The Washington times. [volume] (Washington [D.C.]) 1902-1939, 1922-03-02
MOTORS HIGH =
POINT IN WEAK
STOCK MARKET
Prices Generally Sway Be-
tween limits-Bears
Active in Oil.
BY w. 8. COUSINS.

sssrvios)
NEW YORK, March 2.-Today's
market was swayed by a number OF
declines and rallies which followed
each other in such swift succession
that II was difficult at times to de-
termine which way the wind was
blowing. Bearish professionals tried
their hand at depressing the market
at vulnerable points. succeeding mo-
mentarily In forcing values down
ward, but In almost every instance
reaction followed.
A number of low-priced stocks
which had been adversely affected by
recent unfavorable financial state
ments or the passing of dividends. or
both, recovered a good stretch OF
their lost ground today, command
ing better prices In the last hour
than in the early part Of the session.
Announcement of regular dividends
by Mexican Petroleum and Pan
American. better known as the Do
heny stocks; American Steel Foun-
dry. General Railway Signal Com.
pany and others was not without IA.
vorable effect upon market senti-
ment.
The motors again came to the fore,
Chandler running up to "a for a gain
Of nearly three points.
Studebaker crossing par, and
Pierce-Arrow, In spite Of its financial
statements. making up its early
losses and adding more than a point
to yesterdays close. The directors
Of the Chandler Motor Company will
meet within the next few days and
declare the regular quarterly diYi-
dend Of / II per cent.
The recent buying of Baldwin and
American Locomotive has been bet
ter than the selling, as the appeal has
shifted from the speculative to an In
vestment viewpoint.
Easier money conditions in the
last hour accounted for the buoy
ancy Of the market, the rails lead
ing the recovery. Union Pacific was
up 2 points to 1872, Rock Island up
IN to 40h, Missouri Pacific COM
mon to 23x and the preferred TO
55h, a new high for this stock.
Texas Pacific moved forward
another notch to 33. Canadian Pa
cific sold up to 1861 and Western
Pacific made a new high at 10.
A great deal Of misunderstanding
has been going the rounds as TO
the provisions of the transportation
act with respec TO railroad Dor
rowings. As q matter OF fact. no
guaranty was ever made to the rail-
roads as to the net returns on the
monetary value OF the carriers,
though II was expressly stipulated
that, after bh per cent had been
earned. and a further half OF per
cent set aside for improvements and
new equipment, the balance was 10
accrue to the Government. Be
ginning today. the Interstate Com.
merce Commission Is empowered TO
approve rates which will give the
railroads "a reasonable return on
the value of property used in trans
portation." The commission Ia ex'
pected. therefore, to define for it.
self what earnings constitute rea-
sonable return and to make rates
accordingly.
From reports received from forty
six roads OF class l in January, II is
estimated that the net operating in
come for that month should approx
innate $40 ,000, 900. equivalent on the
basis Of seasonal distribution Of
turn OF about 2.6 per cent on prop
being reported compare favorably
with January, 1921. In that month
the roads as a whole failed by prac-
tically $1,000. 900 to cover their OPP
Grating expenses and taxes. In
January, 1920. however, the net OPP
Grating income of all class l roads
was $50. 639,69S, or twice the indi.
Gated total for January this year.
Current car loadings compare IA
vorably with those Of last year.
They ought to greatly exceed them,
however, II they are to fulfill their
expections of prosperity.