The Washington times., 1922-07-09

opment OF the security market was
the return to popular favor of the
railroad stocks. which are conceded
70 be the last to fall in line in ma.
ior upward swing of the market.
Those who looked for action" IN the
stock market--and by far the large
majority of traders belong to this
class--did not look for 1t in the stocks
or the railroad systems until they
had exhausted every resource else
where. A study Of market tables will
show. however, that IL. the last six
months some of the railroad stocks
have shared prominently in the ad-
vance of prices in the stock market,
as the following comparisons will
show: In June, 1920. the Dow Jones
statistical position of the average
representative railroad stock was
e2.52. while on May 20, 1922. this fig.
ure had risen to S6.33. In the same
period Industrial stocks moved tor.
ward from $3.50 to 96.41. 1t will thus
be seen that the railroad shares
moved, about 20 points, while the in.
dustrials were advancing 80 points.
There are, Of course, q number OF
popular rails which generally share
In any advance In the market. Among
these are New York Central, which,
since the turn of the year, has ad.
vanced from 72% TO t97%; Baltimore
| and Ohio, which has gone up from
SsM to 5lK; Canadian Pacific, from
lfsM to 145; Atchison, from 91% to
io2: Reading, from nv to S2h, and
Union Pacific, from 125 to 14b. Other
railroad shares like Pennsylvania. st.
! paul and Western Maryland and
Erie have been more modest In their
advances.
4'f-sser"s OIL Shares Active.
The Mexican oil stocks have been
more or less conspicuous during the
past week, but mostly from a diff.
ferent angle from that which sent
the price Of Mexican Petroleum for.
ward to over so points In the pre-
vious period. Real or fancied dis
eoyery Of salt water in the Mexican
oil fields has been used as a lever
by the bears to push the prices
downward with very good success.
Other oil stocks have shown an up
ward tendency all through the week.
a. have also the motor, steel, equip
ment, shipping, and the copper
stocks. Studebaker distinguished
Itself this week by breaking all
previous price records for couple
~ wears back. and Maxwell Motors,
Chandler, and Hudson have also
been prominent in the weeks trad
ing. Copper stocks have reflected
the Improvement in that trade and
have shown their ability to rise with
the rest Of the market. On the
whole, trading has been somewhat
harrow and irregular during the
week and observers Of the market
generally credit most of its activity
% professional traders.
.--.---s
5z- Bond Market.
4As before. a good deal OF interest
has been centered this week upon
the investment security market.
High grade and speculative bonds Of
every character have been extremely
active. and some Of them have regis
Hefed new high prices not only for
fnS movement. but also for the year.
The feature Of the bond market has
been the constant advance OF the
Govarnment war bonds, demand for
which has taxed the facilities Of in
vestment concerns, and prices Of
which have risen to new high levels
FOR all time. A large number Of new
municipal bonds have found their
way to the market, generally to the
accompaniment OF active bidding by
the dealers who specialize in this
class OF securities. Bond dealers re-
port that the month of June pro-
lvided- a hikh point for new municipal
bond issues, which reached the
Enormous figure OF $154,273,633,
bringing the total for the year to
date up to $713,070,097.
= New bond issues this week amount.
"a fo-a little over sS6,000, 900, Of
which over one-half. or S47 1000. 900.
were Industrial bonds. $1S,500,000
public utility. sS.700,000 State and
municipal, $10,500,000 railroad and
$1,000. 900 land bank bonds. There
Were no new foreign issues this week.
~Y Foreign Exchange.
Developments in the foreign ex-
Change market were very interesting
this week. in view of the continued
strength Of the pound sterling and
the extreme weakness In French
francs and German marks. Due to
the abnormal initiation Of the German
paper currency, marks have declined
TO the basis Of over 1000 to the Brit.
ism pound and nearly 600 to the
American dollar. French francs
have suffered largely by reason of
The expected forthcoming default of
the German reparation payments on
July Is. Belgium exchange was also
weak for the same reason.
\ There have been no new important
developments In the domestic money
lmarket. The Federal Reserve sys-
tenn has reflected an increase In Dor.
irowings by the member banks and
gthe local clearinghouse association
reports show no great increase In
stock exchange loans. Call money
rates have again receded to around
49, lx.f a