The Washington times., 1929-06-22
UTILITIES HAVE
HECTIC WEEK
IN MARKET
By w. s. COUSINS


NEW YORK, June 20 Q.N.S1.--
The utility stocks held the center
Of the stage in brilliant rally in
stock prices this week.
The Upward surge Of the market
was the most pronounced of any of
the weekly periods since the May
~ break, and was due to the fol-
lowing causes:
Exploitation of high grade utility
properties by the most powerful and
influential banking leaders of
America; the completion of mergers,
consultations and new corporations
calling for hundreds Of millions OF
dollars of new capital.
Expiration of stockholders
rights. privileges to buy new shares
of the United States Steel Corpora.
tion, Anaconda Copper Company,
the exercising of which has called
for an expenditure estimated at
close to $500. .000,006."
improvement In the money
market as the result of the compile
ton of the June is financing and
the influx of millions of dollars OF
new investment money into the
security markets, the above factors
take no account of the continuance
of unusually prosperous conditions
in the steel. copper and other i'm.
portant Industries and the sub
stantial increases in first-quarter
and first half.half-year earnings of
the representative manufacturing
corporations.
Passage OF Farm Bill
Finally, the successful, repara.
tions negotiations and the passage
of the Administration farm relief
measure cleared the decks. for
vigorous upswing in stocks in
which expert market guidance was
furnished. The bulls pushed the
bears back to the wall as the
stocks which harbored big short
interest were whirled upward at q
dizzy pace.
Stocks of the gas and electric
light, electric power, water and
water power companies held sway
as the speculative favorites in the
first four sessions of the week,
after which the steel and copper
group returned to claim their share
of patronage at the hands of tickle
traders. New advances of from 10
to 80 points this week brought
prices of the utilities all the way
from 40 to 80 points from the low
of the year, representing market
gains of from so to 110 per cent.
Buying of the utility shares was
not confined TO the New York Stock
Exchange list, butt was in evidence
in other important markets, incIud.
ing the curb market and the un-
listed markets in New York and
other financial centers. Outside OF
the Morgan merger of the upstate
gas and electric properties little was
known about the plans of the utii.
ity heads, but it was assumed from
the spectacular advances of Ameri-
can Waterworks, Brooklyn Union
Gas, Standard aGs. etc., that deVel-
opments of special significance were
pehiing and would be announced in
due time.
All Gas Stocks Up
Brooklyn Union Gas pushed along
about 80 points to 212; Standard
Gas was up nearly 25 points for
the week: American Waterworks,
up 20 points; Consolidated Gas, UP
10, and new gains of to 10 points
were scored by Pacific Coast Gas,
Pacific Lighting, Louisville Gas, Co
lumbia Gas, Electric Light and
Power, National Power and Light.
Public Service of New Jersey also
had brilliant market record, with
q new T0-point jump to 106.
Near the weekend the utilities
were given chance to catch their
breath, while the copper stocks and
the steels were given another up
ward whirl by the confident bulls.
Buying of the coppers was based
on the. optimistic survey of the
copper trade made on his return
from a European trip by John D.
Ryan, head of the Anaconda com.
pany.
United States Steel gave another
of the remarkable demonstrations
for which the stock has recently be-
come famous. Selling at 1S1 near
the weekend.
Considering the severe strain on
the money market this week, the
bulls had everything to crow about
in the gradual easing of call and
time money rates. Time money
loaned below s per cent for the
first time since the middle of May
and call money was in supply at
z per cent. Lower rates are due
after the turn Of the month.