Evening star. [volume] (Washington, D.C.) 1854-1972, 1931-01-16
STOCKS GO HIGHER
AFTER EARLY DROP
Market Shows Firmer Tend
ency-Iron and Steel
Issues Leaders.
BY GEORGE T. HUGHES.
Special Dispatch to The star.

BY GEORGE I. HUGHES.
Special Dispatch to The Star.
NEW YORK, January 16.--After NOV
ing about listlessly during the first hour
of trading today, the stock market
shook off the effect of the recent un-
favorable corporation reports and the
Richfield OIL Co. receivership and
moved into higher price range.
The most conspicuous strength in the
first half of the session was in the group
of iron and steel stocks, led by Van
adium, which advanced 2 points after a
semi official announcement had been
made that the regular quarterly divi-
dend would be declared next Wednes-
day. This had the effect Of stimulating
other members of this group and the
entire speculative list was heartened by
a rise of a point in United States Steel.
1t was apparent that pressure had
been lifted from such stocks as West
inghouse Electric, American 81 Foreign
Power, General Electric, Allied Chemi-
cal & Dye and American Telephone &
Telegraph, against which the profess
sional element has been directing its
efforts recently. Westinghouse rallied
about Ia points by midday, Allied
Chemical & Dye rose nearly 2 points
and American Telephone over point
Trading Volume Small.
In none of these issues was the VOL
ume of trading Of sufficient size, how
ever, to indicate a change In the trend
or any fresh evidence that the public
had been attracted to stocks on a
larger scale by reason of the average
decline of approximately 10 points in
the general market since last Friday.
Sessions of such small size as those now
being witnessed emphasize the absence
of public interest and the dominance
OF the professional element In market
movements.
The oil shares, both in the listed and
the unlisted markets, were naturally
weighed down somewhat by the en-
barrassment of the Richfield Co., which
comes closely after the discouraging
statement for 1880 of the Texas Cor
poration. This group was slow to re-
spond to the better sentiment indi-
Gated around midday.
Motor Group.
Early in the session the motor stocks
showed fair amount of strength. Here
again the size of the transactions was
too small to gauge speculative feeling
toward this group. The railroad list
was irregular. Most of the issues rep
reSenting the proposed Eastern merger
were heavy at first and then gained
some ground. The surprising fact Is
that they have been able to retain so
large part of their average advance
since the end Of December. There was
general disposition to withhold fur
ther operations in railroad stocks pend
ing reports for December and the IL
months in 1880, which will begin to be
presented late next week.
There was very little outside of the
market to affect the course of prices.
The weekly reduction in brokers' loans
has become such an old story that
little attention is now being given the
figures, except ACCIDENTALLY There
was an abundance of money offered in
the outside market at / per cent. In
the international banking circles the
rather acute exchange conditions in the
Argentine and Australia are being fol-
lowed with considerable concern.
Early Market Stronger.
After slightly lower opening, the
market strengthened to show small net
advances all through the list. Trading
was in small volume and there was q
lack OF overnight news bearing on Sc
curities.
The steels were the most active group.
especially Vanadium, in which short
covering drove the price up u points.
United States Steel was u higher and
Bethlehem Steel was unchanged dur
ing the first half hour, later dropping
1s. Call money renewed at liz per
cent, unchanged. Sales during the
hrst half hour were I'll 100 shares,
against 263,300 on Thursday.
The widest gains in the industrial
list were in Case Threshing and Allied
Chemical, the former up III points
and the latter up over 2. Westing-
house, Radio-Keith-Or pheum, General
Electric and Montgomery Ward had
fractional gains. Radio was OF shade
and so was Warner Brothers. Utilities
like North American Telephone, Amer
lean Telephone and International Tele-
phone all followed the markets tend
ency to convert opening declines into
small advances. United Aircraft and
General Motors rose fractionaIly.