Evening star. [volume] (Washington, D.C.) 1854-1972, 1927-08-01
CLIMB IS RESUMED
IN STOCK MARKET
Rails and lndustriaIs Gain.
Some Motors Rest, But
SteeIs Lag.
ny GEORGE r. HUGHES.

! Special Dispatch to The Star.
NEW YORK, August 1.-Spccula-
ton for the rise, unrestraincd and ap-
| parently understandable. characterized
| the stock market at the opening Of
| the week. The entire list was not af-
! fected. Most of the day the stcelS lag
ged behind. and only selected issues in
the motors We're favored. hut prac-
| tically all of the rails and the great
| aiorty of the recent leaders in the
industrials moved up ny leaps and
bounds
| New high records were common.
Some of them were prices never be.
! fore reached in the histories of the re-
| Spective corporations. and others were
the best for the present form of capt
! talizations. In only a few instances
was the outlook for the individual COM
pany a factor in the proceedings. Buy
ing seemed to be based rather on COM
| plete confidence in the prospect for
the group.
Investment Buying Factor.
or course there was investment buy
ing. especially in the rails, but it is
doubtful if this was the major reason
for the advance. Instead the spec
tacle of constantly rising prices was
all persuasive. There is. of course.
a limit to the current upward move
ment. even though money remains in
an abundant supply as at present, but
where to fix this limit is a question
few care TO try to answer.
1t is not easy to pick out the fea-
lures in each group. In the rails.
Atchison was still the leader at the
highest for all time. Before the
session was half over it had sold only
I'll x.,l,i Job,
the speculative fraternity sets as the
goal for the $40 dividend payers. New
York Central surprising its previous
best for this year was higher than
at any time since 1905. Union Pacific
at 100 was at the best since 1911.
Other soaring rails included Norfolk
& Western, Baltimore & Ohio and
long list of the low.priced shares.
More logical from both the specula-
tive and investment viewpoint was
the strength in the shares of the
Northwestern roads. Great Northern
preferred Northern Pacific and Chi
cago Northwestern all went along.
Here the excellent outlook for the
crops in that region was a reasonable
explanation for the advance. Eventu-
ally higher dividends are possible for
all these stocks and something like a
restoration of their old-time pros
perity.
General Motors at Peak.
In the motor group General Motors
were slow in getting under way, blu;
when it, it too make a new high
for the present form of capitalization.
Earlier in the day Chrysler and Hud-
son had absorbed most of the interest,
particularly Hudson. About the same
time also, du Pont started upward,
likewise surprising all records. If the
gossip in the street is to be believed
du Pont has an interest in many other
and United States Steel.
Baldwin and General Railway Sig
nal led the equipments, both at the
best in their history. American Smelt-
ing & Refining at 16S was at it's high
est for all time. General Electric
above 129 made a record for. the
present shares. The same was true of
Woolworth around 1877.
The one disappointing stock to the
so-called constructive element was
United States Steel. 1t opened lower
and ranged below Saturdays closing
nearly all the time. There did not
seem to be any real liquidation i'll
Steel, but it had evidently "shot it's
bolt" for the present.
There is no doubt that the market
presented a terrifying appearance to
short interests. Probably this &C.
counts for the heavy covering in the
oils right at the opening, which put
Phillips. for example, up points. with
a subsequent partial reaction. Then.
too, there was the case of Manhattan
Electricaul Supply which jumped 4
points as previous sellers for the de-
cline tried to extricate themselves.