It's still Saturday night. Holden is awake and worrying about Jane and the possibility of Stradlater getting it on with her.
Stradlater finally comes back (remember, he's Holden's roommate), returns the hound's-tooth jacket, and notably says nothing about his date.
He reads the English composition Holden wrote for him and complains that it's not about a room or a house or something like he said. He berates Holden for doing everything "a-s-backward" and says this is exactly why he (Holden) is flunking out.
Holden rips it all up and throws the pieces away, which only makes Stradlater angrier. (Because Holden wrote it on a typewriter, this was the only copy.)
Holden lights up a cigarette, which he informs us is something Stradlater hates. It's against the rules, and Stradlater never breaks any rules.
Finally, he asks about Jane. He notes that Stradlater got back pretty d--n late considering she had only signed out until 9:30pm.
Stradlater cuts his toenails and doesn't really address the question until Holden keeps pressing.
Finally, he says he didn't go anywhere with Jane – they just hung out in a car. Ed Banky's car, actually (he's the basketball coach, who likes Stradlater because he's on the team and isn't a terrible player).
Finally, Holden asks outright: "What'd you do? Give her the time in Ed Banky's godd--n car?"
Again, Stradlater refuses to answer. Holden flips out and tries to hit him. Stradlater pins him down, demanding to know what is wrong.
Holden keeps insulting him. It's clear that Stradlater doesn't want to hurt him, but he's also not going to take this lying down (or kneeling, as he is on Holden's chest).
Once Stradlater finally lets him go, Holden calls him a "dirty stupid sonuvab---h of a moron." Stradlater smacks Holden a good one in the nose, resulting in quite the bloody mess.
Holden just keeps sobbing and calling him a moron. He sits on the floor until Stradlater leaves the room, then puts on his hunting hat and stares at himself in the mirror.
Looking at his bloody reflection, Holden thinks he looks tough and remarks that he's only ever been in about two fights in his life and lost both.