Evening star., 1923-10-31
VIOLENT ADVANCE
|NSTOCK MARKET
Steel Dividend, StudebaKer
Report and Live1more's
View Start Rise.
BY STUART p. WEST.

<pecisl Dispatch to The Star.
NEW YORK. October 31.-The re-
markable manner in which today s
stock market responded to the un-
expected size of the Steel Corpora
tion's third quarter earnings and the
still more unexpected extra dividend
declaration showed the pessimists
that genuinely good news still could
count, and count very decidedly, in
the Wall street price movement.
Steel common opened on running
sales of 5000 shares from SSA to SO,
as against Tuesdays close of Sc ss.
There followed an interval of profit
taking. but everybody was saying
that steel now could be considered
Sc dividend payer. 1t was not
only short covering but great deal
of real investment buying which
snapped up all offerings around the
80 level and later swept the stock
across 90.
Other stocks Advance.
While there had been some last
minute hints that the steel report
would be more favorable than looked
for. Tuesdays market had not taken
them seriously. Never has a short
interest been more thoroughly taken
unawarGs, On the first rush of COW
cring stocks ike Baldwin Locomo-
tive, American Can. Corn Products
and StuGebaker-all of which have
been sold out for Il month--were car
ried forward d point and a half to
three points. As in the case of steel
common. the subsequent reaction was
very slight. and after the first hour
the upward movement was in full
swing again. At first it had heen
confined TO the more active indus
trials in which there was a large
short interest. But the later upward
swing was much more romprehen-
sive. 1t took in rails. the coppers
and even some of the oils which had
hcsitated at the start.
Studehaker Report Bullish.
The Studebaker report. showing
than anticipated There was a con-
siderable falling off from the average
of the first six months. but it was
10 more than seasonal shrinkage.
But the main point was that the
third quarter results were nearly
100000 better than year ago. AS
expected, only the regular dividend
was declared today.
American Can recovered it's Ia per
cent quarterly dividend deducted. on
tho opening sale, then swept ahead
with the rest of tho leaders. 1t is
generally agreed that the stock has
heen well taken on all the dips OF
the last month. the buying proceed
made lot of money in the Corn
Products rise and looked upon Amer
lean Can as being in a similar posi-
ton. Well informed opinion is that
American Can earnings may at least
equal If they do not go beyond those
of the record year of 1922.
LIvcrmore Is Optimistic.
]. l.. I.ivtrmore who issued a bear
ish statement six months ago, cor
rectly forecasting the ensuing de-
cline, came out with a bullish inter
view today. He laid stress upon the
rise in agricultural prices as having
restored the farmers buying power
the visible proof of which was found
in the sales of the mail order houses.
He said that the high farm prices
and the full employment of labor at
high wages meant a continued salts
factory business volume.
Earnings of Mack Trucks are ex-
pected to he announced next Monday.
The net income available for divi-
dends on the common for three
months ended September so amounted
to approximately S5 share. The
net for the first nine months was
about s11. This compared with the
present S. dividends
Net income of the Chicago Rock
Island and Pacific railway for the
first nine months amounted TO s1,5oo.-
COO. It is estimated that in October
the same amount was earned. making
IL tc III OF So,uuu,Uu", WHICH "do
enough TO cover dividends on the two
preferred stocks for the full year.
Buying Orders Come Slowly.
The Iron Trade Review confirmed
Judge Gary'S statement that buying
orders We're coming in at only so per
cent of mill capacity, but the stock
market showed that it believed, with
the directors of the Steel Corpora
tion, that a larger volume of business
was in sight Much attention also
was given to the optimistic state
men: Of 4 we'll known operator.
Wheat and corn options moved up
ward with stocks. Nowhere else.
however, did the sudden revival find
any reflection. The foreign exchanges
were dull aud little changed Bonds
stocks and the easier tendency of the
time market. 1t was another day of
uncertainty in cotton.
Prices Highest at Close.
The upward movement gained mo-
high prices were reached in the final
hour. Following the action of the
steel board, Wall street houses which
for d long time had been on the
fence sent out advices to buy. The
inpour of new buying, along with
the demand of the short interest, was
sufficient to take up all offerings,
even after the leaders of the list
were up more than points.
Baldwin Locomotive. which had left
off Tuesday at 1l5 IS. got across 120.
up almost as much. Tobacco Prod
ucts stocks were feature in the
last hour