Evening star. [volume] (Washington, D.C.) 1854-1972, 1929-08-20
ADVANCE IN STOCK
PRICES CONTINUES
Market Surges Forward in
Face of Heavy Selling.
Gains Widespread.
BY STANLEY w. PRENOSIL,
Associated Press Financial Editor.

NEW YORK, August 20.-Led by the
"blue chips" as Wall Street terms those
issues selling above 5000 a share. the
stock market continued its advance
today in the face of frequent furries
of selling in the pool specialties. New
high records were established by at
least a score of issues including u S
Steel common, General Electric, Allis
Chalmers, Westinghouse Electric, Com
mercial Solvents, New York Central and
Norfolk & Western, with the gains run
ming as high as 20 points.
Sharp gains in the high-priced shares
reduction in the floating supply of many
of those issues as result of investment
trust buying. Trading was largely pro-
feSsional in character, as few small
traders are able to deal in high-priced
stocks because Of the heavy margins
required.
Call money was in comfortable
supply at the per cent level, with
indications that the rate might be
other monetary accommodations. Wall
Street found bullish encouragement in
the weekly condition statement of Fed
eral Reserve Banks, showing a large
reduction of loans on securities. Bust
ness news continued favorable, July
railroad statements now making their
appearance showing unusually favorable
comparisons with the same month last
year.
Public utilities and merchandise
shares were in the van during the late
trading. when number of substantial
advances were made despite some active
profit-taking. Allis-C Chalmers extended
its rise Of 43 points, touching $780,
Midland Steel Products preferred jump
ed 1434, International Telegraph &
Telephone and North American z,
Montgomery Ward and Eastman Kodak
each. The closing was strong.
Opening Is Higher.
Prices resumed their upward move
ment at the opening, under the leader
ship of United States Steel common,
which showed an initial gain of a point
at 249l2. new high record. Westing-
house Electric opened nearly a point
higher at 253as, also a new high.
Warren Bros. Radio and A. M Byers
showed initial gains of more than 2
points each, while American Power &
Light, Wright Aeronautical, General
Railway Signal and several others ad-
vanced point or so.
Formation of the Blue Ridge Corpora
ton, with an offer for an exchange Of
its securities for those of 81 leading in
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companies, had a bullish effect on
speculative sentiment. With the float
ing supply of many of the high-grade
stocks materially reduced by purchases
of investment trusts, the advance in
some of those issues assumed large pro-
portions.
United States Steel common quickly
crossed $50 to another new high rec
ord. American Can, Auburn Auto,
Bethlehem Steel, General Electric,
Commercial Solvents and Norfolk &
Western also moved into new high
ground, the early gains ranging from
fractions to points. International
Telephone extended its gain to more
than 4 points by touching a new high
at 1871, one block of 5000 shares
changing hands at 1247s. Continental
Can opened with a block of 1000
shares at 86l2, up 4, and new high
record.
Tobacco Stocks Gain.
Tobacco Products, United Cigar
Stores and Schultz Retail Stores all
moved upward on the announcement
that the control Of the Whelan COM
panies had passed to the Morrow in
tereStS.
Public utilities gave another impress
sive demonstration of group strength.
Public Service of New Jersey, Pacific
Gas and Pacific Lighting showed early
gains Of 2 points or more. American &
Foreign Power, which ran up more than
IL points yesterday, opened 2 points
lower but quickly made up its loss.