Daily Kennebec journal. [microfilm reel] (Augusta, Me.) 1870-1975, 1925-12-04
Financial
NEW YORK rIARlIET
Features of the Days Dealings in All
the Leading Stocks

New York, Dec. 8. (By the Asso-
ciated Press)-Undisturbe by the
danger that the advance in the Lon
don bank rate to five percent would
lead to an increase in the local re-
serve rate, the stock market pressed
forward to higher ground today on
an expanded volume of trading.
Total sales reached the two million
share level for the first time in more
than a week.
Early unsettlemeht, occasioned by
the Bank of England's action, was
gradually dispelled by assurance
from bankers and treasury officials
that no immediate change was nee
essary at New York and their views
were borne out after the close of the
market when the local 3k percent
rate was retained. Initial selling
orders were readily absorbed, open
ing the way for resumption of con-
structive operations. Prices moved
up under the leadership of standard
industrial shares, with the advance
gathering momentum as trading pro-
crossed.
Financial circles found encourage
ment in Secretary Melons assertion
that speculation in the stock market
had not reached dangerous proper
tions and that the rise in prices rep
resented an orderly advance rather
than imitation. The action of the
market supported his opinion that
even a change in the bank rate would
have a negligible effect on specuia-
ton. Another sharp rise in wheat
prices also acted as bulliSh lnnu-
ence on stock trading.
These factors contributed to a res
toration of confidence which quickly
overcame the early selling attack and
lation of stocks. Recognized indus
trial leaders assumed the leadership
of the advance, with gains of TO s
points registered by U. S. Steel, Du-
pont, American Can, General Elec-
trio and American Sugar.
Motor shares, which yesterday
gave evidence of good recuperative
power, attracted further support to-
day. General Motors, Hudson,
Chrysler, Studebaker and WHY'S
Overland scored substantial gains
but profit taking caused a recession
of more than a point in nearly all
of them.
Aggressive bullish demonstrations
were resumed in several specialties
Commercial credit scared more than
8 points to a new high record for
the year while Remington Typewrit-
err, American Ice, Coca Cola, Owens
Bottle preferred, Lut UNI Steel and
Foundation Company sold three to
six points higher.
Rail shares were neglected despite
| the announcement that freight tra1
| fic for the week ended November Il
had exceeded one million cars Tor
the 18th time this year. Chicago ano
Northwestern, Southern Railway and
Western Pacific preferred registered
moderate improvement.
Trading in foreign exchanges were
quiet. Demand sterling responded tc
| the increase in the London bank
rate with a fractional advance tc
S4.S4as and French francs were
strengthened by the prospect for ar
early renewal of debt funding nogo-
| tiations.
Call money held firm at percen,
all day. Time money was unchanged
at Az to percent and commercial
| paper remained in good demand.
Pending a decision as to whether
| the New York Federal Reserve Bank
would follow the Bank of England
| in advancing its rediscount rate, the
bond market relaxed today anc
prices remained virtually motlonless
Uneasiness over the prospect of
higher bank rate here was manifest
ed throughout the day. Assurance
were given by bankers that the . l.
per cent change would be retained
| but were not officially borne out I'M
til after the close of the market.
The only striking price movement
of the day took place in Murray
Budy 6 lbs, which broke more thal
| II points to a record low at 20 OF
the appointment of a receiver for the
| company. The amount of outstand
ing bonds is small so that the selling
| was not particularly heavy.
Waning interest in railroad pohu'
| resulted in the turnover OF the car
rier issues at lower levels, Wlscon
| sin Central As, Delaware and Huu
\ son rs. Chesapeake and Ohio Us, 81
| paul convertible lbs and chicago
| Terre Haute income 5s were heavy
hut a fair demand was noted iol
| Canadian Pacific, Northern Pacin'
| and Pere Marquette issues. on Hen'
maintained their strength In con
/ fra ST to the easier tone of copper ane
rubber issues. ,
| French obligations were little al
| fected by the latest political ana nm
ancial developments at Paris. Poiisi
bonds continued to slump but othel
European issues were quiet.