Evening Star Newspaper, June 6, 1931, Page 15

—— 3 N e < FINANCIAL, CUR ISSUES MOVE | AT LOWER LEVELS Rally After Opening Induces {* Further Profit-Taking Sales. BY JOHN A. CRONE. @pecial Dispatch to The Star. NEW YORK, June 6.—A moderate rally followed a weak opening on the Curb Exchange today, but it was erased quickly and the list started the second hour at lowered levels, with trading light. Electric Bond & Share was down al- most a point from its previous close, though only fractionally below its in- itial sale today. Citles Service also was fractionally lower, as were Standard Oil of Indiana, Niagara Hudson Power and other pivotal leaders. Commonwealth Edison featured the higher-priced public utilities by break- ing 4 points at the start to record low level. Humble Oil in the Standard group and Gulf Oil in the miscellaneous list, with declines of 2 points each, were the weakest spots in their respective divisions. Great Atlantic & Pacific Tea led the higher-priced food shares as it opened up 3 points, back and filled and then further advanced. Parker Rustproof among the specialities resumed, its wide swings. Aluminum Co. of America moved aimlessly back and forth, regls- tering fluctuations of 3 points at times between trades. In the miscellaneous machinery shares, Cooper-Bessemer hit a new low on its first sale. BONDS THE CURB MARKET. Salesin DOMESTIC BONDS. thousands. High. Low. Close. 10 Alabama Pw 4158 67 90%s 991y 99% 1Alabama Pow $5 '36 1032 103): 10312 1Alminum Co 55 '52 104% 104% 104% 3 Am Cmwih Pw 65 '40 61 ' 86z 67 27 Amer G & E 55 2028 98% 981c 98' 1Amer G & Pow 6s 84 ' 84 7Amer P & L 6s 2016 102% 102!3 102! Rad 47, 993% 9934 993 937a 937 93Te 7312 MWis T D 166 Citles 4 Cities 6Cont G & E 53 A" §Crane Co 58 '40..... 3 Crucible Stecl 55’ 2 Cudahy 5'as 137 NG 61,5 '4: P & L 55 9 82 8 8 Gulf Cil Pa 55 '37.. 101 ~ 1008, 100% 3 Gulf St ULl 55 A ’36 10012 100% 100% 10 Guilt St Util 4%us B 74 4 S Hood Rubber 5'z5 |36 i Ol 6s Elec 55 A L 55 A ' B nn P & L iss Pow & Mid Mid M M M M M Mi 2222 s AT TH & By f2°A 152 100 17T 8 Ruh Rlhg '39 . 4 171 8 Ruhber Ry '37., iTitan BUe L 4l 7 van Rwerin 65 *15 31 Vanadim & 41, 3a Bh Ser S1is A 1Va Pub Serv 83 B 8 Waldorf-Astor 7s Warren Bros fs 1 wast News Del 6y 144 3 Wes Tex Ut 5s A 57 FOREIGN BONDS. 18 Agr Mtz Bank 75 '47 733 8 Buen Alr Prov 7s 52 @ ww i "o THE EVENING STAR, WASHINGTON, D. C., NEW YORK CURB MARKET Received by Private Wire Direct to The Star Office te—All stocks hundred-share low e “"&?&'umum) (2508), lend Rate. Add 00, Open. High. uu%unl those designat y g e 2 which shows those stocks were sold in odd lota. N i PR Lol s Ane gty 4% Mid West Ut (b8%). 11 15% 16 16% 16 High. ‘Low. Dividend Rate. Add 00. Open, High. Low. Close. o 1 1% 114 11% 11% % Alr Invéstors vic K R R ). 108 84% 84% 84k 84k % Air Investors war., 1 iy 11 3% Mo-KanPipeL (A). 2 4% 4% 4% 4% 23 23 AllledIntInvpf(3). 1 28 23 23 23 5% 3% MountainProd (1)... 1 3% 3% 3% 3% 5% 4% Allled Mills (60c) 1T 8 5 5 5 91 88% NatElec Pwrpf (7). 268 87 87 87 (87 224 90 Aluminum Coof 113 110 110 3% Nat Family Stores. 1 4% 4% 4% 4 16% 11% Alum Goods (1.20) 1 1% M% 1% 11% Fu 3 18 18% 18 18% 60 17 Alum Ltd A war. 3 18 9% 38 A% 118,71 28 18 60 13% Aluminum.Ltd B ga o " 268 81% 81% 81% 81% 60 15 Aluminum,Ltd Cwar, TR W e T 3 24 2% 2 2% 60 17 Aluminum,LtdDwar, 3 14 14 14 14 5 18% 18% 18% 18% 1% % Am AustinCar...... 6 % % % % 1 20% 20% 20% 29% €% 2 Am Br B 2d ahars. 6 66 M 6L TR T M O 2% 2% 6 1% Am Capital B. . 1 1% 1% 1% 1% 1 8% 8% 8% 8% ® 5% AmCItPALBb10%. 12 7% T 6% 7 0s 63 65 63 65 17 10% AmCom P A (b10%) 5 11% 12 1% 12 1 LR e e U5 3'h American Corp(15c). 10 3% 4% 3% 44| 51 35 NewJersZinc(t3).. 1 35k 35% 36k 35% 12% 6% Am Cyanamid B. 10" TG Y% AT 3 - 1% NewMex&ArLand. 1 1% 1% 1% 1% 81% 11 Am For Pow war. 17 18% 13% 18 13 | 15% 91 Niag-Hud Pow (40c). 66 10% 10% 10} 10% 9714 48% Am Gas & Elec (11).. 8 b4% 65 53% B3%| 34 1% Niag-HudPowAw.. 3 1% 1% 1% 1% 110% 102% Am Gas & EI pf (6) 9 109 84 45 Niag-HudPowBw.. 2 b5 6 5 5 T 4% Am Invest. Inc (B) 4% 1% 5% Niag 8h Ma (40c)... 1 6% 6% 6% 67 45 26 Am Laundry Mach 2 27 | 2214 14 Niles-Bemt-Pond (1) 4 14% 14% 14 14 54% 34'4 AmLt& Trac(2%). 1 36 36 36 36 2% % NorAmAviatAwar. 5 1% 1% 1% 1 1% % Am Maracaibo, 2 A % k) %| 11% 17 Nor&SoAmCorpA. 1 6 6 6 6 28% 28% Am Paper Good 2 29% 29 28% 29 | 40 20 NorWevpf(3)..... 1 3 19% 8% Am Superpow (40¢). 121 10k 10% 9% 2% % Nor Europ Oil Corp.. 17 1 # 811 Am Superp 1at (6) 1 "2% 9;% ’;}i n;u 105 97 Nor Ind PubS pf () BO0s 1 AmYvetteCo (25c). 2 2% % % & ORIOCODDEr..c.ovva 28 Y 8% ‘Appalachian Ga: o 4% SO . $ PacG&EPf1.37%... & Pac Pub Sve A(130), 4 Pan Am Alrwa; f Pandem O11. s Aies Piywoed (D L MTE o Atlas UUICOrp.vvene ERIESERN R 8- 9008 Pennroad Corp (20¢) 8 lue Ridge Corp Fenn Pw & Lt pt (§). 28 Penn Pw & Lt pf (7). b Bras Tr & Lt (b8%). PL&PA f;_“,),_ 1 Bunk Hill & Sul (3). Perryman Electric... 10 Burma rets 127 3-5¢. Phoenix Becur Corp.. 2 Camden Fire Insur Phoenix SCpf (3)...% 2 Canada Marconi. ... Picrce GOVernor...e 2 Cent Pub SveA b10% Pllot Rad Tube A. 2 Cent Stat El (b10%). Polymet Mfg....... 1 3 Chain Store Devel... Producers Roy Corp. 3 1% Chain Stores Stock. Prudentiai Inv pf(6). 508 85/ B85' 85% 864 Citles Service (£30c) PubUtil Hold war... 2 % % % % Cities Serv pf (6). 4 PubUtlHoldCpxw 2 3% 3% 3% 3% City Mach&Toel 80e. Rainbow Lum Pr 1 % % % % Claude Neon Lts, Ino R S N W - N Clev Tractor (80c). . R 2 28 2% 2 2% Col Oil & Gas vte. ... ¢ RellanceIntCorB.., 2 % % % % Col Plet vte (f1%) Reliance Manag s 8§ 3 8 Cmwith Edison (8)... Rossia IntICp (10c). 1 3% 3% 3% 3% Caplthe fon war St Regis Paper (1)... 7 11% 11% 10% 10% o igTee Salt Creek Pro(1.40). 5 4k 4% 4% 4% mstock Tunnel. ... 4 Saxet Co, 7 8% 94 8 Consol Auto Merch Bases - 6 s Contl G&E pr of (1) Segal L& H (a50¢).. 31 6% 6% 6% 6% ConEROIA R Sl Selected Industrie s % 8 My ConvBLRTebDE (B) .. Sle Ind prior (5%) 1 45 43 43 @8 CoorerBogmen Sentry Satety Con 1 1% 1% 1% 14 Cord GoED Sheaffer Pen (13) 181 90 e o 1S el 5 Shenandoah Corp. 1 6% 5% B b s ViR Shen Corppf (a3)... 9 30% 307 30% 30% pibeinte Bk il Signature Hoslery.. 1 %4 G e Smith (A 0) (2).... 108 115% 116% 116% 116% A s 4 South Penn Ofl (1). 3 12% 12% 12% 12% Dayton Alr & Eng. LhETET Wetig Ty Deere & Co (1.20) 3 tGaB... 1 &% % 6% Y De Forest Radlo..... 3 SW Bell Tel pf (1)..100s 121% 122 121% 122 Detroit Afreraft Cp.. 17 Spanish & Gen ret: RN e Douglas Air (t11%) 2 Stand Motors. . 2 % W% % DressSRA (3%)... 2 Stand Oflof Ind (3).. 14 22% 22% 224 224 Duquesne Gas Corp.. 3 % Stand Ollof Ky 1.60.. 2 17% 17% 17% 170 Durant Motor: o g Starrett Corppf3). 1 13 13 18 13 Fast G & F Assoc 2 Stromberg-Carl(1%) 1 12 12 12 12 EastSt Pow B (1)... 2 4 Sunray Ol (b6%) 1 1% 1% 1% 1% East Util Assoe (2).. 1 Swift & Co (3) 2 26 26, 8 18 East Util Assocev..: 5§ Syracuse W 3 4 4 4 4 Etsler Electric Cor| 1 Tampa Electric (32). 1 38% 38% 38% 38% Elec Bond & Sh (b6). 219 Technicolor. Ine..... 3 6 6% 6 64 FElec Pow Assoc (1), 1 Teck Hughes (60c).. 4 6% 7 6% 7 Elec P & Lt op war N o Thatcher SecCorp... 2 2l 24 212 2% Emp Corporation 0 TransLux DLPS.. 9 6% 64 6 6 Emm;o Prgsm (A). 2 Tri-Cont Corp war. 6 3 4 3% 3 dislidend il A2 Unit Corp war. 4 51 Bu By 8 g‘f""‘ fi!" “"1:" ; Unit Founders. 23 B4 bl b B YRS deny Unit Gas Corp. . 37 6 64 % B Fajrehild Aviation ¢ war. o 3V SN SRIsE PR Flintkote Co A. . y pe (7). 4T TR A T4 Ford Mot Ltd363-6e 14 11% 11% 10% 10%| 344 17% UnitLt&PwrA (D). 1 19 19 19 1% Gen Fireproof (2)... 2 20 20 20 20 | 104% 841 UnitLik Pwrpf(§). 1 88% 88% 88% 88% GenTheatEacvpf.. 5 6% s & | 15 9 USDErY(B)....... 1 19 30 10 10 Gen Tire & Rub (3).. 10a 77 %7 11 17 8% 34 USElecPower ww.. 13 4% 4% 4% 4 GoldSeal Elecnew., . 2 % % % ‘| 390 4 USFoll(B)(0e)... 4 &% 8% 8% 5% Goldman S8achTC.. 19 b% 5% Bb% 13| 3% 1% US&InlSecur.. 1 1% 1% 1k 1% Gorham Incpf (3).. 1008 16° 16 16° 16 | 14% 6% Ut PALtatl0z%). 3 7h 7% 7h % Gt At&Pac Teanv(6)170s 189 190 185 185 Lo S . 1 B4 Bl B S Gulf Ofl of Pa (13%). 19% 14% Ut & Indpf (1%).. 1 15% 151 18' 15% i . i 70! BB OIS 67i4 Utll Equity pf (5%). B0s 70% 70% 704 70% Hydro Elec Sec 1.40., uum Oll (2), 11 33% 33N 3% 3% 2'4 Van Camp Pkg. 1 8% B4 b4 b Imp Ofl of Can (50¢c) vanCampPkgnf,.. 2 71 1 T 1 {:‘".I:‘fi ‘C-n(r;‘r;fi)vc) . % Venezuela Petrolm. $ % % % 9w nv : g 4% Walker (H) (50e) 1 4% 45 “~ % e pa i, Willlams R C (70¢) 35 989+ 44f < igT iy e R E B e Wil-Low Cafatertas. 1 34 3% 3h 3 & Wilson Jones (134).. 16% 16} 16 16% Kolster-Br (Am Sh). " Oll & Ga g ac iy W 25 14% LoneStar Gas n88e. 2 in_ dollars based on last quarteriy or semi-an- i en x dividend. 1Partly extra. IPius 4% In stock 10 T Marconi Int Mar .3 5 ‘ayable in cash or stock. b Pavabie in stock. e Adjusiment 31 25 MdCasualtyn(2%). 1 24 24 24 24 e LPlus 8% 'in stock. € Plus 6% in stock. B Fius 1% in B4 1% MavisBottilng (A).. 2 2 2% 2% 2% Mook AN 3% N Motk oPald laer rearmome renuiat rater Commodity Price Trends of Week BY H. N. McGILL. Editor McGill Commodity Service. AUBURNDALE, Mass, June 6 (#).— | yiewpoint of the trader, the stock mar- | The general index of all commodity ket has yet to prove itself, notwith- | prices showing the trend for the past|sianding the spectacular recovery in| week has taken a decided drop. Re-|(no latter part of the week. viewing the price changes in the 14 individual groups, we find that 11 de- clined, one remained the same and two recorded upturns. The only groups to show decreases were hides and leather and vegetable oils. In spite of greatly curtalled production of raw materials in most lines for some months, busi- ness activity has not been sufficient to | reduce the relatively heavy inventories. With Summer at hand when there is normally some slowing up of business, these inventories look particularly heavy. After all, ultimate consumer demand 1is the controlling factor in business activity, and unemployment, reduced wages, or perhaps only the ychological fear of these things has led to a serious curtailment in pur- chases. The effects of this curtailment are felt by the retail and wholesale outlets who naturally restrict their purchases to hand-to.mouth require- ments and thus finally reach the pro- ducer with resulting inventory accum- ulations. It seems as though this psychological effect is more than a mere notion at the present time, as the present low rate of business activ- ity cannot possibly represent the true purchasing power of this country. This is borne out by the fact that the amount of money in- savings accounts has recently been on the increase. All Commodities. Noting specific changes during the week in the average of all commodi- | ties, this division showed a substantial decline, reflecting wezkness in all groups with the exception of vegetable oils, hides and leather. In the vege. table ofl group, the increase in the price of cottonseed oil more than off- set the downward trend of coccanut, corn, linseed and Crina wood oil. In the hides and leather mr. cattle hides were the instrumental factor. ‘The index of chemical prices remained the same. Industrial Prices. Industrial- prices have declined unin- terruptedly since March 27, reflec’ ng the low rate of activity and increasi stocks. " e Agricultural Prices. Agricultural from the drastic price recession, and the decline was quite general in all items. Sugar and cotton were the onl exceptions 1n this {roun Live sf was one of the we: t of the groups, with cattle, hogs, sheep and lambs all showing declines. Building Materials. ‘Weakness, due mainly to slight price recession-in structural steel, was shown by building material Fuels. ‘The largest decline of any group was shown by fuels, due to the price decline in erude oll. Texas showed the largest dally average outpus ever aficu were not immune | Li TRADERS ARE AWAITING PROOI;' OF STOCK MARKET'S CONDITION Special Dispatch to The Star. NEW YORK, June 6.—From the On the one hand are those who in- sist that there has been no improve- ment in business commensurate with the rebound in stocks. The only basis for recovery, they say, was the oversold | position which had been developing Ifll’i weeks and finally became untenable. | The rally could go much further and yet prove nothing, so far as the change in the main trend is concerned. Fur- ther reaction 1s probable, they add, ci ing today's lower opening, because t forced short-covering of Wednesday | and Thursday has deprived the market | of support from that source. Watch Market Action. Against this view, it is urged, in the first place, that the market had over- | discounted the trade depression, pro- nounced as that was. It is also asserted | that business has been held back by the spectacle of continuously declining prices for stocks and that once this influence is removed there will bz a| revival in trade, which is long over- due. If the technical position be im- paired by short-covering, it has also been strengthened by the closing out of stale margin accounts left over from the bull market of two years ago. Neither side is satisfied with its own arguments and will not be until the market confirms one view or the other. Therefore its action will be closely | watched next week. The optimists still stress their belief that the wholesale liquidation which enabled the shorts to cover at a profit so many times has been completed. It was the supply of stocks from real holders that weighed down upon the market even more than short selling. With that factor elimi- nated, the chances of further advance are improved. One significant feature was the way in which ol and copper stocks, repre- sentative of the two industries in the direst straits, shared in this week's rally. There has been no change for the better in either of these two lnes. Instead, copper sold this week at the lowest price in history and there was a monotonous succession of cuts in ofl quotations, and yet stocks of the lead- ing producers both of copper and of | oll had apparently discounted the worst. Public Interest Small. Public _participation is still small, but, such as it is, the buying side is favored. At least one well known professional long prominent for his bearisn activities his been converted and is said to have taken a long position in a list of selected stocks. He has not carried his late associates with him and the issue between the two parties is fairly joined. The out- siders are on the fence, awaiting the outcome. Regardless of business conditions,- it is interesting to note that the total of brokers’ loans is back almost exactly to_the point where it was when the “Coolidge bull market” started seven years ago. 4 (Copyright. 1931.) recorded by any State, due to flush pro- | duction in East Texas. Non-Ferrous Metals. Antimony, copper, silver, tin and zinc continued their weak tendency, and quickselver, after holding firm for sev- eral weeks, has again declined. Textiles. Fine textiles showed a slight decline, due to weakness in print cloths, sheet- ings, yarns, silk wool, which were partly offset by the firmer price of cot- ton. Burlaps and sisal were the items showing weakness in the coarse textiles group. Important Price Changes. All commoditie: Asriculture . ndustrial ve Non-ferrous ' metals. Textiles, coarse. Baltimore Port Arrivals. BALTIMORE, June 6 (Special).— The maritime exchange reucrts arrivals at Balt'more during May of 219 stam- ers and one suxiliary 19 less than arrived in than in May, 1930. ‘The United States led with 160, fol- Icwed by Norway, Greit Britain, Ger- many, Sweden, Honduras, Denmark, Japan, Holland, Danzig, Greece and in the order nam in 1931 186 ed. first five months - position ship. was April and 48 less | Na EXCHANGE QUESTIONNAIRE IS RECALLED BY BOARD By the Associated Press. NEW YORK June 5—The New York Stock Exchange has recalled its questionnaire of May 25, which sought information concerning the short posi- tions of its members, and has substi- tuted modifid request for stmilar in formation. The former- questionnaire required the names of customers of exchange members who had short positions. The new request requires merely the short in each stock without the names of the customers for whom the short sales were made. It applies to the short positions as of the J ness June 4 and daily thereafter. NEW YORK BANK STOCKS NEW YORK, June 6 (#).—Over-the- counter market: IFURNITURE TRADE Industry Has Weeded Out Surplus Stocks and Sees Increased Sales. = & BY ALVIN RESCH. ‘Written for the Associated Press. CHICAGO, June 6.—The Nation's billion-dollar furniture industry, “hav- ing “cleaned house” in the last 18 {months, 1s ready to start the Fall and Winter season with a clean slate of new stock. This week nearly 2,500 buyers have come to Chicago for the Summer mar- |ket at the American Furniture Mart, where 700 manufacturers exhbit their wares. With stocks generally extremely low, it appeared that the retailers came primarily for one purpose-—to buy. ‘That attendance in itself was eon- sidered a favorable sign and V. L. Al- whrd, president of the Mart, which is % | the world's largest furniture market, had this to say on the opening day: “Business i much better than the sentiment regarding it.” The demand for furniture, he con- tinued, “has been dammed up pretty nearly as long as it can be.” Surplus Cleared Out. While the industry’s housecleaning in the last year and a half has been ac- complished at a huge loss, it has re- sulted in dispcsal of much “distress” merchandise—returned because install- ment buyers couldn't pay for it. Now, however, most retallers have cleared their stores of surplus stocks, making it necessary for them to start almost_from scratch in preparing for the Fall season. Since the stock market crash of 1929 the furniture industry, which is fre: quently called a barometer of general business conditions, has experienced relatively fewer failures among retailers than among manufacturers. Furniture now ere from 20 to 25 per cent lower than a year and fully 60 per cent under peak prices of 1029, Recently, however, there has been evidence in some quarters of a stiffen- ing in prices, manufacturers having re- fused to make further reductions. Wasteful Practices Dropped. “A larger number of factories have ;| taken stock of their methods during the last six months,” said William . wilson, vice president of the Mart. “They have found wasteful practices that could be corrected, antiquated sys- tems to be brought up to date, old ideas to be scrapped. “They've cleaned house and as s re- sult are now ‘n better shape than ever %o handle their business at a profit for themselves and with better service for their customers.” New York Cotton Special Dispatch to The Star. NEW YORK, June 6.—Under the in- fluenoe of weaker outside markets and highly favorable weather, cotton prices broke a quarter of a cent today and closed at the bottom, 24 to 26 points lower than Priday. July sold at 8.30, or within 3 points of the previous low record made earlier in the week. The market was under heavy selling pressure from the start. Spots were reduced 25 points to 8.35. Cotton range: . High. Low. Close. %6 M4 830 8si @ an aE 12 915 900 30 938 918 1 951 W Grain Market | By the Associated Fress. CHICAGO, June 6.—Grain prices quickly turned downward today after an irregualr start. Weakness of secur- ities had a bearish influence and Ca- nadian drought advices were less bull- ish than many traders had expected. it being asserted that should general rains come within the next few days consid- erable lost ground could be recovered s cent off to 3 ged all around. Corn s unchanged to 12 cent higher and subsequently underwent a general decline. BALTIMORE TAX RETURNS DECLARED SATISFACTORY Special Dispatch to The Star. BALTIMORE, June 6—Despite de- pression, the collection of taxes by the city has not been appreciably affected, according to John T. Donohue, city collector. . In a report to Mayor Jackson he said the Bureau of Receipts collected $15,249,316.53 during the first five months. of 1931. It was & general net decrease of $607,720.55, compared with collections for the first five months of 1930, but the records disclose the collections of current taxes were in excess of those for 1930 by 2.03 per cent. The funds collected so far this year include water ren's amounting to $1,360,139.07, arrearages amounting to $714,325.99 and States taxes aggregat- ing $1,256,886.37. Neal Grant, deputy manager of the Bureau of Receipts, said: “Under an agreement with the Real Estate Board the bureau has thus far not made any effort to force the collec- tion arrearages, because of the depres- sion, unemployment and vacant houses.” “We are now preparing to start a drive for arrearages.” He d approximately 15,000 prop- erties wére in arrears for flat-rate water rents and that notices warning the owners of a plan to begin shutting off water unless the bills are paid by July 1 were being sent out. MUTUAL LIFE ELECTS THREE NEW TRUSTEES Special Dispatch to The Sta: NEW YORK, June 6.—Three new trustees have been elect members of the board of the Mutual Life Insurance Co. of New York, to fill vacancies, John King Ottley, president, First jonal Bnni of Atlanta, Ga.; Charles Proc- tor Cooper, vice president, American Telephone & Telegraph Co., and 8. Sloan Colt, vice president, Bankors' Trust Co. of New York. Mr. Ottley, an alumnus of Southwest- University_of mnNIu- Cooper after _gradual Ohio ‘State University with the degrees Mecities ne sfMilated mpenics of the 8 0! les of Estem prulp‘;lmz of the class_of 1914, was a vice pi the Farmers Loan & Trust Co., 1923- 1920, subsequently se: as_a vice I lak:lt of the gnuonnl ity Bank of B s | being brought about through the ldlp-‘ t] operations, and it is being found that SATURDAY, JUNE 6, 1931.° [SUDDEN SHIFT IN WALL STREET SENTIMENT PUT MARKET = o= PROSPECTS BETTER 2oy chotogsc FINANCI al Factor Played Important Part in Sudden Rally Which Followed Long Decline BY CHARLES F. SPEARE. Bpecial Dispatch to The Star. NEW YORK, June 6—If it should develop that last Tuesday was the low point in the bear market for securities, it cculd be said, when the history of this depression is written, that the turn was brought about through the play on the market of psychological forces. At the climax of the break in Novem- ber, 1929, the sudden change that brought order cut of market chaos was induced by the Rockefsller bid of 50 for 1,000,000 shares of Standard Oil of New Jersey stock, by the action of the New York Stock Exchange against the short interest through its questionnaire and by the supporting orders placed by the banking pool. Last December the decline of three and one-half months terminated when it became known that the banking situation in New York was sound and not been affected by the failure cf the Bank of United States. Mood Changed Suddenly. Last Tuesday there was no concen- trated buying of stocks by any one in- terest, there was no banking situation that was disturbing the minds of in- vestors and the effect of the question- naire cf the previous week by the New York Stock Exchange Committee on Business Conduct had adout worn off. | It was the mood of Wall Street that | cihanged suddenly. This mood went from cne reflecting the decpest pessimism and the greatest fright to that of a rather sudden awakening to the fact that the highest grade sccurities were being quoted at prices that had dis- counted about everything except the complete bankruptcy of the country. It is only necessary to compare a few of prices that prevailed early in the week with those of November, 1929, and December, 1930, to realize the ex- tent to which deflation and deprecia- tion of securities have been carried since the day when investors all over this country and in many other parts of the world thought American securi- ties, at their November 13, 1929, level were the greatest bargains ever offered to_the man with money. For this purpose let us take six of the best known and most widely distributed stocks quoted on the “big board,” name- 1y, United States Steel common, Amer- ican Telephone & Telegraph, Standard Oll of New Jersey, Now York Central, Anaconda and General Motors common. Two of these stocks, New York Central and Aneconda, have reduced their divi- | dends during the period under review, which justifies a considerable amount | in Securities. of the change in their prices. The other four are [lvladmn the same rate as they in 1929, slthough the permanency of the current rates in some cases is under suspicion. Comparative Figures. In the November break in 1929 the decline in United States Steel stopped at 150. In that of December, 1930, the low point was 135. turned last Tuesday it found steel sell- ing around 83, or over 40 r cent lower than the minimum when the first_“bottom” of the bear market was reached. American Telephone & Tele- graph touched 193 in November, 1929, after selling as high as 310! earlier in the year. In the second phase of the bear market it dropped to 170% and was down to 156’2 when the recent rally began. Standard Oil of New Jer- sey broke to 48 in 1929, to 43!, in 1930, but was around 30 the early part of this week, General Motors has changed less than the other members of this group. It has kept closer to its 1929 minimum of 33%;. In 1930 it dropped to 31%; and has only been a fraction below it this week. TH& dividends on ?;lz;)( these stocks are the same as in Now take the stocks whose dividends have been reduced, New York Central from 8 to 6 per cent.and Anaconda from $7 to $1.50 a share. ‘Worst Discounted. In 1929 New Ycrk Central broke to 160, afier touching 2561, that year. In December, 1930, it dropped to about 105 and in the following February had gone above 132. The latest rally in it was. from a minimum of 713, or a price 55 per cent lower than the bottom figure of 1929. Anaconda fell to 673 in 1929 from about 175 and to 25 last year, and this week it has been around $19 a share. These illustrations might be extended to cover the stocks of many other in- dustrial, public utility and railroad companies; also those of prominent New York banks, whose shares this week went much below the bottom level of last December. They are suf- ficient, however, to indicate that the latest phase cf the liquidation has car- ried securities into a price area so much below those of 1929 and 1930 that they have discounted about the worst that could happen in domestic conditions. The episode cf this week shows the effect on prices of a change in a stats of mind. This frequently does more to bolster up markets than a change in the stale of trade. (Copyrizht. 1931.) MACHINES INCREASE | COAL MINE OUTPUT Difference ‘Between New and 01 Methods Pointed Out by Glenn | Southward. ' Basic differences between hand and | mechanized mining are pointed out by | Glenn B. Southward, mechanization engineer of the American Mining Con- gress. Writing in the Mining Congress Journal, Mr. Southward, who has made | a special study of the mine mechani-| zation trend during the past few years, | sa ‘Modernization of coal mining is tion of machines to all the underl'round‘ men can be employed more profitably to themselves and to the company in operating machines than in performing hand labor. This is true as a general | proposition, but whetner or not it is| true when applied to an individual mine depends altogether on the amount ol' work done. If the actual pericrmance does not closely approach the capacity of the machine, tte operation will very likely be uneconomical; at least there will be a production loss and an in-| creased operating cost which should not occur. It is hardly to be expected | that any machine can ever be operated continuously at its full capacity, but in| order to develop the greatest possibility | of mechanization it must first be de- termined how closely the potential ca- | pacities of the machines can be ap-| proached. A machine operation neces- sitates changes from hand-lcading | practices in every department under-| ground. New mining methods require new methods of organizing the labor employed and the production or per- formance standards for measuring labor | efficiency with hand loading are not applicable to a machine operation. | “There_are several basic differences between hand and mechanized mining. A hand-loading mine is composed of a large number of small producing units, | while a machine operation consists of | a small number of large producing units. The production of a hand loader | varies between different men in the| same mine and between the same men on different days, while & machine is' capable of giving a regular and con-| tinuous performance. With hand tools the men are selected by their ability to| stand up under hard work, and the| main effort of management is to keep | the men busy. With power tools the | effort of management must be directed | toward selecting the proper machines | for the work and keeping them em- E.lloyed productively, not merely keep- g the men busy. For example, a man using a breast auger is busy as far as muscular effort is concerned. So| is & dog scratching fleas, but neithe one accomplishes very much. any | mine the final measurement of effici- ency is the number of tons produced | per man employed or, expressed re-| versely, the number of man hours re- quired to produce a ton.” Printed forms of agreement between | those partnering in purchasing shares | in sweep tickets are in demand in the | Irish Free State, where stores sell them at 25 cents each, or $1.25 a dozen. 50 Industrials. STOCK AND BOND AVERAGES By the Associated Press. SATURDAY, JUNE 6. STOCKS. Butter—One-pound prints, 29; tub, 28. Eggs—Hennery, 19a21; current re- celpts, 17a18. Poultry, allve—Turkeys, 20; Spring breilers, colored, 35a37; Leghorn broil- s, 23a28; hens, colored, 23a24; Leg- horns, 17; roosters, 12al4; ducks, 15; keats, young, 70a80; old, 40. Dressed— Spring broilers, colored, 38a42: Leg- horns, 25237; hens, 24a26; Leghorns, 18; roosters, 16; keats, young, 70a80; old, 40. Meats—Beef, 12a13)2; Ve 12a14; lamb, Western, 17; Spring, 20; pork loins, 18; fresh hams, 17}2: fresh shoul- ders, 12; smoked hams, 18':; smoked shoulders, 12; strip bacon, 21; lard, in bulk, 10; packages, 11. Live Stock—Hogs, heavy, 5.5026.00; medium and light, 6.25a6.50; pigs, 6.008 6.50; loughs, 3.00a4.50; calves, 4.00a8.00; Spring lambs, 6.50a9.50. Fruits—Strawberries, 4.00a8.00; black- berries, 5.0026.50; oranges, 4.00; lemons, 450a5.50; limes, per 100, 3.00; grape- fruit, 3.00a3.50; honeydews, 3.00: apples, box ' stock, 2.50a2 apricots, 2.00; plums, 2.00° pineapples, 2.75a3.00; canta- loupes, jumbos, 3.75; standards, 3.00: nys, 2.50; flats, 1.25a1.50; rhubarb, per 100 bunches, 3.00. Vegetables—Potatoes, new, per barrel. 3.00a3.50; old, 120-pound sacks, 2.00a 2.25; sweets, per bushel, 1.75; string beans, 1.25; peas, 1.25; tomatoes, 6-pan crates, 2.0023.00; lugs, 90a1.25; kale, 358 40; spinach, 35a40; eggplant, 4.50; cu- cumbers, per bushel, 2.00a2.50: squash, 5022.00; beets, per 100 bunches, 4.00; carrots, per 100 bunches, 4.00; lima beans, 3.50a5.00; Spring onions, per 100 bunches, 2.00; radighes, per 100 bunches, 2.00; asparagus, :.00a3.00; mushrooms, 50a1.00; Bermuda onions, 50-pound sacks, 1.75; corn, 2.50. FIRESTONE TIRE & RUBBER. AKRON, Ohio, June 6 (/) —Firesione Tire & Ruboer Co. for th> six months ended April 3¢ _had net profit which amountd _to $1,367,519 more than that for the fiscal year ended October 31 last. An announcement by Harvey S. Firs stone, president, after the board mest-| ing today, said net profit for the com- pany and all subsidiaries, including Firestons Service Stores, for th: six month ended April 30, was $2,908,553. This compares with $1.541,034 reported for the fiscal year ended October 31, 1930. “The profit for the first six months of the current fiscal year,” Mr. Fire- stone said, “provides for the regular dividends on the 6 per cent cumulative preferred stock, and also gives 56 cents a share, or more than the dividend re- quirements for the six months on all the outstanding common stock.” Mr. Fireston: added that with raw materials, finished product and com- mitments inventories at market prices at th> beginning of the fiscal year, “and with subsequent purchases made at fa- vorable prices, no further inventory justments were considered nec<ssary. Dumpling. a Shorthorn cow owned by John Day of Shepton Mallet, England, has made:a new English record for milk production by giving 30,009 pounds of milk in 354 days, her total production of the fluid in less than a year being equal to 20 times her weight. AL ¥ A_18 up|STRENGTH IN GRAIN MARKET 1S NOTED Withdrawal of Farm Board Support Followed by Big Consumer Demand. BY OWEN L. SCOTT. Bpecial Dispatch to The Star. CHICAGO, June 6.—After resting heavily for months on the Federal Ferm Board’s $500,000,000 revolving fund, the wheat market, finally turned loose to stand on its own feet, is showing sub- stantial independent strength. ‘The sudden, unannounced withdrawal of Farm Board agencies from the cash grain markets on Wednesday caught the trade by surprise and resulted in a brief collapse of future contract prices to the lowest since 1896, but the mar- ket quickly .recovered its equilibrium. Since then a real demand has been dis- ;lou? from eax;m‘:\.mg sources, with remiums continu to prevail for quality grain. Surplus Problem. Just what the future holds in this most carefully watched market depends, according to trade leaders, on two fac- tors. One is the drought in the Cana- dian West, which government agencies there describe as “critical.” The other is the vast Farm Board holdings of over 200,000,000 bushels of last year's wheat. Until this grain is dispcsed of, or & definite policy for its dispcsal an- nounced, “the grain_trade will remain intimidated by it. The wheat was pur- chased at a price nrearly $100,000,000 above present values and it is costing the Government nearly £4,000,000 every month to hold. This led to rumors, now denied, that the Farm Board was being Ppinched for ready funds and was forced to withdraw from wheat bu in cash markets. s o The situation in Canada might sup- ply an answer to the Government's sur- plus problem. In that country be- tween 9,000,000 and 12,000,000 of the 22,000,000 acres planted to wheat, are involved in the drought area. A dry Winter has been followed by a dry and windy Spring, raising grave doubts about the prospect for even a moderately good crop. Fallure of the Canadian crop would open up larger markets for the American surplus. Another consideration confronting the wheat market in the immediat= future, is that growing from the marketing of the new Winter wheat crop. A near bumper yield of about 650,000,000 bush- €ls is in sight. Part of this wheat already is on the way to market with a heavy run expected before th end of this month. New marketing normally | results in hedging sales in the Chicago market to protect buyers. These sales must be absorbed by a trade much diminished by the hectic developments of the past year. This causes some worry about the stability of present pnm Ameri erican and Canadian price levels in the futures market are gmre than 10 cents above the world level at the present time. The Canadian gov- ernment is subsidizing exports at the present time by paying 5 cents of ths freight charge on every bushel of wheat shipped abroad. This further ccmpli- cates the problem for the American ex P “the Sonith n the Southwest new wheat is to be selling at zround 50 “m:alg bushel, compared with about 60 cents paid a year ago. If the Farm Board adheres to its announced intention to stay out of this year's market prices will depend on a more free working of supply and demand, with the outlook mlfld‘: unc;‘mli‘n for a time by the Ca- nadian outlook 2nd by the Farm Board holdings of old grain. i (Copyright, 1931.) Buying for Profit BY GEORGE T. HUGHES. _If it is unsafe to buy securities offer- ing a high yield, the question arises, “What is a high yleld?” The answer depends on the current charge for money. A yield which would be con- cededly dangerously high today might have been perfectly conservative 10 years ago, when the leads railroads of the country were paying 7 per cent on secured obligations. As good a measure as we have is the market price of United States Govern- ment bonds and notes. There was & brief period just after the war when Government securities gave 5 per cent and over. It is quite different now, when only a little over 3 per cent is to be had on the longer maturities and much less than that on those of short term. Or, take the case of the highest grade of railroad mortgages—Atchison general 4s, selling today above par, sold at a discount of 12 points only six vears ago. A stock or bond that yields 6 per cent now carries a higher meas- ure of risk than the same return would have indicated then. Because of changed conditions in the fleld of transportation, however, rail- road issues are not as exact measures of yield conditions as are the best of public utility bonds. Taking the last- named group as a class, the extent of the risk—and there is risk in all in- vestments—varies directly with the spread between the yield the prime utility bonds give and that on the se- curity in question. Of course. even this rule cannot be applied without dis- crimination. It holds true most uni- formly with securities which are widely known and which have an active mar- ket. Sometimes a local investment will give a higher return than the average in its grade, because investors generally are not acquainted with its merits. Such holdings have the disadvantage of not being easily disposed of, but they do often increase income without de- tracting from the safety factor. It only remains to say that as ma ters stand today, when more than § per cent is to be had on a mortgage bond the reason should be examined before the commitment is made, and when more than 512 per cent is offered on a debenture issue, there should be a similar investigation. (Copyright, 1931.) By the Associated Press. 2 per een! NEW YORK, June that the inclusion of & ne Cuban government tax in the quota- tions of exporters will give an entirely wrong picture of American prices, New York exporters have appealed to the Merchants’ Association to against the plan. collectable by consuls at the port of shipment, and commercial bodies in Cuba have urged upon their members the advisability of compelling to include the assessment in ¢. i f. quotations. illegal and unfair in the industry are in of the Hat mugu for the com= an A o s L4