Indiana daily times. [volume] (Indianapolis [Ind.]) 1914-1922, 1922-04-11
WALL STREET GOSSIP
nv MONITOR

NE WORK. April LIBERALIZATION of
the United States Steel untitled tonnage
figures more than justified the optimism
which has been expressed here regarding
the outlook for the steel industry An
increase Of 353019 tons for the month,
despite the large increase in mill opera
tions was accepte das very bullish on
the steel stocks in general, and the group
came in for very good buying opera
tiOns. Unified tonnage on March 81 on
the books OF the largest producer
amounted TO 449i,14S tons against ALL
O69 the previous month; 4.241, I6S as Or
Dec. 81. and i.2S4,7CiJ on March 81, 1921.
Royal Dutch met with further en-
cOuTa cement of the Washington report
confirming previous statements as to the
action taken by the Dutch East Indies
on the oil tax question. The Depart
ment Of Commerce advice on the subject
was TO the effect that the Dutch first
chamber had rejected the proposed in
crease tax. and that from Jan. 1, 1928,
the present tax may be replaced by
temporary refining tax TO be collected
until income taxes on profits and
dividends are sufficient TO cover the
cOlOny's revenue requirements.
H r. Mallinson & CO.. Inc, according
to sources reported to be very close to
the management. showed earnings for the
first quarter sufficient TO account for the
entire preferred dividend for 1922 and,
making a better showing than any of the
preceding thfee months.
The Market Street Railway issues. par
tieulariy the second preferred, which adj
vanced six points in the early trading
Saturday, received good support here
yesterday. with traders naturally taking
the position that IL the city Of San Fran
ciscO's offer is accepted by the company,
all OF the preferred Issues must be sell
ing far out OF line with their actual
value.
Public buying market was probably
the heaviest Of any day Of the current
movement, with rails and steels favored
to a large extent because Of the strong
showing that the stees are making at
the present time and the expected con
tinuatiOn of the good rail earnings. The
market exhibits no signs OF worry over
the Genoa conference. nor has he closing
Of some Of the steel mills because of the
coal shortage detracted from the strong
demand for steel stocks.
AS expected. the RepIogle Steel and EN-
pire Steel merger was announced this
morning, with ReplOgle taking over the
EMPIRE. This merger will add 10000
tons to the annual production of Re
plOgIe, making total of GOO 600 tons
Leonard Peckitt, now president Of the
Empire, is TO be elected president Of the
new ReplOgle company, which Is con
templating a resumption Of operations at
its New Jersey and Pennsylvania plants
with the news out in reference to Re
plOgle and Empire the stock of the for
mer dropped to 81. a fractional loss for
the day. Traders interested in the long
side OF the market are nOurishing a re-
port that ReDlOgle will bring ont a new
stock issue to be offered to present stock
holders at about 81, she proceeds to apply
on the acquisition of Empire. At this
price, il Will be necessary TO do some
thing with the market stock in order that
stockholders rights would have some
value a new issue at 81 with the mar
ket al 81 would be OF no interest to any
body.
Otis Steel is mentioned as one of the
smaller steelS which Will next be taken
up by pool operations, and the mod
crate rise Of this issue in Saturdays
market was increased fractiOnally yes
terdsy. While it was anticipated that
the steel tonnage figures would show a
Zig gain. few persons looked for any
thing like the ABSORPTION gain which
was made. This acted as a barometer of
steel conditions in general. is casting
aura of confidence over all the steels.
Studebaker, again working to the
fore with a 2I2 point gain, met with
good support. much of il apparently
being for the public buying, which is at
last coming INTO the market on heavy
scale. As a mater of fact. il appeared
as though many pool stocks were bear-
ing the brunt of the public buying, and
that the pools lost considerable stock a
a result of this. With most of the solid
motor companies showing production
schedules at this time about twice as
heavy as for the same last years. stock
buyers have tangible evidence on every
street corner and thrOughfare of the
comeback of the motor industry.
Pittsburgh & West Virginia replaced
Rock Island to some extent in the trad
ing demand. buying of this issue being
based mainly upon the general expecta-
tiOn that current earnings Justify higher
market levels. At the same time the
nationwide signs of a real business re-
vival are taken as bullish on all the rails
on the very natural theory tina improved
business means a heavier demand upon
the freight facilities of the country and
q consequent increase In earnings.
Utah Copper. American smeitiRg. Ana.