Evening star., 1922-08-02
FIRM UNDERTONE I
ssst
TO STOCK MARKET
Business Conditions in a Way
Offset Strike News.
.-.
Light Offerings.
BY STUART p. WEST,

BY STUART r. WEST.
NEW YORK, August 2.-Stocks
gave an excellent account of them
selves in today's dealings. The
gist Of news with a bearing on
securities. including the railroads
refusals to concede anything in the
contest over shopmen's seniority
rights and the coal operators declina-
tion to meet with union leaders. had
much less effect than many expected
in forcing prices down in early trans
actions. In fact. professional traders
VINO sold stocks short were able TO
Dr1ng about only fractional declines
Tor the most part, and when they
sought to make repurchases offer
ings were very scarce.
New High on N. Y. c.
New York Central. after receding .
point, went forward sharply more
/ than the distance lost, touching q
new high level for several years
above SO. This abrupt reversal of
initial tendencies, together with a
rise OF points in Norfolk and West
ern. helped steady the entire list. and
dustrials were a little higher on the
average than on Tuesday
The market showed quite plainly
that current difficulties centered in
strikes and commodity price move
| ments were held of less Importance
| by investors and specuiators for the
longer future than some broad In
dustriai facts.
There was just as little evidence of
liquidation today as there had been
at any previous time during the
strikes.
No Liquidation.
Quite naturally. new buying of the
~ to kl
any one knows that the complete
cost of the strikes cannot yet be
measured. but various traders found
as they had before, that they could
not bring out large offerings.
OF today's strike Developments the
more disturbing item from a market
point Of view was perhaps the coal
operators assertion that they would
not deal with the national union. but
! insisted upon regional settlements.
This attitude carried its own infer
ence Of the prolonged controversy.
for the United Mine Workers for
seventeen weeks have held their men
well in hand.
Heavy Car LoadinSs.
The strike deadlock does not mini
mize proof that business is pressing
heavily upon the roads.
Car loadings of general merchandise
in the week Of July %. when the
more than a fortnight. reached the
large aggregate of 7s5.0s4 cars. quite
the largest on record for the eason,
and within shade of the great move
ment of freight in October, 1920. This
total excluded coal. e.
As the merchandise flow was 1.lsI
cars larger than the week before
which was close to a record. also, II
is clear that industrial growth con-
tinued past midsummer under great
handicaps.
Motor Dividends Safe.
Studebaker was not long in coming
into line with its new prices, and
met the Buick reduction in every case
by cut even more drastic The feel
ing is developing that the motor in
dustry is on the verge Of a price-cut-
ting war which will have drastic re-
suits for some of the companies which
are not well fixed financially.
The selling prices of the various
automobile stocks make certain in
terests believe that they are a pur-
chase now for their income yield.
One man closely in touch with the
situation In the motor industry de-
clared today that mo motor dividend
now being paid is in danger, and be-
fore the end of the year some stocks
like General Motors may restore
dividends. Next year other dividends
will be increased"
Financial NOtco.
The tentative operating statement
FOR the first six months OF the Key
! stone Tire and Rubber Company
shows operating income of Ss72,35l.
operating expenses of SIS, and loss
02e
Word from London reports the dis
covery OF great new gold reef in
South Africa extending from the bor-
ders OF Bechuanaland to Rustenbure.
A swarm OF prospectors are at work
The report OF the General Motors
Corporation for the first six months
of 1922 showed a surplus of S27,4o3,-
42S after charges. federal tax and
! $1.33 share on the common stock
as compared with 81 cents in 1921.
Car loadings for the week ending
July 22, without including coal were
the heaviest of any week this season
and were within less than / per sent
OF the peak week in October. 1890.
The Pittsburgh city council has or
dered an investigation OF retail gaso-
line prices. 1t is claimed prices are
from to cents higher than in
Chicago.
The Homestake Mining Company
declared the regular monthly divi-
dend of Is cents a share payable
August rs to stock of record Au-
gust 10.
The Old Dominion Smelter output
for July was 2.11o.o00 pounds of cop
per as against 2,047,0o0 in June.
Welch coal miners have approved a
resolution demanding that steps be
taken to prevent shipments of Eng
the miners strike.