The Richmond Virginian. (Richmond, Va.) 1910-1920, 1920-03-19
UNITED STATES STEEL
ADVANCES THREE POINTS,
az nnoADAN wAr.r.

New York. March Is.--Easy money
with information from Washington
that the government has abandoned Its
plan to force . commercial panic thus
summer gave Wall street another up
roarious advance in the stock r1ars-ct
today, The market was different from
those of previous days because so many
high grade investment securities were
In the front line. United states Steel
was the most prominent of these, with
an advance Of three points. Southern
, Pacific and Reading were other con-
servative stocks that displayed aimost
as much enthusiasm part OF the day as
the speculative industriala-
Most of the days excitement was in
such stocks SIS Crucible. International
Paper, Baldwin. Republic, Rubber and
American International Corporation.
Ny.ne rous ssues made new highs for
THIS movement and heavy proht-taking
failed TO give the market more than
temporary setbacks- The street liz now
fully convinced that gold In large vol
ume is coming from Europe and that
the government at Washington intends
to give big business a square deal
try 10 do so at least.
Just before the close another wave
or profit taking went through the mar
ket and the close was under the best
prices, but with material net gains
Pierce-Arrow. Stutz. Studebaker. Gem
erai Motors and Rubber all participated
In the good feeling due to reports that
the demand for automobiles has sud
denly improved again. Some of he
companies are shipping cars by tx
press at a cost OF several hundred dol
lars each, the extra charge being paid
by the customers. Crude Rubber IL
being obtained az the lowest price In
the history of the industry considering
the quality OF the crude being OBJ
tanned The profts are correspo nd
ingiy large.
Business is so good that the United
States Rubber company expects to ex-
coed this year the huge volume Of last
years business
The advance Of prices made in Janu-
airy when applied TO the volume Of 1919
business means an increase of 2o.ooA.-
eto in earnings. AS expenses will not
increae materially practically all Of
this will be added TO net. The com
pany paid stock dividend of 1914 per
cent and can pay another one If the
! directors desire next year.
American Can directors are hopeful
, Of obtaining a settlement from the gov.
eminent soon and in that event vii
have money enough to begin dividend,
( on the common stock. Certain things
have happened recently that lead Tho
street to believe that can may aasum.
Its old position as a speculative IA
yorite.
American Wooden directors dislike II
make public their. annual Statement
1 for 1912. 1t will show such larg.
earnings that Wall street will DO sur
/ prised. A large cash distribution or
! stock dividend Ia practically certain
sometime this year.
! Advance of the United States foo,
| products dividend TO a six per cen
/ basis Is accepted in Wall street as evi
dence that prohibition is not destroy
ing any legitimate property interest
I This company has accepted the situa
, tion gracefully and has turned it's re
sources to the manufacture of indus
trial alcohol yeast and glucose. 1t /
making more money than il made II
/ whiskey,
Speculative Wall street is muc
worried over the proposition in con
as income but arbitrarily. Will
/ there is ample legal foundation for tn
belief that such tax would be uncon
Istitutional. the activities of certai
congressman naturally cause traders {
feel uneasy. 1t stock issues are take
they will probably all have to b
taxed regardless Of whether they al
issued as dividends. In that ever
every company in America would
: affected. II would be a stamp tax an
| would help as much as it hurt beca rs
, il would prevent the issue Of undesi;
, able securities millions OF which a.
, now cluttering up Wall street.