Evening star., 1932-01-25
STOCKS.
PUBLIC UTILITY
NATIONAL BANK.
Brokers' Comment
PUBLIC UTILITY.

NEW YORK, January 25.-A further
decline in stocks was believed likely in
most brokerage house circles today, al
though it was thought the market
would be rather dull.
E. F. Hutton e. Cove expect the
market to give an indecisive exhibition
characterized by dullnesS until the
United States Steel dividend meeting is
out Of the way.
Paine Webber g. Co.-Haying now
reacted more than one-half the advance
scored on last rally industrial stocks are
in weak position, and a further decline
is Indicated thus providing a test OF
previous bear market lows. Rails Will
probably stop above old lows, at least
/ while bottom for industrials and utili-
! ties is being tested.
Lamborn- -Hutchings & Co.-The most
/ important development concerning any
one stock over the very near term prom
ises to hold forth in the Steel Corpora
/ ton dividend action on Tuesday. IL
seems probable that whatever action is
! decided on will be the result Of dellber-
! ate policy on the best course, all mat
! ters considered. rather than just d1vl-
dend to be based solely on the earnings
picture Those who have followed the
action of the Steel directors over a
period of years and whose Judgment,
| therefore, is usually weighed carefully
are foreCasting either a reduction or
payment of the regular dividend, elimi-
mating quite positively the possibility OF
a complete omission OF payments
Hornblower & Weeks-With the mar
ket having definitely Cancelled over 50
per cent of the ground gained since the
/ recovery movement got under way jan
uary 5, we doubt that rallying tenden-
cies at this time will exceed technlcai
proportions.
Redmond & Cove have not
changed our view that many issues, par
ticularly in the industrial and public
utility groups, are headed for new low
ground. We would therefore be eau
tious about following any sharp rallies
from this level.
Shields g. Co-The market continues
a day-to- day trading affair, but rallies
have lost their attraction. The tech
nical position is being strengthened by
the character of selling, but this can
not have much influence for While, SO
that it will be dangerous to try Tor
spasmodic recoveries that are to be ex-
pected.
Jackson Bros, Boesel g. Cove can
not escape the conviction that passage
of the bill enabling the Reconstruction
Finance Corporation to begin opera
tions at an early date is an influence
which will act as stabilizing factor on
security and commodity prices and VIII
be accompanied by gradual restoration
Of confidence in the ability OF the
country to emerge successfully from
the depression. That this opinion Is
shared by leading bankers and business
interests, irrespective of European de-
gelopments, is no secret and we ad-
kere to the view that while the market
will be subjected to intermittent sell
ing waves, the logical plan of action for
BOTH securities and commodities is 10
regard periods of weakness as favorable
buying points.
Thomson e. McKinnon-The market
has reason to expect fresh incentives
for restored confidence and incidentally
: perhaps a resumption of an upward
trend.
Frazier, Jelke 81 Co.-The best clue
to the trend in stocks probably will be
. continued to be provided by the bond
market.