The Washington times., 1922-09-24

tuC "dlCI udNO UCCh 1dNOl oDiS
have been of such a nature al
In the financial markets of tn
Continued weakness in the finan-
cial structure of both Germany and
Austria and their effect upon repa-
ration payments. and the war-like
demonstrations of the Turkish army
have not been confined in their in
fluence to European countries, but
have extended all the way across
the Atlantic.
The principal developments at
home in this period have been the
hardening of money rates, the
marking up of call money to s per
cent. the highest rate since the
first part of the year, further i'm.
provement in the steel, coal and
railroad situations; final disposition
Republican tariff, leading to the
adjournment Of Congress.
Bears Attack.
The week opened with an ag-
gressive attack on stock prices,
chiefly attributed to the unfavorable
foreign developments. In subs9.
quent sessions the action Of the
stock market was almost identical
WIN lHoI VI 4hOLooyB
advances and declines giving the
whole market a very irregular ap.
pearance, and unsettling the prices
Of speculative leaders. The present
price levels of most Of the active
stocks is somewhat below that
which prevailed Immediately after
the Labor Day recess.
Special weakness has been seen
only In isolated cases, and this has
generally been due to the concen.
tration Of attacks on these stocks
for the purpose of unsettling the
whole list. On most of the contests
that have been staged in the mar
ket place this week, the bears have
won a slight advantage, though as
a rule they have been followed by
reactions in stock prices.
The end of the week finds the
speculative district in a confused
state of mind. The question
traders and professionals alike are
trying to solve Is whether the re-
action is all over and prices are
ready to resume their upward swing,
90 whether the long upward move
ment has at last been definitely
halted, having fully discounted all
the favorable prospects for the next
six months or more. While trad.
ers are confronted with the most
optimistic array of factors, which
naturally affect stock prices, they
are daily reminded that many of the
h4g operators are now selling stocks
right and left, while professional
Wall Street has dropped its air OF
confidence and is again assuming
a noncommittal attitude on the
market.
Bond Market Active.
There was a good volume of bust.
ness in the bond market this week,
both in relation to new offerings and
In the actual transfer of securities
on the listed bond market. The
weeks new financing aggregated
about $4,000, 900, the largest con-
tribution being that OF the $35. .0OO,-
600 State and municipal issues: in
dustrials come next with $4,000, 900;
railroads. 81. 900 900: farm loan, $11..
100000; public utility, 5000. 900, and
foreign, 100000. The largest is.
sue of the week was that of the
315,000,000 of fifteen-year 5h per
cents Of the Cudahy Packing Com
pany.
Firmness was impaired to the
market for Liberty bonds by the
final disposition of the soldier bonus
bill. and good trading characterized
this section of the listed bond mar.
ket. Foreign government issues
were inclined to be irregular though
no special weakness developed. A
good volume of transactions in do.
mestic railroad, industrial and pub.
lie utility bonds was recorded during
the week. with price changes mostly
In the upward direction.
Some important developments are
looked for In the bond market in the
near future, the most prominent be-
ing that Of a probable forthcoming
issue OF United States Government
bonds In an amount most commonly
estimated as 81. 900 900, 900. The new
bonds will run from twenty to
thirty years, and will carry a coupon
not in excess of AZ per cent. A
new Federal farm loan issue in the
amount OF $75,0O0.000 will be intro.
duced to our market next week, and
among other possibilities are an Ar.
gentine loan of 5000. 900 900 and a
Cuban loan of $50 1000, 900. Consider.
able interest has also been aroused
by the statement that the French
government will in the near future
put out new bond issue at per
cent.
Money Rates Advance.
Perhaps the most important devel.
opment in financial markets has
oeen the worldwide hardening Of
money rates, as exhibited most
, prominently on this side of the water
by the marking up of call rates 10
6 per cent, and of renewals to & per
cent. While these rates are TEN.
porary, II is admitted that the reg.
ular fall demand for funds has now
asserted itself. and that the regular
fall demand for funds has now as
serted itself, and that the hank,
from now on will be more concerned
with the financing Of commercial
and Industrial enterprises. This is
a most welcome change, and one
that Is filled with promise for the
future prosperity Of the country.
Gathering OF the war clouds in
Europe has again been attended by
urlsteadiness in foreign exchange
quotations. The rates for foreign
exchange are governed by two i'm
portant factors: first. the financia.
and economic stability Of foreign
countries, and second. the equaliza.