Evening star., 1932-01-23
TRADERS AWAITING
RAIL WAGE ACTION
Wall Street Also Watches
Developments in Congress.
Weeks Trading Dull.
BY JOHN L. COOLEY,
Associated Press Financial Writer.

@hoSSNANSNA
NEW YORK, January 23-The stock
market kept one eye on Washington
and the other on Chicago this week.
Waiting patiently while the recon-
struction finance measure received its
final touches and while the railroad
men exchanged views on wages and
employment, Wall Street maintained
a rather non-committal attitude toward
shares, leaving the market largely to
professional traders.
News of the week received an inter-
national tint from the revision in rep
arations conference plans and the re-
sumption of gold shipments to Europe,
but in the main markets here were
more interested in events at home.
There was some disappointment over
the length of the Chicago negotiations,
especially on Friday, when it appeared
that further delay was inevitable, yet
speculative circles chung to the belief
that a favorable outcome was prob
able.
Trading Dull
The stock market was dull, as Is
usually the case when it Is uncertain
which way the cat will jump. Rail
shares were firm until yesterdays late
refused to be upset by heavy tendencies
in isolated issues, notably General Elec-
trio, prior to Fridays swing downward.
Indications that 1881 was a profitable
year for the tobacco companies, sup
ported by the Liggett & Myers extra
dividends and reports that American
| Tobacco also would make special
disbursement, gave those shares mid
week squirt.
United States Steel common, loaning
at large premium early In the week,
enjoyed a strong technical position and
was also aided by the fact that traders
were reluctant to sell against the opin-
ion held in some quarters that the
regular dividend would be voted next
Tuesday. The company's earnings Will
be announced at the same time. 1t Is
taken for granted that operations re-
suited in another deficit for the final
three months of 1881.
Steel production is moving very slow
ly toward seasonal expansion, for the
industryS leading customers remain in
active. Railroads have been withhold
ing orders until the wage matter Is
cleared up, automobile manufacturers
are increasing production somewhat,
but demands for structural steel are
light.
Although 1t Is understood the Federal
Reserve authorities want to see credit
deflation halted, the weeks banking fig
ures revealed still further contraction.
| 1t is assumed, however, that the ex-
pansion program will move slowly.
There has already been, bankers feel,
considerable foreign misinterpretation
of the central banks aims and the
reserve officials. it is pointed out, May
wish to allay fears of American infia-
ton.
Gold Withdrawals.
Bankers are not disposed to link
French gold Withdrawals with a change
in credit policy. France, it is known,
was told months ago that she could re-
patriate her balances without fear Of
disturbing money markets here. In
fact, some bankers have thought the
removal of those funds might prove
beneficial. There has been no sugges-
ton in Wall Street that the prospec-
tive export of s125, 100000 in gold own
ed by France had political significance.
New York City's successful sale of a
large note issue created very favor
able impression. 1t has frequently hap
pened that such spectacular piece
of financing, undertaken at more or
less critical time, has stimulated the
bond market.