Evening Star Newspaper, June 27, 1931, Page 14

A—14 * 100 RAPID ADVANCE| IN STOCKS FEARED Becent Gains May Tempt + Many Traders to Over- speculate. Bpectal Dispatch to The Sta: "NEW YORK, June 27.—How much the American public—at least that part of it that buys stocks or bonds for ifivestment or otherwise—has learned from bitter experiences since the his- toric crash of 1929 remains to be seen. To the more conservative Wall Street observers recent scenes on the Stock Exchange were a little too reminiscent of the days before the break to seem healthy. More than 5,000,000 shares changed hands Wednesday. Only once before this year has there been a day when trading reached that total, and that was in the February rise. A new and vigorous boom seems to be in progress, stimulated, of course, by President Hoover's plan for debt postponement. All comodities have advanced. Postponement of war debts will be a great relief to the entire world and give disjointed trade a chance to recover. But a runaway stock market will not help matters. Bear Raids. While the spectacle cf rising prices always is cheering, a too rapid rise will tempt the bear traders to try again their raiding tactics, the market will go through new convulsions instead of advancing in an orderly manner, and new uncertainties will be created. Let it not be supposed for one min- ute that in the matter of stock market manipulation the bulls are any better than the bears. It is overdone bull manipulation that sets the stage for successful bear raids. A man who bids 50 for a stock when he knows he can buy it for 49 is just as blameworthy as the man who sells the stock for 49 ‘when he could se} it at 50. Rumor Factory Busy. There h:ve been several develop- ments of a favorable nature, but not as many as rumored. The bulls have apparently been working their rumor factory overtime, doing the very thing they blamed the bears for. Rumors aré misleading, be they favorable or unfavorable. A man who loses money on a stock he bought on a false “good news” rumor is just as badly off as a man who was scared into selling at a loss by a fearsome one. Just how sensitive traders in stocks have been was shown by the reaction to an_erroneous statement printed on one of the financial news tickers con- cerning the dividend of the Westing- house Electric & Manufacturing Co. The regular dividend of this com- pany is $4 a year. After the directors’ meeting one ticker erroneously flashed “Westinghousg $3 basis.” Traders jumped to the conclusion that the dividend had been reduced $1 a year. Before the ticker could /correct its error and flash that $1 a quarter had been declared, Westinghouse shares dropped from around 651 to 61. The selling was from shorts and disap- pojpted traders who had bought for the rise. In a few minutes the true state- ment _appearcd and shares were up to 69. That move spelled losses for some traders, losses that could have been avoided. This little anecdote shows that those who now play with the stock market are just as speculatively inclined as ‘before the crash. The lure of easy meney still is as strong as ever. Lure of Easy Money. It is this typically American desire for easy money with its resultant ten- dency to live high that is at the bottom of most of our troubles. Some of the older and wiser heads in the country Believed that the sufferings of the last two years may have sobered the rest- less ones who want wealth without Working for it. *Has it? If the country has not learned sense from the recent disaster it never will. The following story was told by one of the speakers at the New York State Bankers’ Association convention. As a youngster he said he knew an old English stable helper who used to say: “If you earn 20 shillings and spend 19 you will be happy and contented. But if you earn 20 shil- lings and spend 21 you will be worried, Testless and unhappy.” It is because many of the people of this country are earning 20 shillings and spending 21 that they rush into the stock market in an effort to catch up, and they rarely do catch up. There is an old saying in Wall Street that “there are many tracks to the tiger's lair, but none away from it.” Those with surplus capital who buy stocks after careful investigation are helping things along. It is necessary for money to come out of hiding. But the man who can in a_ moment be frightened into letting go his stock be- cause of a flash on a news ticker never should have bought in the first plaoe. A great part of the gloom of depres- sion existed in the minds of people who had lost only paper profits. Their earn- ing power was not.diminished. Yet the gloom generated in their minds became a material manifestation causing fac- tory shut-downs and unemployment. 2 Overspeculation. The evil of overspeculation is distor- tion in every direction, exaggerated thought, exaggerated speech and exag- gerated action. In the midst of this distortion ordinary business loses itself in a maze of abnormalities. ‘There has been plenty of good news without considering the manufactured variety. A wholesale advance of 45 cents per 1,000 on cigarettes, from $6.40 to $6.85, indicates a considerable in- crease in the earnings of the big tobac- ©€o_companies. ’ Then there was the announcement that the Federal Radio Commission had decided to renew the licenses of the Radio Corporation and its sub- sidiaries. Word came from Dayton that the Dayton Rubber Co. would increase prices on all types of tires in the near future. ‘Tires have been selling at ridiculously low figures. Bankers of the more conservative type are hoping that the world will not g0 on & spree now that a definite turn has come in economic affairs. The recovery on the New York Stock Ex- change has already gone a long way. In about three weeks stocks have done what it took -almost a year to do in 1921. The Dow Jones average of in- dustrial stocks has touched 153.42 at its high point, having advanced from the low of the bear movement on June 2 of 1199, In 1921 it took more than a year for ‘the averages to rise from 63.90 to 103.43. Cigarette Price Advance, ‘The result of the advance of 45 cents * per 1,000 cigarettes, announced by lead- ing manufacturers, may be that small independent retail tobacco stores will come into their own again. ‘When a customer buys a package of cigarettes he does not realize just how small are the seller’s profits. They were small enough at the old price level and they will be smaller now. Under the old schedule the jobber pur- chaged the cigarettes at $6.40 a thou- sand less 10 per cent and 2 per cent. The retailer got his cigarettes at $1.15 a carton or $5.75 a thousand. When he sold 10 packages the retailer made 35 cents profit. This does not take into consideration the matches given free, which cost the dealer $4.38 a case of 2,500. Under the new schedule the jobber will pay $6.85 a thousand and the dealer will get his cigarettes for $1.24 a carton, or $6.20 a thousand. His profits on 10 packages will be 26 cents, less the cost of the matches. ‘The improvement to be expected by the small independent retailer is that competition may be less !fiom the ~Prev. 1931~ High. Low. 131% 124 5% Sales— Add Stock and Dividend Rate. Pacific T & T pf (6). Packard Motor (48¢) Paramount-Pub 2%. Park Utah 40 Penick & Ford (1). Penney (J C) (2.40) Pern Dixie Cement Penn Railroad (3). Peop Gas Ch (8) Pere Marquette Ry. . Petrolm Cp of Am(1) Phelps Dodge (1).... Phil Rend C & 1 Philip Mor & Co Phillips Petroleum Phoenix Hos pf (7) Pierce-Arrow pf (6 Pierce Ofl. . Pierce Petro Pitts Screw&B(70¢). 1 Pitts Unit Cp pf (7). 60s Poor &Co (B). .. 5 Porto Ric: Am To(2). “10 Postal Tel&Cablepf. 2 l % Prairie Oil & Gas Prairie Pipe L (3). Pressed Steel Car Pressed St C pf (1) Proct & Gamb (2.40) Prod & Refiners..... 1 Prod & Refiners pf.. 1008 Pub Sv N J (3.40) 27 Pub Sv N J pf (5) 4 Pub Sv N J pf (6) 1 Pub Sve G&E pf( 3 Pullman Corp (4) 20 Punta Alegre Sugar. PureOll..... Pure Ol pf (8) ity Bakeries (3 © E £ CrunwnnBunamanms g e 3 5 9 1 5 Radio Corp pf A (3 Radio Corp B (5). Radio-Keith-Orph RR Sec I C stk C (4).1208 Raybestos Man 2.60. Reading Ry (4).. Real Silk Hosiery. Remington-Rand Reo Motor Car (40¢). Republic Steel. .. Republic Steel pt Revere C & B pf (7). Reynolds Metals (2) Reynolds Tob B (3).. Richfield Ot). Rio Grande O11. Ritter Dent Ml 13%. ssia Insur (2 20). Rov Dteh (m1.2404) . 88% Safeway Stores (5). 14% St Joseph Lead (1).. 9 St Louis & San Fran. l-;)‘m’ 3 24 9 9 22 St L-San Fran pf (§) 22 St L Southwestern... St L Southwest pf. Savage Arms (2) Schulte R 4 Seaboard Seab Air Line pf Sears Roebuck (2 Seneca Copper. Servel Inc. . Shattuck F G (t1%) Shell Union ON1 Shell Un Oll pf (5%) Shubert Theaters. Simmons Co. Simms Petroleum. Sinclair Consol Ol Skelly Ol s South Port Rico Sug. South Cal Ed (2). South Pacifie (6).... Southern Rwy (m6). Sparks Withing (1). Splegel-May-Stern. . Stand Brands (1.20). 34 Stand G&E (3%)... 43 Stand G & E pf (4). 1 Stand G& E pf (6)../ 1 Stand O11 Cal (h2%4) Stand Oil of Kansas. 10 Stand Ofl N J (12)... 129 Stand Ofl N ¥ (1.60). 281 Sterling Sec A.. 5 Sterl Sec pf (1.20)... 13 Stewart Warner. 4 91 18 2 21 3 20 22 1 5 9% 21% 54 26 104% 40% Stone & Webster (3). 141 Studebaker (1.20). 94 Sun Oll pf (6).. 30 Superheater (234).. (Continved From Page 13.) I Prev. 00. High. Low. Close. Close. 108 181% 8 % 28% 208 101 {Plus 8% in_stock. 2 35% NEW YORK STOCK EXCHANGE Received by Private Wire Direct to The Star Office. " ~Prev, 1631 High. ‘Low. 1% 131% 131% 181y 814 8% 84 284 1% 1% 5% 114 8% 4% % Texas G Timken- o Ulen & 19's 10 71% 38% Vu 8 W Wabash Warner Warren 66% 5% 14 11 *Unit of 1 Plus 50¢ in special Texas Pac Land Tr.. ‘Thatcher pf (3.60) Third Avenue. Thompson Prod 1.20. ‘Tide Water An (60c) Und-Ell-Fisher (5). Union Bag & Paper. . Union Carb & C 2.60 Un Oil of Cal (2) Un Pacific (10) Un Pacific pf (4) Unit Aires Unit Aircraft pf (3) Unit Biscult (2).... 1 Unit Biscuit pf (7).. 108 Unit Carbon........ 22 Unit Cigar Stores. 1 Unit Corp (76c) . Unit Corppf (3).... 4 Unit Dyewood pf (7) 10s Unit Fruit (4)...... 10 Unit G & Im (1.20).. Unit Plece DW (2).. 9 Unit Plece D pf 6% .. 408 U 'S & For Secu r g H g H Plpe & F' (2) P &F 18t (1.20).. Realty & Imp(2) o E F & U S Tobacco (4.40).. Unit Stores A. .. Unit Stores pf (4) Univ Leaf Tob (3).. Univ Leaf T pf (8 Univ Pipe & Rad Utah Copper (6). Ut PEL A (e12.15) . 28% Vanadium Corp'n... Van Raalte. + 12 98% Va Elec & Pwr pf(§) /ulcan Det (4). ... h RR. . Waldorf Sys (1%)... Walworth Co. Ward Baking 8. .... Ward Baking pf (7). Warren Bros (2).... Western Pacific. . Western Pacific pf. Western Union (8).. Westing A B (2).... Westing E1&MIg (4) Westing E&M pf (4) stvaco Chlor (2). Wextark Radio Strs. White Sewing Mach. * White Sew Mach pf. Wileox Rich (B).... 50s Willys-Overland. Woolworth (2.40) Worthington Pum Worth Pump B (6).. Wrigley (Wm) (4).. 6% Yellow Truck....... 14% Youngs Spring (3).. 39'% Yngstwn Sh&Tu(2). 2% Zenith Radio....... Zonite Prod Corp (1) Dividend rates as given in the above table are the annual cash payments based on the latest quarterly or half-yearly declarations. ‘rading less (! STAR, WASHINGTON, D. C. SATURD AV Stock ana Dividend Rate. % Snperior Ofl. 16% Telautograph (1.40). 51 Tennessee Corp(50¢) Texas Corp (2)...... 1 3 27 15 21 1 . Sulphur (3). Detroit Axle Tobacco Frod A t95c. 17 ‘Transamerica (40¢).. 62 Tri-Cont Cor - ran 0) = 13 roENe RN Gl " 401 8 2 6 38 3 ~G® A IO -1 24% 36% 12% 106% 53% 17% 27% 26% % 1208 10s 2608 RR (A) 4 42% 8% 24 27 3% Bros Plct... Fdy & P (2). 96 110% 8 16% 7 18 116% 27 70 95% 24% % 3% 6% 20 4% 70% 56% 64 2 7 11 68 4 4 3% 9 19% 85% 3 3 & 12% hares. extra. iPlus 4% sPaid h”t' year— % in_stock. 100 ! 1Partly Plus fotk able in stoc! WPius 6% in stock. " b Plus referred stock, ock. Inis"year—nio ‘Fesular Tate. n Blas % in sock, D Stock m Faid te. n Plus 8% n st chain stores. The chain stores have tnlw recent years become the largest dis- tributors of cigarettes because they have | been able to sell ]eadmi‘ brands at two | for a quarter, while the independent | man had to demand 15 cents a package. Chain store executives have been holding conferences to determine their | respective future selling policies as a | result of the action by the manufac-| turers. Spokesmen for some of the | leading firms have given opinions that | retail prices eventually would be in- creased to 15 cents a package. Increase in Earnings. One Wall Street statistician figured | that, based on the 1930 published earn- ings figures and estimated 1930 output of 45,000,000,000 cigarettes for Amer- ican, Tobacco, 35,000,000,000 for Rey-| nclds, 25,000,000,000 for Liggett & Myers and 10,000,000,000 for Lorillard, the increased wholesale price of cigarettes from $6.40 to $6.85, when in ‘enect a full year, would increase Amer- | ican Tobacco's earnings from $8.58 a| share to $11.93 a share, Reynolds from | $342 a share to $4.68 a share, Liggett & | Myers from $7.15 a share to $10.21 a| share and Lorillard from $1.48 a share | to $3.50 a share. Actually, American Tobacco’s cigarette sales are running about 10 per cent ahead of 1930 figures, so that the price increase applied to American for a full year on the present reduction rate would bring earnings closer to $13 a share. Powerful Securities’ Organization. It probably is not generally realized what an enormously powerful security distributing machine was created when | the old investment banking frm of Harris, Forbes & Co. was merged with the Chase Securities Corporation. The | greater institution formed by the| merger will be called the Chase-Harris- Forbes Corporation. The new insti- tution will begin operations in 53 of the leading cities of the country and in Canada and Europe on July 1. Harris, Forbes & Co. was one of the oldest investment firms in the country. In the last five years it has underwrit- ten and distributed to irvestors billions of dollars of' stocks and bonds. The Chase Securities also had an enormous distributive power. An idea of the size of the distribut- ing business of the combined institu- tions may be obtained from the fact that together the two have neaded syndicates selling securities at the rate of $450,000,000 a year thus far this year, ‘This does not take into consideration the amount of distribution in which both participated as members of syn- dicates which they did not head. The power behind the new institu- tion will be the Rockefellers. The Chase National Bank is now known as the Rockefeller Bank, although the Rockefeiler group is not believed to cwn the largest block of stock. The group holding the largest amount is said to be the so-called “Wiggin” group, head- ed by Albert H. Wiggifl, chairman of the governing board of the bank, with the next largest stockholder being the Rockefeller group and the directors of Harris, Forbes & Cd. forming the third largest group. Will Merge Offices. Harris, Forbes & Co. had a wutklng agreement with the Harris Trust Savings Bank of Chicago whercby the latter handled the sales west of the Mississippl. This agreement will not continue under the new organization, although very cordial relations will be maintained. The new organization will now operate through its own chain of offices from coast to coast. In some cities there are offices of both Harris, Forbes & Co. and the Chase Securities Corporation. This duplication will be eliminated and only one will be retained in each city. Forbes. orporation. wil be Jocated. in rporal located in the Chase Bank Building, in Pine street, New York City. ‘This mq of Harris, Forbes & Co. and the se Securities Corporation by one very interesting character to fore in the person of Harry M. Addinsell, who will be, the president of the new corporation. Mr. Addinsell was vice president and director of Har- ris, Forbes & Co., and is one of the best known authorities on public util- ities in Wall street. He began his | career with N. W. Harris & Co. as a boy 26 years ago. He now is in his early forties. Becoming interested in the financing of telephone and electric light and power corporations, Mr, Addinsell ex- panded with that department of his firm. Before joining up with N. W. Harris & Co. he was soliciting adver- tising in Wall Street for a New York newspaper. Mr. Addinsell is well known as &) writer and is often quoted. He was for many years a member and| served a term as chairman of the | Public Service Security Committee of the Investment Bankers' Associaticn. | He is a member of the National Elec- tric Light Association’s Committee on Financial Institutions, and attended the ‘World Power Conference in London in June, 1924, where he was made treas- urer of the American Committee and chairman of the Finance Committee. From 1917 to 1919 Mr. Addinsell served in France as captain in the Field Artillery and took part in the Argonne offensive. In his work, Mr. Addinsell once said that he tries to follow the advice of Norman Wait Harris, who founded the business in 1882: “Look for the weak points, the strong ones will come out anyway.” Bragilian Bonds. Market observers here and in London have been curious to know the reason for the strength in Brazilian bonds on the New York and London markets. The rumor was circulated that the Hoover debt_postponement may be ex- tended to South American countries. Such an extension is possible, but not probable, ‘There may be another reason. Several months ago, Sir Otto Niemeyer, well known English banker and financial expert, was loaned by the Bank of Eng- land to the Rotbschilds, who sent him to Brazil to study economic conditions there. Wall Street bankers believe that the English banker may be ready to make his report and that it might con- tain the suggestion of the founding of a bank of issue in Brazil. Sir Otto Niemeyer was prominent in the work of the League of Nations. (Coypright. 1031, by North American Newspaner Alllance, Inc.) Baltimore Markets Special Dispatch to The Star. BALTIMORE, Md., June 27—FPota- toes, white, 100 pounds, 1.00a1.90; new potatoes, barrel, 1.00a2.00; beans, bushel, 50a1.15; asparagus, per dozen, 75a2.75; beets, per 100, 1.00a2.00; cabbage, bushel, 70a1.00; carrots, per 100, 3.00a 4.00; eggplants, crate, 1.50a2.50; lettuce, bushel, 25a65; lima beans, bushel, 2.50a 3.50; peppers, crate, 1.50a2.50; onions, per 100, 75a1.00; peas, per crate, 50a 1.25; spinach, bushel, 50a75; rhubarb, per 100, 2.00a4.00; squash, per bushel, 80a1.00; tomatoes, crate, 90a2.25; ap- ples, bushel, 75a2.50; apples, per box, 2.00a2.50; cantaloupes, per- crate, 75a 4.00; cherries, per pound, 3a10; grape- fruit, per box, 1.50a3.00; oranges, per box, 2.50a4.75. Dairy Market. Poultry, alive—Chickens, young, 18a 33; old hens 17a21; Leghorns, 12al5; roosters, 12al4; ducks, 15a22; pigeons, pair, zonéi e @ “ receipts, 16 cents dozen. Butter—Good snd fancy, creamery, 22a26; ladles, 17a18; rolls, 16al7; 19a20; packed, 14815. PUSRAH of h Buyers seeking specially priced goods Hooviding the only ctivity in the foor 2 % market ot t. The coverings presen stores want Axminster Tugs and any low-end domestic Orientals which can be ob- tained at 3 CHICAGO STOCK MARKET By the Associated Press. CHICAGO, June 27.—Following is the complete official list of transactions in stocks on the Chicago Stock Exchange ay: Sales. "OCKS. 100 Abbot” Tap - B A 350 Acme 31 313y 50 Bastian-Blessing 14900 Bendix ~ Aviatio 6030 Borg-Wi Bros . 90 Canal_Construction; . 70 Cent Tl Pub Ser pf. ORI P Ry BaeS oo ane. 300 Elec_ Household 50 PitzSimmons & Cot 200 Gen Thea Eq vie 50 Gleaner ... 1750 Gt Lakes ‘Aircraft Co S FESE . Mirs A. 13350 Mid West Util 150 Mid W Ut 6s pf 100 Mid We Ut B 400 Midland United 10 Mid_Ut 78 pl 050 Mo-Kans Pipe 150 Mohawk Rub 300 Nat Secur Inv 400 Nat Secur Inv Bi. 5 s auBjausud & N8 L5888 e B G 88 w5880 FERRNRER RERASERR S FEEEE RS & Samia! » [ oSanBa Bt ual88uanBnasand. B RS0 S am ! Frgd skgn Wleresii -G est P BESLEE R E sa B sa 8 5 WESTERN MARYLAND RWY. BALTIMORE, June 27 (Specal).— SRR ek o tn Msy ap gated $1,160,918, a decline of yum compared with the like month a year %5, agatnst $1,007,610 in May, 1930, For the five months ended 1 3 operating revenues totaled ”.!l‘t‘.“fl. a decline of $1,197,833, :unwod with the IADVANCE IN BOND MARKET RESUME " Junior List Moves Forward, but High-Grade Is- sues Lag. BY F. H. RICHARDSON. Special Dispatch to The Star. NEW YORK, June 27.—Bonds con- ™ | tinued their advance today in fairly ac- tive trading. ‘The market, while it paid due regard to Washington’s refusal to accept the French reservations to President Hoo- ver's debt plan, was convinced that no matter what happened a financial crisis in Germany or elsewhere in Eu- rope would not be permitted to occur. % | This conviction, together with evidence that Presiden it Hoover has well under way his plans for helping South Amer- % |ica, drove junior bond prices higher unr':uhmn the foreign and domestic High-grade issues continued to sag narrowly as they were liquidated to pro- vide funds for speculation in high-yleld bonds or in common stocks. United States Government long-term issues sold today at levels averaging 1 point under their recent high levels. And their yields, with the exception of the Liberty % | issues. which are callable next year and in 1933, were all well above 3 per cent. Municipals, too, have declined, and to- day the range of ylelds in a group of prime municipals was 3.60 to 4.20 per cent, compared with 3.30 to 3.90 per % | cent when this list was at its highest. Corporation obligations easing under the same switching operations included Atc] general 4s, American Tele- phone 5s, New York Telephone 4%4s, Norfolk & Western 4s, Union Pacific first 4s and Philadelphia Co. 5s. Junior railrcad bonds were outstand- ly strong. Those most actively higher were Erle 5s, Frisco 4l2s, St. Paul 5s, St. Paul adjustments, Mis- souri-Pacific 55 and General.5s, Den- ver & Rio Grande Western 5s and Chi- cago Great Western 4s. Industrials were also higher, but the most important gains were in the bonds of international concerns such as International Hydro- Electric 6s, International Match de- ibenture and convertible 5s, Interna- tional Paper 5s and 6s, American & Foreign Power 5s, Anglo-Chilean Ni- trate 7s and Lautaro Nitrate 6s. Argentine and Brazillan issues were off 1 to 2 poinis, but it was apparent 19 that this was due to profit taking. Chilean and Colombian bonds continued to improve. The German group was steady. Next week municipalities will seek about $14,000,000' in this market, against 14 | $43,500,000 during the past week. There a possibility of the total being 1, | SWelled, however, as both South Caro- lina and Montana have announced sizeable issues for the near future. AUTOMOBILE SALES PICK-UP EXPECTED Executives in Industry Be- lieve Buying Power of Pub- lic Has Grown. BY DAVID J. WILKIE. Written for the Associaed Press. DETROIT, June 27.—At a time when some 5,000,000 or more motor cars that are long overdue in the junk-pile are being forced to give up their last ounce of endurance by motorists reluctant to invest in new cars an unusually brisk business in the service departments of the different automobile companies would seem & logical conclusion. It is one of the anomalies of the situation through which the industry ‘bas passed, however, that most of the service departments have felt the tight- ening of the purse strings just as much as the new car sales departments. Nevertheless there has been no falling off in the operation of motor cars. On the contrary, cheaper gasoline in many sections, ideal driving weather and the start of the vacation period have com- bined to increase the mileage record of all types of cars. See More Buying Power. Out of this seemingly ambiguous situ- tion automobile executives see only a constantly increasing accumuiation of potential buying order which ulti- mately must be released. Automobiles, they say, have been wearing out during the last year much faster than replace- ments have Yeen made. The result must be that when general business again approximates a normal condition the automobile industry will face a tre- 7 | mendous demand for new cars. ‘With this will come, too, other lead- ers believe, a further improvement in the used car situation. Distributors have been able to improve their used car inventories during the last few months by more conservative trade-in practices and by more careful handling of accounts. During the Spring buying period finance companies also aided in the effort at general betterment by thorough investigation of the financial prospects of potential installment pur- chasers. Manufacturing activity continues to taper off, and total output figures for June undoubtedly will show an appre- ciable drop over last month. In the JUIE 1931, 21, NCIAL. [ mw vomx BONDS o ] Wire Direct 8o The Star Office. 3 UNITED STATES. ‘(Bales are 1n $1,000.) Sales. High Low. Olose. Lib 3%s 32-47.. 60 10216 10216 102 16 List43,s32-47. 53 10312 103 103 L4th41s33-38 103 104 25 104 28 104 24 US3%s’49... 19101 6101 1101 /1 US3%s540-43., 5 10226 10226 10226 US3Ks4l-43.. 1 10220 10220 10220 US3%s43-47. 1 10226 10226 10226 US3%s 46 1 106 14 106 14 106 14 '3’ Am Ag Ch 7841, Am Beet Sug 6s'35. Argentine 6s Ji Argentine 6s A ‘57, Argentine 6s B '58, Arm & Co 4 %8 Arm Del 6%8°43. Atchison gen 4s '9) Atchiscv 4%s'41.. At Guif 55’5 5 Y -y 6 Bell Tel Pa bs B *48 Berlin Cy El s '55. Berlin CyEl 6%s'51 Bolivia 75 '69. Bos & Me 68 '55. Bos & Me 65 '67. 26 EET TSI IS Bklyn Elev 6 Bklyn Man 6s ‘68. Bklyn Un 584 Bklyn Un 1st 6850, Budapest 65 ‘62 Buenos A 6561 Fv. Buff Gen El 4% Calif Packing 58’ 40 '60 s orey oo [ reyeyey NCE o wESuraSoR&t - & t 58 Oct '69. Can Nor 7s deb "40.. O 08 T B R O e e Car Clin & O 5s'38. Cent Pac 48°49. ent Pac 53 '6 >ri-td deb 5% s Chi M StP&P 6s ‘75 Chi M & St P adj 58 C&Nwn 4345 ¢ 2037 Chi& NW con 4% Chi Rwys b8 27 Chi RI&P gn 45 '88. Chi Itl & P rf 4834 Chi R Icv4%s '60. Chi RI&Pac 4745'52 C TH&SE In 55 "60% C& W indcv 48762, Chile Cop db 58 '47. CCC&St L4 %S E. . Clev Term 68°73 Colombia 68 ‘61 Oct Col G&X 53 May 52 C C Md 1st rf b5 '50 CGas NY 4%s'95wi ConG N Y 5%s 45, Con Pow Japan Ts. Copenhag 58 Cuba RRrf7% Cuba Nor 5%s "42 Czecho 8s '51. Del & Hud 5%s 37, Denmark 433 Denmark 5% 5! Denmark 6s ‘42 D& R Gr gn 4y D&RG W 58’5 Det Ed G&R4% Det Edison rf Dodge Br ¢l Donner St 7s 42 Dutch East I Mar Dutch East I 6s'62. El Salvador 8548 AN OORBREEIREA®S B E Erie & Jer 65 5! Flat 7s ex war 46 Finland 6%s '58 Finland 7s Fla £ Coast Fond J&G 4 French 7s'49. French Gvt 7%s *41 Gelsenk'chen 6s 34 Gen Motors 6s'37 Gen Th Eq 6: 125% 90% 103% retail division, preparations are going |G forward for the handling of an in- creased demand for cars as the mic Summer seasonal lull passes. Talk about the huge number of ob- solescent automohiles and the possibil- ities of their continued operation is heard in all quarters where the pros- pects of the industry are discussed. While sales executives admit there is a great deal of theorizing going on in these discussions, most of them point out that the return of prosperity to the industry depends upon the setting up again of a normal demand for its g:ad- uct. This demand, they say, is being created by the wearing out of cars still in operation. Restricted. Purchasing In supporfof their hopes for an up- ward curve of the salesgraph within GrandTr sf db 6s'36 Grt Nor 4%8 76 D. Grt Nor gn 6%s Grt Nor gen 7. Hud & M adj 5857, Hud & M rf 68 57 Hungary 7%s’¢ the next few weeks, retailers point out |, that purchasers of cars so far this year did not aggregate an approximately normal number. They are convinced that, while some of the stored-up buy- ing may be withheld from the market until the new models are brought out in the latter par* of the year, some of it must be released before that time by reason of necessity. Activity has been resumed in the re- search division of the industry after a ‘week’s lull while automotive engineers assembled at White Sulphur Springs, W. Va,, to talk about everything con. cerning an autcmobile, from fan noises to the general conmstruction of motors Sbments i design rather than Meatistc opmen raf n ic . of ntéu car eth:.ghre flII‘tm oceu] e engineering chiefs. Ma of these developments, it is undemoo‘?, already have gone beyond the experi- mental stage. —_— BANKS IN HAGERSTOWN TO REDUCE INTEREST Special Dispatch to The Star. HAGERSTOWN, June 27.—Hagers- town banks, six in number, announced today that effective August 1, the in- terest rate on savings acccunts would be reduced from 4 to 315 cent. Total ts banks were Int Rap Tr sta 66. . Int Rap Tr 78 Int Cement 1 Int & Gr Nor 6s'52. int Hydro El 68 44. Int M Co bs ret "41. 47... 8 Int Pap 55 A *47 Japanese 5%s'65. . 199 Japanese 635 '54. . Jugosl Bank 78 '57. Kan City Sou bs '50 | Kan City Ter 45 '60. KanG & B 4% "80. Kend 5%s'48 ww. Kresge Found 6s Kreug & Toll 5869 =T bRANHANRARNG 98% 98 114 114 114 99 99 1 98% 98% 99 com) 98% ued at gh. Low. Close. 52 63% a8 95% 102% 88% 103% 81 63% 86%, 86% 86% 865 T9% 102% 10005 74 70 La & Ark 5 McKes & R 6%s 50 '8! €5 Mo Pac B3s cv 49, Mont P db 5s A 62, 52 101% 110 60% 85 93 EE NoaR~mBRenaRaRnasBaten - 2d Phillip Pet 5% s 3 Plllsb F' M 65 43 PCC&SIL 4%8°77, PCC&StL5sA.. P&WV4ksB P& W V4sC60. Poland 7s 47 Poland 3s '50 Port Gen El 4 Por RT am 6s Pos Tel & C b: Pure O11 5% Queenland 7s 41 Rhine West 6s ‘52 3., 55. Rio de Jan 6348 '53. Rox D 43°45 ww. StL&SFin StL&SF 4% St L&SF prIn 68 B. StLS W s '52..... Sao Pau 78 40 rots, Sao Paulo 8s 'S Seine 78 '42 Serbs-Cr-81 T4 Serbs-Cr-S1 8, Shell Un Oi1 7. Sine Cr O 5%m"38.. Skelly Oil 5%s Sou Bel T&T 6s '41. Sou Pac col 45°49.. Sou Pac ref 48 '55. St Oil N J 5848 StOIIN Y 4%s"51. s Tokio5%s'61..... § Tokio E1 Lt 6s’ 53. Un Pac 1st 4547 o 7 S Rub 1st 584! Un StIW6%s A Ud St1 W 634sA '51 AR OR e~ - Uruguay 6 . Utah P& L 58 *44. . Utll Pow 58 '69 ww. ‘Vanadium St 5s 41 8~ Ao Wabash 43%s 78 Wabash 1st bs ‘3 Walworth 6s A * FrarnE aams - West Union Wil & Co 1st Wil-Ov 1st 6%s ‘33 Wilks B & E 1st 5s. Yokohama 62°61. .. Yrstn SP&T 68 78, Y¥ng St&T5sB'70. 8 984 e RAILROAD EARNINGS. NEW YORK, June 27 (#).—Railroads reporting today net operating income for cl!ugédvmh comparisons last year, in- uded: 1931, 1930, New York, New Ha- $1,788,559 $2,115,747 912,937 1,021911 1,497,106 1,486,066 65,439 908,483 13,603 363,990 1,222 460,748 ————e VALUE OF GRAPHITE. By the Assoclated Press. The Bureau of Mines reports the total quantity and value of graphite S amamee 494,515 7126 short parison RAILROADS APPLY FOR CUTS IN RATES I. C. C. Asked to Authorize Reductions to Meet Truck Competition. BY GEORGE E. DOYING. ‘While the railroads en masse are at- tempting to secure a 15 per cent hori- zontal increase in freight rates, numer- ous individual carriers are continuing to apply to the Interstate Commerce Commission for permission to make re- ductions to ¢t motor truck com) - tion, it wes learned at the offices commission. Requests are belng received daily, it was stated, for special authority to re- duce rates on a wide range of com- modities effective on less than the 30- day mtuwr{ notice. P The applications, coming from all parts of the country and from railroads in each of the three representative groups which are seeking a blanket in- crease, are for lower rates on automo- biles, petroleum and its products, sand and gravel, canned goods, lumber, cot- ton and brick. In practically all cases the applications have been granted. Many Protests Received. In the meantime, protests against the proposed 15 per cent increase continue to deluge the commission. They come from individuals, industrial and com- mercial organizations and several State regulatory commissions. The Idaho Public Service Commission has asserted that the railroads now are making “good money” and that the proposed freight rate increase “would only amount to additional profit.”” The Flor- ida Rai d Commission declares the growers and shippers of that State “are as hard hit by the depression as are the carriers of the Nation, and we feel that some consideration should be given the pflq‘ht of the producers and con- The beliet lef was expressed here toda that the railroads actually do not ex! pect their present application to be granted, but that their primary purpose is to bring forcibly to the attention of the L C. C. the general condition con- fronting the carriers, in the hope that its effect will be to stop any further reductions aside, of course, from those they themselves seek in their efforts to combat the truck lines. While attention is largely focused on freight rates just now, interest in the passenger fera situation has been re- vived by the action of the Interstate Commerce Commission in authorizing the St. Louis-San Francisco Railroad to return on July 1 to the normal fare of 3.6 cents a mile. Frisco Sets Example. It was the Frisco line that started an uproar in the Southwest by reducing its coach fare to 2 cents a mile several months ago. Competing carriers sought to prevent the reduction on the ground that their revenues would be decreased by a greater amount than would be produced by increased traffic resulting from the lower fare. They failed in this move, however, and soon followed the Frisco's example. Now, the Frisco has confessed failure and is about to return to the standard fare, but the other lines so far have shown no disposition to do likewise. The 2-cent fare, as well as other re- duced passenger rates, was made effec- tive in the hope that traffic supposed to have been diverted to bus lines might be regained by the railroads. Although with the Frisco this result was not ac- complished, apparently other lines are satisfied with the situation and pre- sumably are doing enough business under the 2-cent rate to justify con- tinuance of the experiment. (Copyright, 1931). Washington Produce 27!’3utber—one-pound prints, 281:; tub, Eggs—Hennery, ceipts, 161:al7. Poultry, " alive—Spring broflers, 8 pounds and over, 33a34; 2 to pounds, 32a33; smaller, 28a30; Leghorns, large, 24a25; small, 20a22; hens, large, 20a21; 18a30; Leghorn _hens, 14: roosters, 12a13. Dressed Spring brofl- ers, 3 pounds and over, 37a38; 2 to 213 pounds, 36a37; Leghorns, large, 28a30; small, 24225; hens, large, 25a26; small, 23a25; Leghorn hens, 18a20: roosters, 15a16; ‘Long Island ducks. 22a23. Meats—Beef, 121:al4; veal, 14: Spring lamb, 15; pork loins, fresh killed, 23; frozen, 17al8; fresh hams, 17%; fresh shoulders, 13; smoked hams, 181 ; smoked shoulders, 12; strip bacon, 21; 'lard, in bulk, 10; in pack- ages, 11. Live stock—Hogs, heavy, 18a20; current re- 6.5027.25; light and medium, 7.50a7.80; pigs, 7.008 7.80; roughs, 3.50a25.25: calves, 4.00a 8.00; Spring lambs, 5.00a7.50. Fruits—Watermelons, 30a75; loupes, 5 ; 'standards. 3.00; ponys, 2.25a250; flats, 1.10a1.25; honeydews, 1.75a2.50; honeyballs, 2.50a 4.00; oranges, California, 4.00a4.50; Florida, 5.005.50; limes, per 100, 1.75a 2.00; grapefruit. 3.00: plums, 1.50; apricots, 2.00a2.25; bananas, 1.50a2.5 lemons,’ 5.50; peaches, bushel baske 2.00a3.00; grapes, Thompson seedless, 350; pineapples, 3.00a3.50; apples, box, 275! cherries, homegrown, crates, 250 23.00: California, 15-pound box. 3.50; blackberries, 3.50a4.00: huckleberries, 7.00a8.00; rhubarb, per 100 bunches, 250a3.00. Vegetables—Potatoes, new. per barrel, 2.2522.50; old, 120-pound sacks, 2.50; sweets, 1.75a2.00; limas, 2.50a3.5 12502.00: corn, 230; ' eggplant. canta- peas, 3.00a cucumbers, 3 1.00; carrots, per 100 bunches, 2.50a 3.00; beets, per 100 bunches, 2.00; onions, Bermudas, 50-pound contain- ers, 1.75; Spring, per 100 bunches, 2.00a 2.50; radishes, per 100 bunches, 2.00a 2.50; tomatoes, 6-pan crates, 2.25a2.50; %!s;iosupp!. flats, 75a90; mushrooms, 250. O N S MOTOR TRUCK INDUSTRY PASSIVE ON RATE BOOST By the Associated Press. A passive attitude has been main- tained by the motor truck structure of the country on the railroads’ petition to the Interstats Commerce Commission for higher freight rates. It has been pointed out in arguments for and against a general rail rate in- crease that rates of competing services are generally based on all-rail rates and an increase in that base will be reflocted in all types of transportation. Best available information here is that for the time being at least the motors will make no effort to keep their rates in stride with the proposed rise in rail charges. An official of the National Automobile Chamber of Commerce be- licves any increase granted to the rival carriers will result in an increase in motor freight and expand their cruising radius by many miles. Some railroads are considering meet- ing the present teat of motor compe- tition by a co-o*@Mation of the two services. J. F. D=y, vice president of the Pennsylvania, in discussing this sub- xtl‘!.yx'v': here, high: transporta: “If, and where, highway - tion is more efficient and economical than rail transportation, no one has any right to stand in the way, and rail serv- ice should give way to highway service. But, if the -ordinated to