Daily Kennebec journal. [microfilm reel] (Augusta, Me.) 1870-1975, 1923-11-01
FINANCIAL NEWS
NEW YORK MARKET
Features Of the Days Dealings in All
the leading Stoclka

New York, Oct. 31.-The unexpectl
ed declaration of an extra dividend
on United States Steel common on
the strength of an unusually cool
quarterly earnings report, combined
with the publication of bullisfl
forecast by one of Wall Streets
most famous SPECTATORS, brought O.
flood of buying orders into today's
stock market. which carried active
issues ! to 5 1-2 points above yes
terday's closing quotations. The
days transactions ran we'll over a
million shares for the first time In
nearly a month.
So great was the accumulation of
buying orders for U. 8. Steel COM
mon that 1t was some minutes be-
fore the committee on quotations
could determine the official OPEN
80 to 50 Ia. as against a previous
closing price of Sc 49,, The price
was finally run up to 81 II. up
1-S on the day. on total transac-
tons Of more than 100000 shares.
Net gains of 4 points or more
were recorded by Baldwin, Stude-
baker. American Can, Gulf States
Steel. Coca Cola, Stewart Warner,
Stromberg Carburetor. Mack Truck,
and International Harvester, while
scores Of othes were up a point or
more. Buying of Studebaker was
influenced by the quarterly report
which showed $23.6S earned on the
common stock in the first nine
months of this year while Ameri-
can Can was heavily accumulated
on the speculative belief that the
dividend will be materially in
I,
Initial gains ran from / to 3
points but toward the end of the
first hour the upward movement
was temporarily checked by the re-
newed heaviness of the oil shares,
which apparently was based on the
publication of statistics showing
that crude DIN production reached a
new high record in September and
that another increase was reported
for the week ending October q due
largely to the increased yield of
central Texas fields. Texas Com:
pany. Marland, Associated, White
Eagle, and Cosden preferred touch
ed new lows for the year on this
reaction, but recovered all or part
of their losses later.
Short interests were generally
credited with supplying most of the
days buying power although COM
mission houses reported a reawak-
ening OF public interest. which had
been at low ebb for many weeks.
The rails followed in the wake of
the industrials, with special
strength being shown by the north
western carriers on buying pre-
dicated on the sharp improvement
in earnings and the optimistic ut
terances of Howard Elliott. chair
man of the Northern Pacific.
Call money opened at "a per-
cent but softened to 4 IL around
noon and held there until closing.
The time money market was
quiet with occasional 80 and 60 day
loans arranged at percent. There
was a good demand for commercial
paper. the bulk Of the prime names
commanding IA percent
Foreign exchange business was
quiet with little change in rates.
Demand sterling held around AS
and IL and French france around
4.S7' cents: German marks were
down to ITO of one cent a billion,
another new low.
The sharp upward turn in the
stock market influenced improved
prices for many secondary and con-
vertible bonds while moderate i'm
provement was displayed also by
the high grade investment issues.
Buying of mortgages of grain
carrying railroads was particularly
effective, fair gains being recorded
by liens of the Frisco. Northern
Pacific. Missouri Pacific, st. Paul
and Louisville and Nashville. Tn
doubtedly some of the buying was
traceable to optimism over to-
morrow's conference of RAJ execu-
tives with President Coolidge
Chairman Howard Elliot of the
Northern Pacific stated during the
day that he thought pesimism about
the northwest had been overdone.
Liens OF industrial companies also
were in fair demand, some of them
following the trend of stocks and
others independently on reports of
improved earnings. Some OF the
New York traction lines bonds sold
lower as result of poorer earnings
in September.
Pressure against U. S. Government
bonds was lifted and several of these
issues moved up. Little interest was
displayed in the foreign division.
Public offering will be made to-
morrow of $2,500,000 Penn public
service first and refunding IA year
six percent bonds at 90 1-2 to yield
Gil percent. Announcement was
made also that the Diamond Match
Company would retire tomorrow
S4,SS3.709 of its 1-2 percent de-
bentures out Of surplus.
Total bond sales (par value)
S10713 600