Evening star., 1933-11-16
STOCKS END DAY
AT HIGHEST LEVELS
Market Responds Strongly
as Dollar Continues
to Decline.
BY ROBERT I. HUGHES.

ON~~4N%- C-ShNbNA " Inc star.
NEW YORK, November 16-For the
first time since the current decline in
the dollar became acute, the stock mar
ket today responded robustly. strong
from start to finish and closing at the 1
best.
Volume increased on the rally and
the market gave every indication of
being IN the grip of imitation psychol-
ogy. All classes of stocks participated
IN the rise, although it was more pro-
nounced In the commodity issues than
IN tne general list. Not few new highs
Tor the year we're established.
The dollar had another sinking spell
IN The early trading but, measured by
the French franc, recovered all the loss
IN the afternoon. Shortly before 3
O'Clock sterling was unchanged at S5.4I
and the franc off 33L points at 6.53
cents. Earlier in the day sterling had
been 10 cents above the final of We'd
neSday. The reaction in the exchanges
came after time had been allowed to
appraise the Bank of France statement.
Commodities Strong.
Commodities we're strong with stocks
today. Wheat closed rs to 2ls cents
a bushel higher. All the other grains
were UP more or less. Speculative
demand appeared in the cotton market
late in the day, advancing quotations
some Is points. The silver and rubber
markets fuctuated rapidly but closed
higher
Changes Small at Start.
The stock market opened with minor
changes but before the first hour was
n haooV1 fn aAr A-,
was higher for all groups. The leaders
were the metals, the alcohol stocks,
various industrialS, including the
motors, and some of the merchandising
issues. None of the gains was particu-
larly large but sentiment toward the
market appeared to be more optimistic
Among the features were Patino Mines
and Socony-Vacuum. both of them
practically at the highs Of the year.
Owens-Illinois Glass Hazel Atlas Glass
and Libby were three other
strong spots. International Nickel re-
hected its favorable earning statement
and American Telephone made tardy
response to the maintenance Of the
regular dividend. Even the railroad
shares rallied more or less.
The dollar was under severe pressure
at home and abroad. Sterling on this
side opened at S5.47, up cents, q new
high, and extended the advance there
after French franc opened at 6.65
cents, up 81 points, and added 4 more
points within an hour Before noon
sterling had crossed the $3.50 mark and
Montreal funds were at Az per cent
premium. This headlong decline of the
dollar suggested temporary reaction
on technical grounds alone, but there
was little sign of it in the market.
Il D-s
The price offered by the Reconstruc
ton Finance Corporation for new gold
remained unchanged for the third sue
ceSSlve day. This was interpreted to
mean desire on the part of WASH
ington to check for the time being the
decline of the dollar, but II so it was
pence was down from 129 shillings y
pence yesterday, indicating strengthen
Ing OF sterling against the franc.
AS predicted, the weekly statement
OF the Bank of France showed another
large loss of gold. amounting to $780,
100000 francs. In round numbers this
brings the amounts withdrawn within
months time to 1900, 900 900 francs
The gold holdings now stand at 90
O18,00O,OO0 francs. which is the lowest
OF the year the preceding low having
~S~A~ SSsNSAASAASA III ARlll. O0QeT IQe
circumstances it is not Surprising that
the sterling-franc rate should move in
favor of London.
Sterling and the franc reacted in the
afternoon partially, but stocks continued
their advance. Store stocks were la
active demand under the leadership of
Woolworth and Penney. More oil shares
established new highs. Clfrysler, Cen
eral Motors and du Pont were up any-
where from l to points. Rails and
utilities Jagged but the rest of the list
gave good account of itself.
The market was helped by the uni
form strength in commodities. Wheat.
after early irregularity, turned upward
Tor gains of over cent bushel. Sfl-
yer futures were up so to so points ana
rubber up Is to 20 points. Government
bonds were weak again but today this
did not seem TO discourage operators for
the rise in the stock market.