Evening star., 1938-01-16
Arms Shares Assume Lead
of Rally in Selected In
duStriaI Issues.
U. S. BONDS CONTINUE
STEADY RISE OF WEEK
Small Advances and Losses. About
Even in Corporate Sections.
Some Rails Slump.
Total issues -
BY FREDERICK GARDNER,
Associated Press Financial Writer.

hSoOClALcQ TIcSS FINANCIAL "flIer.
NEW YORK, Jan 15-Revived de-
mand for armament shares touched
on a rally in tOday's brief stock
market that lifted selected industrials
! to more than 4 points at the best.
Profit realizing cut extreme gains
near the close
Squirting the upturn, brokers said,
was considerable short covering by
spectators who desired to adjourn
to neutral territory pending the de-
livery to Congress next week of Presi-
dent Roosevelt's message on national
defenses which is expected to stress
substantial Army and Navy expan-
sion.
1t was the second week in which
the list scored net gains. For the
six days the Associated Press aver
age of 60 stocks was up l.3 points.
For the two-hour proceedings the
gain was 8 Of point at 47.9.
Transfers amounted to 7378lO
shares compared with 779Ol0 last
Saturday. While the turnover was
the smallest since December Is, two
buying flurries during today's ses-
sion put the ticker tape slightly in
arrears. For the week volume was
more than 100000 shares ahead of
the preceding period.
Arms Shares Climb.
Aircrafts. steels, motors. coppers,
rubbers and specialties that stand to
benefit by sales of war materials
were in the forefront of the run-up.
Even rails did fairly we'll. Utilities.
however. were virtually at a stand
still after their Fridays recovery az
further study was given the admins.
trations new attack on holding COM
panies. Selling in this group was
light. though, owing to the presiden-
tial pat on the back given operating
companies in the power department.
The stock list had its up and downs
during the week, but important SELL
ing was notably lacking. Trading
forces, Interpreting lightness Of Of
ferings as favorable, were said to have
turned to the buying side for 1t least
. quick turn"
News OF the week marketwise was
somewhat spotty, but generally was
considered more to the good than
otherwise.
U. S. Bonds Still Gain.
United States Government issues
rounded out week Of steady advance
with new gains ranging up to 1892
of q point.
Corporate bonds showed something
like an even balance of narrow gains
and losses. Trading was light.
Despite pronounced weakness in
. few rail liens the carrier Rroup
as q whole appeared to be seeking
flrmer ground after considerable buf-
feting from liquidation in the last
two weeks.
The Associated Press utility av-
erage was down 2 of q point at s1.9.
while rail and industrial averages
were unchanged.
Sharp declines in 4 few utility
liens was viewed In trading circles
as possible response to President
Roosevelt's pronouncement against
holding companies.
Curb Market Uneven,
Oils. metals and industrial spe-
cialties gained ground in an uneven
curb market.
Utility shares We're forced back a
little by moderate selling, as traders
continued to weigh the implications
OF President Roosevelt's declaration
against holding companies in all cor
porate fields.
Aluminium Co. finished with a gain
OF 3 at "a, while Newmont improved
2 at 70. Up fractions to around Ia
were Gulf Oil at 4l34, international
Petroleum at 30, Creole Petroleum at
26%, Hecla Mining at 10A, New
Jersey Zinc at 721a and American
syanamid ''B" at 261l.