Salt Lake Telegram | 1930-07-06 | Page 29 | Stock Market Situation Still Uncertain; Definite Forecasts Are Lacking

STOCK SOCK MARKET SITUATION t STILL Sl tL UNCERTAIN 0 DEFINITE E I IT F FORECASTS 0 RE ARE LACKING Spasmodic Efforts to Mark Down Shares Meet With Resistance as as' asS as'S S Professionals Control Exchange Wall Wal Street treet Take Takes Holiday With Fi Finger Crossed Further 4 Tests of Price Levels S Are Expected Next Week Public gel Apathetic A S By JOHN L. L COOLEY I j Associated Press Pre Finar Financial i l Writer NEW YORK July 5 TIle 5 Tho market maket is 15 taking Its We Is Fourth of toc ulf vacation with fingers rs crossed crossed Many astuto astuto observers observer believe c bele that tat tur b tests test of ot present levels ore are ro to bv bs made in hi tho the w weeks eks Just ahead and and although all al but tho the Irreconcilable Irreconcilable- bears are arc oo expressing hope hop hop that the recent lows will wf not be punctured by fresh selling few are ne willing to commit themselves to definite fore tore casts The situation is still regarded regarded as uncertain 5 Trading this thi Week eek b has teen bout mostly professional and at nt eli all 11 times quiet Spasmodic efforts efort to Ja mark mark- t. t stocks tocks down met with wih rather lin- lin re resistance and tho the smaller short interests were were- satisfied to to cover covel On tho the other hand profIts profit taking quickly tol followed owed the rallies proC 1 However with wih tho the market duller than In two years yer operations ji in either direction were 1 and it I is toward the next that all al eyes eye are ae turned WEAPONS OF BEARS Th There ro are reports reports' that efforts will wJ be he exerted to breaK breiL prices trough through through- tho lows ot of last bre No No- vember Unfavorable second q ar r ter earnings s. s the instability of commodity com com- cr prices and the sagging indices are cited as weapons with which the bear element is likely to arm nim itself Jn In addition there is apathy o of the investing public Investment In Investment In- In vestment buln buying is 1 doubtless In Increasing In creasing but most of tho the support from that quarter seems to t be awaiting confirmation of scattered assurances that tho the market maket has ha struck bottom Despite Despie the quiet confidence conden e of or I many bears bears- the other side I is la not defenseless One Ono of ot its Jt strongest weapons Is Is the en enormous extent of liquidation ton d during June tine ne S is Js pointed d out have passed irons from weak hands into strong stong as u was w s evinced by tho the June decrease of moro more than thai a a billion dollars In stock exchange members members' member borrowings on security collateral COMMERCIAL COMM LOANS UP Also for t o two consecutive e weeks the commercial loan total reported by federal reserve members' members banks banks' has ha shown an increase In tho the fortnight fortnight to ItIs It Is It Imp Impossible to discern a a definite trend tend in so o short a a time but a con con- con j t of ot this upward movement would be interpreted as a 8 sign oC ot increasing business activity Furthermore banks' banks Investments are still gaining gaining- and nd are ae up nearly Derly since February This it is i pointed out out must ultimately help heIp the bond market market and ad at present pres prea- ent nt a a strong bond market would be warmly welcomed by the financial community A rather definite adVance advance ad- ad vance was wa made by fixed Income securities this week Th The grain markets were highly Ir Irregular Ir- Ir regular opinion on the tern term prospect in wheat whet seemed to b be bearish with wih attention directed pr par particularly par 5 to the Increasing competition competition ton tion in production from abroad The d department of ot agriculture pointed out that adjustments In itt acreage ace were necessary If I merl American grow growers groWers ers were to pr profit ft in the next t few lew i. i years ears and added that world worM wheat wheat- prices over the next year seven pe pe- nod Iod would woul average considerably lower than th tho last last seven Standard Standard Standard Stand Stand- ard Statistics company placed the hypothetical value of ot this years year's era cro crop on on the basis of tentative es estimates ci- ci e. e at about abut 20 per cent cent below that of 1929 amounting to to a a. decrease de de- crease in mone money of ot Th This analysis also said in connection with the term short outlook that Improvement i In export demand and resumption of farm board activities should result In an n average price level during the next few tew months at least equivalent to that tha now prevailing 1 in g. g WATCHES STEEL Tho The stock market as always is closely watching the steel industry for signs of ot a n revival which A so far ta have been lacking Som Some experts exert suggested that th the tho holiday shutdowns shutdowns shutdowns shut shut- downs affecting many plants plant would tend to move mO stocks of ot materials thereby stimulating purchases purchase In view vieW of ot the weekend layoff next weeks week's steel ingot production fl fig figurea figures fig fig- ures urea are expected to show a n sharp decrease