Evening star. [volume] (Washington, D.C.) 1854-1972, 1929-01-16
STOCK PRICES RISE
FOLLOWING SLUMP
Buying Side of Market Pre-
dominates, Despite High
Money Rate.
BY GEORGE T. HUGHES.

Special Dispatch to The Star.
NEW YORK, January 16-The bear
party, augmented by the late weakness
yesterday, beat hasty retreat in the
stock market today. Prices, rallying
at the opening, reached their highs in
the last hour, coincident with spirited
demonstration in United States Steel.
Short covering and new buying COM
bined carried that old-time leader above
ITO with a rush. From that point 1t
advanced without interruption until at
1723s it was selling at new high for
all time. The stock was turned over
1t took along with it Bethlehem and
the other independents. Vanadium
scared points.
| The other features of the last hour
advance were the utilities. Public Serv-
ice of New Jersey, Brooklyn Union Gas,
American and Foreign Power and
others of the group advanced rapidly.
! American Sugar was another feature
| in the buying. Money held at 8 per
cent all day, but traders had completely
recovered from their fright over the
credit situation.
Stocks did not move by groups as
much as they usually do. Instead in
dividual issues were singled out for
| attention.
Strong Issues.
Air Reduction, which had manifested
remarkable resistance to the selling
movement yesterday, forged ahead into
new high ground today. American
Radiator, Johns-Manville and Vanadium
displayed marked strength.
A lower-priced stock that was actively
| bought was Continental Motors, which
made a new high for this year, up over
points. Entrance of the company into
the airplane field was the reason given
| for the interest, once more Illustrating
the hold aeronautical developments have
upon the trading Imagination.
| Another interesting incident was the
sudden upturn in Pan-American stocks
The "B" stock, above so, was up over 8
points and very active. Pan-American
Petroleum is controlled by Standard Oil
of Indiana and the advance was said
to be sympathetic with that in the
shares of the parent company. That
some special reason was back OF the
buying was a fair deduction from the
fact that other oil stocks did little.
Some of the stocks of the baking COM
panies we're in brisk demand under
leadership of Continental Baking.
Large increases in earnings were FORE
cast by sponsors for the stocks. U. S.
Rubber came back from its weakness of
the day before and was the leader in
its group.
The rails-were slower to recover than
the industrials Pennsylvania ranged
we'll under its recent high. Baltimore
& Ohio, under 100, returns more than
per cent, even at the present dividend
rate, and there is talk of larger re-
turns for the stockholders of both of
these roads. The rails are held back
not simply by the public preference for
industrials because they move faster,
but by uncertainty about the Supreme
Court decision in the pending valuation
case.
Other Gains.
OF the standard stocks U. S. Steel
made the best showing. Probably this
was due to covering by a newly created
short interest. It was up over two points
before noon. General Electric rallied
sharply. General Motors made smaller
gain. Studebaker remained the favorite
| among the motor stocks. Buying in
American Telephone & Telegraph, pre-
Sumably for investment trust accounts,
was also resumed today with the stock
up from three to four points.