The Washington times., 1929-03-16
STOCKS MAKE
GAINS DURING
WEEK
BY w. 8. COUSINS
international News Service

NEW YORK. March ls.-A hand.
lDicked list Of the industrial stocks
and speeialties led an aggressive
upward movement in the stock mar
ket this week, Evidences OF pros
porous conditions in the country'si
leading industries; maintenance Of
the per cent rediscount rate by
the New York and other Fedeal
Reserve Banks; easier money mar.
kets In the 'taK day. week; and,
last but not least, the resumption
Of aggressive work by the powerful
and skilful Wall Street pools, were
the principal factors making for
strong and active stock market.
Radio Leader
An old faVerite of the last year
or two, Radio Corporation of Am
erica. led the dazzling pace of the
hish-priced specialties to the highest
prices on record. Splitting of the
stock 5 for l has given q much
better speculative play" to Radio,
and the report in Wall Street is that
a $1,000, 000-pool has been formed
in this stock, with much higher
prices as the objective. The enOr-
nous increase in Radios business,
together with actual and eonteIn-
plated hook-ups with ether prom
inent American corporations, in the
amusement, communications and
broadcasting fields, give ample scope
tor the play of speculative magma.
tion in the market movements of
the stock.
Radio scared to above $500 a
share this week, the new stock
meanwhile passing above 100, for
a gain of more than 80 points in the
last month. Accompanying this
move, q dozen or more of the we'll
known steel, copper, oil, motor car
vigorously into higher price ground,
in a confident movement which had
the full approval and support of
professional Wall Street.
Once again the bulls appeared to
have all of the "breaks" in spite
of the huge amount of Federal
Income Tax payments, which swelled
the Government receipts far above
the early estimates, the banks were
not pinched for money, and the call
loan rate ruled at per cent. The
New York banks co.operated with
the reserve board in withdrawing
about $115,000, 900 from the call
loan market this week. but outside
funds poured in in sufficient Volume
to offset these Withdrawals.
The market boiled over on Friday,
when the full effects of the aeeumu-
latien of bullish factors became
known. The pools whipped up the
market for their favorite stocks as
soon as it became evident that
u tho
speculative trader were grabbing
stocks right and left, and that the
floating supply of stocks was
rapidly dwindling. Secretary Mel
Ions advice to prudent investors"
90 buy bonds and his suggestion
that stock prices were too high was
without much effect. except to de
rect a new flood of buying demand
to the stock market.
Rep0rts Favorable .
From the standpoint of industry
and business, the reports of the
week were generally favorable. The
steel industry is breaking production
records; the automobile nlanufac.
turers are turning out the biggest
first-qua~ter output in the history
of the industry; the copper pro-
ducers are making the best profits
in the whole postwar period; the
oil producers are making better
progress against the over-produetien
hugbear: the textile industry has
turned the corner and all indications
point to the continuance of record
breaking prosperity. Such condi-
lions do not indicate the approach
Of a bear market, though there are
many market experts who look for