Evening star., 1923-03-09
CAUTION DISPLAYED
IN STOCK MARKET
Pools Force Up Special Is.
sues Again Today-Sugars
and Oils Strong.
BY STUART II. WEST.

BY STUART p. WEST.
Special Dispatch to The Star.
NEW YORK, March 9.-In today's
stock market the selling movement
of the previous day was not resumed,
but there was not the same buoyancy
that had characterized operations in
the early part of the week. Senti-
ment was more cautious and specu-
lative pools no longer got the same
ready following. Still these pool oper-
ations started up again in a number
of individual stocks
Sugar stocks were taken in hand
again, especially Punta Alegere, al
though there was nothing new in the
trade situation to account for this.
The incentive was found. as on pre-
vious occasions, in highly favorable
estimates regarding the earnings of
raw sugar producers and the expec-
tation Of the recommencement of divi-
dends before the year is out
Transcontinentnl OIL Strong.
Transcontinental Oil was actively
bought on news that a new combi-
nation of oil concerns had been
formed. in which the properties of
the Transcontinental We're included.
The jump in the Market Street Rail-
way issues has as its motive the be-
lief that negotiations now in progress
with the city of San Francisco for
the purchase of the company would
go through. The sum mentioned as
the probable figure between all the
city is bidding and what the company
is willing to take would be SUFFICIENT
the second preferred selling below
10, at par. Besides. it would leave
a balance for the common very much
above the present selling price,
The Americans were held up
against the figures showing decreased
production in Mexico. by intimations
of another extra dividend on Mexican
Petroleum in the near future.
International Harvester broke sharp
ly on the annual report, showing a
balance of only s1.35 per share earned
on the common in 1922 and this after
heavy deficit the year before.
Review and Outlook.
The main question before Wall
street as business began today was
whe ther the Thursday decline had
been due mainly to real distributive
selling or whether 1t was merely
professional raid.
Upon this subject opinion was
much divided and this difference way
clearly enough reflected in the market
OF the day. On the whole, however
the thing of immediate Importance
was that the selling movement. what
ever its character. was not resumed.
On the contrary, pools and other large
speculative interests took hold again
of selected stocks and were able to
put them up, in some Instances with
considerable rapidity.
Bank Report Favorable.
Encouragement was found in the
weekly figures of the New York Fed
eral Reserve Bank showing an ad-
vance in the reserve ratio from 500
ner cent to S32. The effectiveness of
The increase In discount rates in
rhecking demands upon New York
districts from other sections OF the
that within the last month rediscounts
at the New York institution have
dropped off s85.o00.000, while cash
holdings have increased $60.0O0,0OO
The speculative community took this
as an assurance that 1t could go ahead
Of any further restrictive measures on
the part of the federal reserve.
Whether or not this was a correct In
ference remains to be seen.
Atlantic GuIrs Showing.
II was stated recently that the in
come of Atlantic Gulf and West Indies
was sufficient last year to cover in
terest requirements with something
left over for depreciation. The an
nual report will be out next month.
Now it is said that earnings for the
current year will double those of
1922. which means that income will
be available for the preferred stock.
At present Atlantic Cuffs tanker feet
* operating fully and at substantial
profit.
Mack Trucks had another of its
characte ristic advances. which this
me carried the stock to a new high
for the year. The situation here Is
essentially one of large earnings, as
has been repeatedly pointed out:
Lately it was reported that Mack had
hooked business far into the year. In
come for the first six months of 1923
will be at high record and for the
,ntire twelve months income. accord
ing to estimates will be at least $50
q share Rumors Of deal with Cen
cral Motors have been denied in semi
pNcial quarters.
List Quiet Late In Day.
Fresh buying came into some of
the oil shares in the late afternoon,
but without evoking much response
in other quarters. The railway list
continued to ignore the remarkable
figures on car loadings. Steel shares
1du DSeH SIToH6 III tHc EcIooH un-
der the lead OF United States Steel
common, but interest in this group
petered out subsequently. despite the
favorable nature of the
irade news. Neither copper nor zinc
stocks did anything.
In the last hour prices came down
rather generally. many of the leaders
losing all or nearly all their early
advance Weakness developed in the
Pierce Arrow stock. On the other
hand, heavy buying continued in Cos
den at and slightly above it's previous
high of 50. This fitted i'm opinion
that there is deal under way with
Standard of Indiana.
Hup Motors stood up the best
among the motor shares. The ad-
vance. in Allied Chemical was a re-
suit of very confident prediction that
he dividend, hich is now 81 share,
would be increased to S6 at the meet
ing due toward the end of the month.