OF
the future. In brief. it discounts the
possibilities ahead and never redis-
counts the happenings OF the past.
Many weeks ago, first the bond mar
ket. then the stock market started in to
discount the better things that were
ahead for business and industry of the
country. This process began before the
first sign Of improvement in the gen.
eral situation was even perceptible.
Now in all directions the turn for the
better IS no longer u matter Of theory,
hNGf.ynin1 n xs,,n
perhaps. be long time before 1t 10
registered in earnings statements and
more concrete proof in the matter Of
dividend distribution. bu. tho fact that
conditions are now generally visible.
which months ago could not be found
with the strongest glasses. affords
ample and convincing proof of the
solid!ty of the current constructive
The outstanding happening of the
week. because of its possible w!de-
reaching Influence upon the future Of
the countrys vast utility enterprises.
decision IN the so-cnlled Consolidate ed
Gas; case. Briefly. according 10 the
courts ruling. these concerns cannot
be held 10 operate under rates and con-
ditions that are virtually confscatory.
For three or four years, as q result Of
the abnormal conditions provoked by
the war. the majority Of the utility
have experienced difficult
road to travel in order TO make both
ends meet. Like in the case of the
with the elimination of many
Of the oppressive regulating war meas
ures, these concerns are promised bet
ter deal. 1t is the opinion Of recog-
nized experts that the Supreme Court
decision virtually changes the entire
of the utility situation.
Coming back to the market direct,
the more conspicuous features Of the
weeks operations were to be found
within the market itself. This en-
braccd NOT only the wonderful absorp-
tive capacity. but also IN the increasing
ras!liency The former condition was
even more pronounced in the bond d.
vision. but in the stock operations it
was the manner in which prices snapped
back after each reaction. which made
the week movement most impressive.
II has been charged, and rightfuny so,
perhaps. that the current movement In
securities represents adroit manipula-
ton aud strong arm methods OF the
pools and other speculative combina-
lions. This. however, has ever been the
initial phase Of every major bull move
ment and does not. in the least. lessen
, bo s;pp ;ficance Of the almost Irresistible