Daily Kennebec journal. [microfilm reel] (Augusta, Me.) 1870-1975, 1924-05-22
FINANCIAL NEWS w
j Ea
s. NEW YORK MARKET
Features Of the Days Dealings In All
the Leading Stocks

- New 1orK, may LlWitH ipS
bonus bill definitely disposed OF,
today's stock market began to
devote its attention to the tax
Measure. prices making favorable
response to reports that the senate
and house conferees had decided to
accept the house tax of 12~1-2 per
cent on corporation net earning sur
plus instead Of the senate provision
Tor a graduated tax of 9 to 40 per
cent and that the publicity feature
had been eliminated. Net gains In
the active Industrial and railroad Is
sues ranged from / to 2 points.
Some irreguiarity developed at the
opening as opposing speculative
forces struggled for control but 1t
was not long before many short
traders apparently became convinced
that yesterdays market had been
"oversold" and began to cover some
of their commitments. Meanwhile
independent strength developed in
Chesapeake and Ohio and nickel
Plate" which touched new high rec
ords for the year on buying attri-
buted TO the belief that consolida-
ton Of these Van Sweringen roads
was Imminent with nickel Plate"
absorbing G. and o by an exchange OF
stock on share for share basis.
Tire suying movement was given
impetus later by the action OF the
tax bill conferces and continued to
gain Roadway despite the publica-
ton OF rather pessimistic weekly
steel trade revlewS and successful
hear drive on the rubber shares
which sent United States Rubber
common and first preferred to new
low records for the year .
more than point higher at 81:
baldwin advanced nearly 2 points to
107 IA and American Can closed
points higher Mt 102 is.
Strength in the railroad shares
was one OF the outstanding features
OF the days trading. which totalled
approximateIy $3.50, 900 shares. Della
ware and Hudson advanced IL
points to ia. and then slipped back
to 1f3 while Baltimore and Ohio,
Shesapeake and Ohio. st. Paul. New
York Central. Norfolk and Western,
Southern Pacific. Chicago and North
western, Rock Islnd. Western Pacinc
and several others advanced a point
or more.
Some Of the outsta ndinG strong
points in the industrial list were
General Electric. Mack Truck. In
IfI1t tlOUII 1NSSibi, tnu'
New York Dock. United States Cast
iron Pipe. Associated Dry Goods,
American Smelling. Philadelphia and
Reading Coal and Iron and the AM
crican Water Works issues. up TO
4 points. and Fisher Body. up 13 L..
Call money held ut 3 per cent all
day. The time money and CONNER
Cial paper markets were quiet with
no change in rates. \ Is point re-
covery in French francs which again
crossed , IL cents. was the feature
of the quiet foreign exchange mar
kct. Other rates showed only NOM
inal changes. demand sterling easing
slightly TO 4,35 "a,
Favorable Developments in tax
legislation and the bulwark of easy
money today Offset the effects Of the
bonus enactment on bond trading
and prices registered moderate i'm
provcment.
: Investment buying. however. was
turned again from the Liberty Bond
list into higher grade railroad securi-
ties and other OBLIGATIONS.
Indications that tho conference ir
Taris between. French government
officials and leaders of the new ma
jority in parliament would result In
continuance OF sound financial poll
Cies led to n brisk upturn in French
governmental and municipal issues
toward the close Of the market. The
French SIS reboundcd to par and some
of the municipal liens sold more than
n point higher. The trend of these
bonds followed In line with the i'm
provement in the franc.
Local traction issues and rubber
company liens were the only con-
h. Ins
trading. marlborough Mortgages
reflected speculative uneasiness over
the compqny's wage difficulties, lead
ing other rapid transit and street
railway bonds into lower ground.
ttnfavorable dividend rumors con-
tributcd to the weakness of United
states Rubber { 1-2s and Kelly
Springfield SIS. the latter dropping
almost points to n new low for the
Year at 81.
Investment circles were interested
by the announcement that the city
Of New York would open bids on
June 3 for s137.to0. 10000 cooperate
stock. notes and bonds.
Virtually all the leading invest :
ment banks, it was reported, would
compete for the business. \ Detroit
s19.610.oo0 public Improvement and
utility issue. It was believed, also
would draw numerous bids.
Early Offering is scheduled for
stp. 900. GOO Minnesota rural credit is
sue. Bankers will sell two SS.5o000o
Portland electric power 6s at 81 t.
Weld more than liz per cent. Re-
,norts were circulated in Wall street
that the Canadian Pacific Railway
Company was negotiating with bank
ers for, tho sale of $4,000 four per
cent adventures.
Total bond sales fpar Nalue) $1er-
e19,00o.