The Washington herald., 1922-12-07
MOTORS LEAD Sharp
ADVANCE FOLL0WING|
MELONS REPORT
Declaration That Taxes Are Ad.
equate, and Surtax Sugges-
ton, Cheers Wall Street.
By BRoADAN WALL.

NEW rOfNA, pcc- o.-A ny VI
sunshine In the form Of SECRETARY
Melons annual report pierced the
gloom which has prevailed for
weeks In Wall Street because Of
expectation Of increased taxation.
The declaration by Secretary Mel
lon that additional taxes would not
be. necessary and his suggestion
that surfaces should be reduced Inn
mediately found reflection in better
inquiry for stocks In general. Mo-
tors. with studebaker at the head.
led the rally. Motor shares fol-
lowed and Pan-AnAerican issues
joined the procession with unusual
vigor. Net advances for the lead.
srs ranged from 4 to 5 points.
A good part Of the inquiry rep
resented urgent covering by shorts.
The Improvement continued up to
the close. final quotations being
around the best. Secretary Mel
Ions statements were the first ia
vorable development in weeks. The
rally is expected TO continue tonnor.
row.
Another new high record for the
lhst three years was registered by
sterling exchange.
Call money loaned again at 5h
Der cent
FUNDS ARE PLENTIFUL
Indications Of an increased sup
ply Of funds were found in the ae-
ceptance market. where dealers re-
ported corporations are investing
funds being accumulated for inter
est and dividend disbursements.
Selling continued early in Great
Northern preferred. depressing 1t a
point It, however. recovered all
the lose and nearly three points ad-
ditionaion on buying which Ollowed
dispatches from st. Paul. the head
quarters Of the road, stating that
the dividend meeting would be held
December Is, when the regular ais
bursement was locked for. Big
shareholders In New York think dit
ferentiy. Some have been dispos-
ing OF certificates held for three
and four years.
A surprise was furnished the
street after the close when the
Electric Storage Battery ordered
the regular quarterly dividend OF
81 a share and 7S cents extra. The
extra payment was unexpected.
The company had been paying IS
0 share annually. A stock divi-
dend Is expected to be a Likelihood
for next year.
Persons buying Moon Motors with
the idea of better treatment TO
shareholders are not shooting at
the moon.' aceordipg to insiders.
MIDDLE STATES OIL.
Lively developments may occur
IN connection with Middle States
Oil stock in the near future. The
failure Of the Middle States people
to create u market for the Oil
Lease Development stock, which 1t
is giving as an extra dividend. has
been a source OF much discomfort
to those short Of the shares. II
o market Is not made for Oil Lease
shares very soon. certain shorts
promise to go to the stock exchange
and ask that the company be forced
to do so. In the absence of a quo
tation for OIL Lease, the shorts can.
not undo their commitments.
People who have been speculat-
ing in Continental Can solely for
profit are beginning to entertain mis-
do " lnc DCuCtllb Nudt viii
accrue to shareholders from a re-
adjustment of the capitalization,
which will include q stock dividend.
While directors were in session to-
day the stock had a sinking spell.
Subsequently 1t recovered when the
meeting was adjourned. Those usu.
ally iforIned expect that two and
two-thirds shares Of new stock will
be given for one Of the present
shares, and that dividends at the
rate OF SO q share annually will be
paid on the now shares. This
would be equal to So q share on the
present stock. The company is
earning at rate of $22 a share
yearly.
Rumors that the Remington Type
writer Company would be merged
with the Underwood accompanied
strength Of the formers securities.
A director OF the Remington says
there ID no truth in the merger
stories.
Samuel insult. head Of the Peo-
pies Gas, made q technical denial