Evening star., 1940-10-04
New Market Advances
Improve Sentiment
On Wall Street
Increasing Confidence
In English Strength
Helps Prices
BY PAUL d. GESNER.


NEW YORK, Oct. New ad-
vances in the stock market this
week, lifting values to the highest
levels since last May, have gen.
Grated a better feeling in Wall
street.
The German high commands
message to the German people i'm
plying they should prepare for an
other winter of war, plus growing
belief an invasion of England will
not be attempted this year, have
improved speculative sentiment.
Many traders had been on the
gloomy side up to recently, point
ing out that a sudden end of the
war abroad through collapse of
England might mean sudden ter
mination of British war orders
here. They felt some industrial
slump would be in store if British
demand for our airplaneS, steels
and other war goods suddenly
ceased
Despite the destructive effect of
continued bombings on both Lon
don and Berlin, and probability of
increased war activity in the At
rican theater to offset possible
abandonment of German invasion
of England at this time, the feeling
is general in the street now that the
war this winter will in no ways
hamper the flow of British orders
for goods here
Big Orders Assured.
In other words, American indus
try is fairly sure of continued heavy
British contracts plus those STEM
ming from our own $4,000, 900 900
defense program and normal do
mestic peace time needs
Overhanging the market, of
course, is the threat of continued
selling by foreign sources of hold
ings of United States corporate
securities. The Swiss, for example.
have been reported converting
American stocks into cash to bolster
their balances. And, it should be
remembered, the Bank of England
holds title to huge block of Amer
lean industrial shares taken over
from private British holders at the
outset of the conflict.
While foreign selling may be eX-
pected to depress the market from
time to time whenever strength
appears. the general brokrage opin-
ion leans to the belief there will be
no broadside dumping of foreign
securities unless some new European
crisis develops They point out the
experts in charge of the Bank of
England's liquidation of American
shares are anxious to get a good
price for offerings, and that British
balances in this country are sub
stantial, minimizing the possibility
Of sudden necessitous selling. No
sudden wave of dumping, therefore
is anticipated from foreign sources
at the moment.
Stores Enlarge Stocks.
Retail stores here are stocking
shelves to handle Christmas trade
Of around 10 to Is per cent above
. year ago, early reports indicate.
With brisk industrial activity boil
stering pay to workers in industrial
areas and cash farm income exceed
ing q year ago, the chances are good
that Christmas buying may show
sharp improvement in most all parts
of the Nation. Commerce Depart
ment estimates indicate income pay
ments to individuals this year may
approach the 100000 900 figure
for 1890, topping all the intervening
years.
As a result of the better income
outlook wider holiday sales are ex-
pected in furs, jewelry, furniture,
rugs, radios, monographs, phon0-
graph records, cameras, automobiles.
electrical appliances. general apparel,
books, toys and games,
Some wholesalers are advising re-
tail stores and resident buyers to
order staple merchandise adequate
for selling needs as far ahead as
February, or at least 120 days ahead,
merchandising circles say. This
contrasts with previous recommen-
dations that goods be ordered 80
days ahead. Due to heavy orders,
some delivery delays already are be-
ing anticipated, and some merchan-
disc ordered for December delivery
may not be shipped until January.
Delays are expected chiefly on staple
cotton goods, such as towels and
sheets. Makers in these lines are
busy filling large Army and Navy
orders. as we'll as the usual general