Evening star. [volume] (Washington, D.C.) 1854-1972, 1923-07-12
TRADERS STUDYING
BALDWIN SPEECH
Market Settles Into Extreme
Dizziness in Final Trad
ing-Prices Off.
BY STUART p. WEST.

Special Dispatch to The Star.
NEW YORK, July Authorizations
in the market today represented
chiefly the varying views regarding
the speech of the British premier on
reparations and what it's effect would
be upon European relations in gem
cral The text of the speech was not
released for publication until 1880
o'clock.
During the preceding hour and a
half Wall street took its cue from the
movement Of the exchanges, and the
fact that sterling. francs and marks
We're all higher, gave the impression
that what the premier would nave 10
say would be favorable in it's market
effect On this theory considerable
short covering took place, resulting
in all-arouud gains of a half point 70
q point and a half. The larger al
VanceS We're naturally made In STOCKS
like Studcbaker, Corn Products. Baid :
win Locomotive. American Can ana
other of the speculative leaders IN
which bear operations have been most
active. Steel common was up "A point.
Buying Power Light.
The feature during this early ad-
vance was the small amount OF BUY
ing which ii took to turn the market
In little more tnan Hdll dll noui az
and more of the ground lost IN
yesterdays entire session was re-
traced This was pointed to as IN
dicating the comparative scarcity OF
stocks around the recently prevail,
ing price levels But alter w an
street had read the British declara-
ton of policy, sentiment underwent
a change and prices began to drop
again 1t was felt that the Baldwin
statement was much less tender TO-
ward France than the dispatches.
The short covering movement
abruptly ceased and the profession
ais, seeing that there was nothing
upon which to base continuance OF
the rally, offered stocks down again
In its reference to the reparatlonS
problem Premier Baldwin was
merely a restatemenJ "t tne Wen.
known British point of view TO
make Germany pay but not 10 ue-
mand more than her ascertalned ca
pacity to pay 1t emphatlcally eN-
pressed the opinion all along enter
tanned in international banking CIR
Giles that occupation of the Ruhr was
IA mistake. imperiling Germany IN
dustrial structure and yet resulting
in smaller payments on indemnity
account than were being made be-
fore.
For the rest of the speech 1t might
have been interpreted as an attempt
to show France and Belgium what
the consequences would be should
they persist in their present policy.
Speech Taken Calmly.
With due allowance for the exag-
geration which characteriZeS such
political utterances, there is no DOUBT
that the head of the British capinet
seriously believes that Germany can
not long stand up against the exist
ing food shortage and that the threat
of a social and political revolution.
with all this might ultimately mean
for the peace of Europe, is a real one:
The markets took the definition or
the British attitude more calmly than
as it did not strike the conciliatory
note which the press dispatches had
been foreShadowing.
The afternoon reaction in the ex-
change market was more pronounced in
French francs than in any of the
other currencics. This was not sur
prising in view Of the Judgment
frequently expressed that a break
up in the entente would involve a
general unloading of French eX-
change. with consequent. probably
severe. decline in values.
Market Exceptionally Dull.
The stock market by early after
noon, had lost most of the morning
gain. but was holding steady at the
lower level. There was no suggestion
Of fresh liquidation. 1t was simply
shift in the professional trading
position. In the market for govern
ment securities and for corporate
bond issues, also there was no re-
Spouse to the news at all.
The market was duller in the late
trading than at any time so far.
There were very few features in the
movements of individual stocks.