Evening star. [volume] (Washington, D.C.) 1854-1972, 1930-12-31
STOCKS ARE FIRM
IN UPWARD TREND
Early Advances Are Wei
Maintained as Year-End
Session Progresses.
BY GEORGE r. HUGHES.


NEW YORK, December 31.-Relieved
of the burden of tax selling. because
transactions made today in the regular
way go into the 1881 account, prices on
the stock exchange registered moderate
but fairly uniform improvement.
AS is customary at the opening of a
new years business. sentiment in the
Wall Street district was more optimistic
and this feeling was reflected in the
market. Initial transactions were at
advances of point or so over, Tuesdays
close and the gains were for the most
part held.
Railroad stocks were still helped by
the agreement between the executives
on the major terms of the proposed
consolidation, but otherwise there was
little in the news to affect quotations,
although the commodity markets were
little firmer.
Steel Is Leader.
The industrial leader was United
States Steel, above 140, and up over 2
points durin the morning trading.
The large increase in the number of
shareholders in steel attracted atten-
ton. American Can, which nowadays
divides honorS with steel, was also
prominent on the buying side. The
making of an earning record as good as
that Of 1929 is no mean achievement
for any industrial in these times, and
accounts for the favor with which
American Can is regarded in speculative
circles.
AS for the several groups, the motors
were in good demand. General Motors
made a new high on this recovery and
Nash ran up over 2 points. The street
heard that the Nash dividend, which is
now 81 a share annually, was safe
a proposition traders have been slow to
accept, as the return of around IA per
cent testif1es. Automobile stocks also
generally have a demonstration at the
approach of the annual show.
Short Covering.
Short covering was stimulated by the
general strength in the list. 1t ran the
volatile Auburn up z points and it
helped Vanadium and stocks of that
grade. General American Tank was
bid up sharply and Spectators for the
commitments. Corn products responded
to the lifting of the restrictions on the
use of corn sugar.
In the railroad list the gains of Tues
day were extended, especially in New
York Central, in Missouri Pacific pre-
ferred, in Atlantic Coast Line and in
the stocks Of the roads serving the
Northwest. There was a disposition,
however, on the part of investors to
await tangible evidence of the benefits
Of consolidation in the form of in
creased earnings before making any
substantial purchases, and the rise in
the rails was held back by this feeling.
Throughout the session there were
numerous sales for cash representing
belated tax selling. These were made at
concessions from the price for delivery
on Friday next. AS matter of fact, the
professional traders, who were the prin-
cipal buyers Of these stocks sold for
cash, will probably reoffer them In the
near future, If they did not do so today,
and to this extent tax selling was still
factor.
Call money renewed at 31k per cent
and was in good supply, the rate falling
to per cent at midday.
Early Market Higher.
Despite a large volume of cash sales
in low-priced issues, the early market
today ranged fractionally higher. How
ever, in the railroad group advances
Of from l to points were the rule.
1t was noteworthy that there were
few cash sales in the carrier shares, in
dicating that tax liquidation in this
department had been concluded and
the market was ready to discount the
bullish Interpretation of the agreement
on a four-party consolidation plan in
the East. Money renewed unchanged
at 81 per cent. During the first half
hour shares traded totaled 324,9OO,
against 4O7,700 on Tuesday.
Atlantic Coast Line was the feature
of the rail list, with a five-point gain.
Union Pacific ran up over points, and
there were other substantial gains in
Allegheny. Atchison, Chesapeake Cor
poration, Chesapeake & Ohio, Canadian
Pacific, Illinois Central, New York Gen.
trail and Pennsylvania. Active indus
trials like Air Production, American
Can, Case Threshing, General Electric
and Radio were unchanged to a shade
better. General Motors was firm, but
other motors we're little changed.
In the utilities, American & Foreign
Power and Electric Power g. Light were
better. Oil shares were fractionally
higher. United States Steel was point
better. In the mine group. Anaconda
was shade better.