Evening star. [volume] (Washington, D.C.) 1854-1972, 1931-10-02
STOCKS HOLD firm
ON BETTER BUYING.
Market Shows RaIIying Tend
ency Despite Renewed
Selling Pressure.
BY GEORGE T. HUGHES.

Special Dispatch to The Star.
NEW YORK, October 2. - Though
still compelled to accept considerable
liquidation. the stock market today
showed distinctly rallying tendencies.
The Street took the announcement
of the proposed merger of the National
City Bank and the Bank of America
as a good omen for the financial and
business future. The news was respon-
sible for the preponderence of buying
orders at the opening which sent the
market sharply higher as shorts sour
ried to cover.
1t was pleased by the improvement
in the bond market, to which traders
in stocks now look for encouragement
on the buying side. 1t was realized
that the market was badly oversold and
that the danger Of holding to a short
position had vastly increased
During the preliminary buying rush
American Telephone & Telegraph ran
crossed 49, against its low of Thursday
under 10, and American Can gained
over 2 points, with almost all the rails
ranging higher. Then followed period
of realizing in which good part OF the
gain was Cancelled, but throughout the
morning the list held higher on the
day. and stocks were easier TO sell than
to buy.
The liquidation which was in evidence
today was similar to that seen in recent
sessions, In that 1t pressed down on a
few stocks much more severely than on
the entire list. Consolidated Gas was
In supply on rallies. Detroit Edison
made a new low before recovering. Pub
lie Service of New Jersey moved errati-
cally over wide range.
OneninE Ia Higher.
Prices opened up from ! TO points.
The advance was added by steady
tone in London, greater stability OF for
eign exchange opening rates and the
progress made by the Eastern trunk
rail consolidation plan.
United States Steel opened up / a
at 7234. American Can gained li2 at
1917. American Telephone was up
2i2 at 1872 Consolidated Gas rose 3
points to Co. Auburn Auto at l03 was
up 5. Eastman Kodak jumped 314 TO
up Is at 45l2 Montgomery Ward
advanced IA to ia and Woolworth
was up 212 at 49i2. Standard OH Of
New Jersey was up 5s at 29a4.
Northern Pacific gained is TO 2434,
while Chesapeake Corporation at 22s4
and Erie at IS were up fractionally.
Baltimore g. Ohio rose Ia to 3612 and
Chesapeake g. Ohio at 80 gained 13s.
Gains OF point or more were re-
corded by American Power e. Light at
ia. Electric Power IL Light at %,
International Telephone at 1872, Ma
tional Power a. Light at 1914 and
United Corporation at 1874. Radio at
1914 was up 50. Coca Cola was up
Ia at 1887.
The market extended its advance
after the opening. but trading tapered
of somewhat and prices subsequently
receded slightly from the best. The
more active leaders, after opening / 10
; points higher, added another point to
their gains before reacting slightly.
Standard Gas a. Electric reached 37l2
and then dropped to 1884 but was still
higher on the day. National Steel was
delayed in opening. then starting at 81,
up 2l2; 1t later touched 2134.
Market Firmness.
Trading in United States Steel
showed the firmness of the market. Its
best price CT the early trading was 1874
and its low 72i4. The rails Wed with
the utilities to show the best gains.
Atchison got up almost points before
reacting. Southern Pacific gained 2
points and Norfolk e. Western points,
both later shading these improvements.
Motor stocks we're generally higher.
but not so widely as was the case else
where. General Motors continued to
the first half hour trading amounted to
500 900 shares, the same as on Thurs
day. Call money renewed at la per