Douglas daily dispatch., 1927-04-19
STEEL DIVIDEND
IS FEATURE OF
STOCK MARKET
(By the Associated Press)

NEW YORK, April Is R.-Ratifica-
tion of the 40 per cetn stock dividend
by the stockholders of the United
States Steel corporation, coupled with
Chairman Gary's intimation that the
per cent dividend rate would be con-
tinued on the new stock was followed
by heavy profit taking in todays stock
market on the theory that the good
news" the market was waiting for was
now out of the way. Offerings in such
recent leaders as U. S. Steel common,
General Motors and Baldwin were un-
usually we'll absorbed, but the general
list, which had opened with an OUT
burst of strength, turned irregular.
Indications that the temporary credit
stringency Incidental to mid-month and
state income tax payments had passed
were seen in the lowering of the call
money rate from the renewal figure
of AZ to 4 per cent After the closing
of the market the New York Federal
Reserve bank reported an increase of
$22,377, 600 in brokers' loans last week,
bringing the total to $2,S62, ,615,00O, a
new high level for the year, but still
we'll below the record of $3,141, 25,000
established in the week ended January
6, 1926.
U. S. Steel common moved within
point of it's recent record high, closing
at 1929 for a net, gain of " a point.
General Motors attained a new peak
price for the present stock at 1884 on
buying influenced by the announcement
of new truck and expectations of an
unusually favorable quarterly earnings
report, but lost all but Il of point
of it's gain by slipping back to 1861.
Dupont sold above 250 for the first
time.
More than score of industrials and
specialties established new high prices
since 1925, or longer, the list including
American Tobacco, American Sugar re-
filming, Allis Chalmers, Congress Cigar,
Detroit Edison, Inland Steel, Interna-
tional Business Machines, Kennecott,
Montana Power, Remington Type
writer, United Drug and Woolworth.
Sugars responded to the recent
strengthening of commodity prices, and
coppers to reported trade improvement
and the discovery of newer bodies.
American Brown Boveri responded to
the announcement of over $4,000, 600 in
United States navy contracts by climb
ing about points. Burns Brothers A
rallied over points on the declaration
of regular dividends, previously re-
ported in danger.
Renewed weakness of the oil shares
was accompanied by unfavorable divi-
dend rumors and talk of additional fl
nancing by oil companies.
Marland, California Petroleum, Texas
company and Phillips all sank to new
low levels for the year.
A buying demonstration was staged
in the rails around midday, but it
quickly petered out. However, Texas
and Pacific and Rock Island showed
outstanding Individual strength, each
touching new record high prices. Most
of the March earnings statements,
which began making their appearance
this week, are expected to be favor
able. Time money and commercial
paper rates were unchanged. Commo-
dity markets were firm but outside OF
a net gain of IA to 16 points in cotton
futures the changes were unimportant.
Chief interest in the foreign exchanges
centered in the heaviness of Japanese
yen, which broke nearly SO points to a
new 10 wfor the year below 1880 cents
on the resignation of the Japanese
cabinet over the extension of govern
mental aid to the Bank of Taiwan.
Demand sterling held firm around
$4.S5 SIG and French francs around
3.91 cents.
only mean the establishing of Mon
golian supremacy or set back for
them at the hands of the white
races