Evening star., 1922-09-30
DEVELOPMENTS OF WEEK
ARE MAINLY FAVORABLE

by tno Associated FfesD.
NEW YORK. September s0.-Specu-
lative "bear' traders launched q
series of attacks against stock prices
this week, which resulted in declines
Of q to 5 points in number OF &C
tive issues. While opinion generally
leaned to the theory that the reaction
was in the nature of a correction OF
a weakened technical condition. the
decline undoubtedly was aided by un-
favorable developments in the near
east publication of poor railroad
earnings statements for August,
abandonment of the Republic Mid
vale-Inland Steel merger and firmer
call money rates.
The declines in some bonds were
even more pronounced than those in
the stock market. foreign Issues be-
ing particularly weak in response to
the steadily declining exchange rates.
French and Belgian issues. sank to
the lowest levels in several weeks.
and number of the South American
tendency. Except for the poor show
ing made by the railroads in August,
which the market had largely ig-
nored during the course of the
strikes, domestic developments were,
in the main. favorable. Steel tom
pacity and the untitled orders OF the
United States Steel Corporation for
September are expected to show the
largest increase to date this year.
largely because of the immense
amount of business placed by rail-
roads in anticipation Of the So ton
increase in the price OF. rails which
becomes effective October l.
Car 1oadings have now reached the
highest point of the year and closely
approach the record figures made IN
October. 1920. Coal loadings are now
the highest since the beginning OF
the strike on April l and the move
ment of general merchandise is the
highest in two years. Surplus
freight cars have entirely disappeared
and the demand for shipping space
has become SO acute that a number
Of eastern roads have been compelled
to put strict embargoes into effect.
Shortage of cars is causing serious
concern in. the steel industry and al
ready has resulted in a piling up of
large amount Of finished products at
the mills.
The Republic Iron and Steel Com
pany announced Friday it was COM
teen mills in the Niles district be-
cause of the car shortage.
Considerable improvement in the
retail and wholesale trade in the east,
due IN part to the cooler weather,
was shown in statistics compiled by
The American Petroleum Institute re-
ported an increase of nearly $4,000
barrels daily in petroleum production
for the week ending September 20
over the week before. The automo-
bile trade continues to hold up we'll,
manufacturers concentrating their
selling campaigns on the closed car
models, sales for which are reported
to be unusually good for this season
Of the year.
Commodity prices, especially Of build
ing materials, are still tending upward.
Slight advances were noted during the
week in the prices of some of the basic
metals. Domestic business in this line
is good but foreign business has been
rather quiet, pending more definite de-
velopments in the near eastern situation.
Money rates continue to be relatively
easy. The reaction in the stock market
has resulted in a substantial diminu-
ton in the amount Of brokers' loans.
The steady improvement in business
was reflected in the increased activity
in the commercial paper market, the
rate ranging from Az to Az per cent.
Heavy offerings Of grain and cotton
bills in this center and uneasiness over
the military developments around the
Dardanelles caused a further recession
in the rate for sterling exchange, which
went down below $4.3S, as compared
with the high OF over $4.51 in June.
Continental rates eased in sympathy,
but less sharply.