Evening star., 1932-01-07
ADVANCE IN STOCK
MARKET RESUMES
Rally Carried Further, With
Rail Issues Leading-Trad-
ing Volume Small.
BY GEORGE T. HUGHES.

NEW YORK. January THE rally
in the stock market carried further to-
day. Trading was quiet, but the trend
was distinctly upward.
1t was the rails that assumed leader
ship on today's advance. For this there
was no new reason. Much Is hoped for
from the Reconstruction Finance Cor
poratlon and confidence in a satisfac~
tory adjustment of wages is growing,
but all of these matters might have
Been as effective Wednesday as today.
Nevertheless speculation shifted to the
rails.
Gains Are General.
Gains were recorded by both the low
priced and the dividend-paying issues.
AtchiSon at 81 was up more than
points from the low the day the divl-
dend was cut. New York Central rose
above 80 on steady demand and ad-
vanceS were scored by Baltimore q
Ohio Missouri Pacific preferred, New
Haven, Union Pacific and Norfolk q
Western.
Active industrials sold at the best Of
the current rally. The buying in U. S.
Steel attracted more attention than
anything else. because, whatever may
be said to the contrary, strength IN
steel is still taken as an indication OF
the attitude of banking interests toward
the market American Telephone
crossed lis, up over 7 points from ltS
recent low. There never was any reason
to question the safety Of the DIVIDEND
on telephone. 1t was stated today that
the buying on the decline earlier IN the
week had been of the informed sort.
General Motors was fractionaly hlgher
above % and at new hlgh on tne
move. Auburn behaved more sedately
than is its wont, but it, TOO, gained.
Accumulation seemed to be IN prog
ress in Montgomery Ward, which was
one of the most active loW-priced issues.
The perennial rumor about merger
with Sears, Roebuck was denied Wed
nesday but that did not seem to dis
courage sponsors for the stock. west
ern Union rallied against the short IN
terest.
AS the session went on, the short in
terest showed increasing concern. Inc
larger shorts were not convinced by the
sudden reversal on the day before. on
the contrary, some Of them put out
more lines on the recovery. AS prices
advanced today however, and offerings
decreased covering appeared, Whlcn
of course, helped along the rise. Buy
ing spread to many stocks neglected OF
late, including International Harvester
and .Iohns-Manville. Some of the Or
ders in the general list were said to be
coming from abroad, which gave color
to the report that favorable develop
ments were pending in the reparatlonS
situation.
Opening Prices Higher.
The market opened higher. The tone
of the London market was firmer and
sterling here opened up cents al
3.391a
block of 10000 shares of Reynolds
Tobacco B at 34l2, unchanged, was the
largest single transaction in the first
few minutes of trading. Consolidated
Gas in a lot of $500 shares opened at
6l$s. up "a. General Motors in 1900
share trade gained small fraction at
2l7a. Dupont on 1900 shares opened
at 5214, up "a.
United states Steel on 1000 shares
appeared at 395s, up Is, and quickly
reached 40 American Can at SO was
unchanged Allied Chemical at 68$s
lost "a. Westinghouse Electric at PAS
responded further to the dividend
declaration of the previous day.
General Electric at 241s gained
fraction. American International Cor
poration. which plans to acquire Reli-
ance International sold on l,l00-
share block at 5l2. up "a.
American Telephone at 11434 declined
a shade, but with the exception of
Standard Gas & Electric at 285s, all the
other utilities we're slightly higher.
Standard Oil of New Jersey at 275s and
Texas Corporation at 1912 registered
gains A block of 5000 shares of Trans
america Corporation appeared at 27s,
unchanged. Sears Roebuck at 321s was
off a. F. w WoolWorth at 3912
dropped 3s Atchison at 8114, Balti-
more g. Ohio at 1914, New York Central
at 29&s, Southern Pacific at 28B and
Northern Pacific at 1872 were among
the rails that showed early advances.