Evening public ledger. [volume] (Philadelphia [Pa.]) 1914-1942, 1922-01-18
GOSSIP OF
THE STREET

1 N"S ITeleSS StuueDhker pool, WHIT
has beer caring for the destinies of tina
ever prominent speculative football
seems to have won the blue ribbon, al
being the daddy Of all pools. 1t hal
j been many years since the Street has
been treated with such wonderful propa.
ganda concerning any particular stock
and the publicity manager of the com
binntion must spend many sleepless
nights in producing such plethora oi
convincing, and otherwise, arguments
Yesterday the stock got within the
hailing distance of SO. 1t sold as high
as % last fall, when the pool was work
Ing overtime, and then broke nearly 80
points. So It is quite probable it wAl
recover all this loss, and unless some
cogs slip, the stock will be carried to
a new high level.
According to one Of the financial news
bureaus:
There Is an interesting story going
around that two strong pools have been
operating in Studebuker lately, one
made up of old pool members, that
worked in stock during the war period,
and the other consisting of interests
who have bought into Studebaker heav-
lily during the last year and half.
These pools have recently found that
they were getting in each others way,
and latest gossip is it has been virtually
decided to amalgamate the two into one
pool. If this is true it will probably
represent the biggest pool operation
since Studcbaker was admitted to trad
ing on the Stock Exchange. Members of
the two pools now in operation believe
they have plenty Of ammunition upon
which to base Il demonstration.
''lf production schedule for first quar-
ter is lived up to Studebaker seems
likely to establish new earnings record
in three months that will end March
81 next. Then there is always the poS-
sibiity of an extra dividend. although
best opinion seems to be that nothing
will be done along this line until spring.
BY that time Studebakcr will probably
have accumulated between S12 100. 900
and SO ,0OO. 900 in cash. The company
will have no particular need for this
great amount of npney, and nm extra
dividend distribution in cash is more
likely than stock dividend
Will History Repeat
Discussing Mondays sudden rapid
advance in call money yesterday, there
were OutC divergent opinions expressed
by banking interests. Many seemed to
think IT was II temporary condition and
easy money would soon prevail again.
Others were not quite sure that sUch
would b. the case. ii was pointed out
that it frequently occurs that money Is
very cheap during the first two weeks
Of January. and then very often, with
out any apparent good reason. sud-
denly tight"uS up as II did on Monday.
The Plethora of funds in the early part
of the month are cXplainTblr in the re-
turn of interest and dividend diSbursc =
I ,,.lli
usually the largest of the year. When
this surplus is absorbed the real supply
soon runs short of tn" actual demand.
especially when the interior begins to
withdraw funds that coulG be en-
nlOyCd at more advantageous terms al
home.
The enormous volume Of new tinanr
ing 80 took out n great deal of money
since the opening of the new year. al
though it is generally supposed that u
considerable part of this financing ~ ~
n rrfunding character. thereby rcicnS'
ing a huge volume of frozen credits. In
other words. the loans are being shifted
from th" hunk~ to thC investors. \ be, :
ter idea Of thc real situation VIII be on
tnimablc in few days.
Maturitics Heavy Next Month
Corporate bonds and notes maturing
IN February are unusually large. ug-
grcgaling 81 22l 40. as against SNl. :
5GI .22n in January, and SNl 100 III
Inst February. This does not mean.
lnwcvrr. new hnnacing will be lnr.c
nest month"; Most Cf thr iarg" ISSUES
coming due have already been provided
for Among thcS" are Oregon Short Line
first Is for &14 1871 900, du" February
| Canadian Northern Hallway 81,
GJ1 600 u per cent n0tcS philudrlphiH
Electric Sl2 900. 900 q per cent notes
and Edison Elrc,rir Illuminating Conn
ruily of BOatun. $1,000. 900 . per cent
notes. AL du" February ]. Missouri
Kansas and Texas halfway Compan!
s. al 900 & per cent TcCciverShip GER
tiicates, due February 10. are pro.
vid"d for in th" reorganization plan
which will become rff"ctive soon.
The limited amount of maturing is
sues which have to be refunded vii
have the advantage Of good market
and the companies probably will obtair
loans at muCn more favorable rates thar
have prevailed for several years. Brook
lyn Rapid Transit Company S1S.UOO
GOO q per cent receivers certificates ful
due February |. AS the company il il
tn" hands of II receiver appointed b,
the Federal Court. these certificates vii
probably be extended until the credit 81
u" company Is restored.
Steel Group In Favor
The steel industrialS continued 10 h,
regarded as in position for sharI
advance, but most interest in that grOuI
was attached TO the Increasing demand
for Gulf States Steel, which Monday and
Yesterday led the group in the eXten,
of advances. Circulars. in COnnectiOi
with the expected transfer for COntrO
of the property, had good deal 20 dc
with the sharp advance, but the gen
Cral understanding is that several in
tcrrsts are competing for the COntro
Of the concern and violent advances ar,
looked for during the remainder of tn,
week.
Water Power in This Country
Forty per cent of III" developed Watcl
power Of the world is in the Unltcu
Siulrr, whpr" water wuCris having Il
capacity of 0.243 900 horsepower have
been installed, according 20 state
mcur OF the United Stutcs GGOlog icn
Survey, Department Of the Interior
The leading States in developed water
power are New York. with 300, ,00C
horsepower, and California. with j.
M 900. These State totals compare
fuyorably with those for some OF the
mCNL progressive countries in water
nowrr development in Europe, where
France leads with 100, 900 horse
power. Norway has l $50 600 horse
power. Sweden | 200 900 horsepower
and Switzerland l ,070, 900 horsepower
The largest percentage Of power has
bePn dcycloDed in the Now England