Evening star. [volume] (Washington, D.C.) 1854-1972, 1927-07-07
STOCKS CONTINUE
ADVANCE TODAY
TobaccoS in Favor-Mot0rs
Fail to Move Forward
With the List.
BY GEORGE T. HUGHES.

| Special Dispatch to The Star.
NEW YORK, July THE upwar
movement on the Stock EXchang
gained momentum today. Speculative
enthusiasm received added stimuli
by the drop in the call loan renewa
rate to 4 per cent, for the first tim
| since July q.
| The fact that the market had left of
yesterday at practically top prices TO
| the movement resulted in heavy &C
emulation of overnight covering or
ders. which were felt as trading wa:
resumed today. One of the most note
| worthy incidents was the sudden favor
accorded the tobaccos. Consolidated
Cigar was practically at its high rec
ord reached in 1926. and unconfirmee
rumorS were current of a deal be
tween this company and United Cigar
Stores whereby the latter was to guar
antee preferred and common dividends
on Consolidated.
Congress Cigar Up.
Congress Cigar went to the highest
since the shares were listed on the
Stock Exchange when it crossed 65
and talk was heard of an increase ii
the annual 81 rate to Sc. Bayuk
crossing so, went to it's top for all
time, and General Cigar sold at the
highest for the present shares. Strength
of the tobaccos, however, was general
ly attributed to the knowledge that
most of these companies were stocked
with low-priced tobacco and were in a
position to benefit by the upward tend
ency of prices for the product.
Shortly before midday the main
hnIy IF cfnn1-C 1hionfnI fn 20 hQ y
heavy profit taking, based on the con.
tention that after four days of sharply
rising prices the list was due for a
fair-sized technical reaction. Efforts
to check a decline were concentrated
in the railway section and they proved
partly successful. Atlantic Coast Line
went forward more than points, New
York Central was in urgent demand
at $50. Chicago & Eastern Illinois is.
sues maintained their place Of promi.
hence and the so-called Southwestern
merger rails were bid up rapidly.
Kansas City Southern at 63 compared
with Yesterdays final of CO.'S. st.
Louis Southwestern was up 2 points
and Missouri-kansas-T Texas went along
sympathetically.
Motors Are Supplied.
But while this was in progress the
prominent motor stocks were freely
supplied whenever bids came into the
market. There was nothing new in
the outlook for the motors to account
for their failure to move forward with
other induStrialS. Speculative Wall
Street evidently was giving more con-
sideration to the severe competition
prevalent in the industry. General
Motors was off almost a point and
Hudson more than a point. Dodge
Bros. "a" was offered down in SYM
patty with weakness in the bonds.
No let-up occurred in the deman
for Collins & Altman, which was car.
ried to it's highest for all time, around
1913, up almost points. Buying APP
parently was based upon belief that
the much-talked-of deal for absorption
by General Motors Corporation would
materialize.
American Republics stood out strong.
ly at new high prices for 1927 among
the oils. Houston Oil, after establish
ing a new top above 16S, encountered
heavy realizing sales, which carried
the price back over the ground gained.
General Asphalt at "a was point
higher, and Atlantic Refining contin-
ueU III demand.
Action Is Impressive.
Considering the activity and extent
of the rise during the first half ses-
sion, the action Of the market in the
late afternoon was impressive. 1t was
expected that the volume of business
would show some falling off as the
session progressed, but the industrials
and rails held well up to their best.
The action Of the Southwestern mer-
ger rails was particularly noteworthy.
Kansas City Southern and Missouri
Kansas.Texas were turned over in
large volume at advancing prices al
though there were no new develop
ments concerning the Southwestern
unification to account for their
strength.
Investment issues of the type of
Brooklyn Edison, Consolidated Gas
and the high-grade rails made further
progress. but their advance was linn.