Show New Y York ok Market D To T 10 Be In in AccumulatIve Stag Conditions Indicate Indicate That Improvement Ca Cann 1 Be Stopped by Any ny Single Event The dominating influence in the I stock market at the beginning of the i week was the threatened railroad tie tie- te-I te up Almost the entire entre list was carried carried car car- ried ned down but for the most part losses i I i were only fractional and In few cases cases' i idid I did they exceed two points In the face i of a potential catastrophic event this behavior of the market was indicative of great geat underlying strength as well vell wel as confidence that there will wi be no railroad strike On Tuesday with wih few i i exceptions the market turned strong I. I I I I under short covering The orderly settling settling set set- I tUng down of the market followed set set-I by I I Increasing resistance to pressure has convinced influential channels that the I market as a whole is liquidated if not oversold Va td As the week il progressed the I I threatened strike appeared to have e lost I its is force as a market factor and movements move move- move move-I i ments were governed principally by I technical conditions It is traditional in Wall Wal street not to I sell sel stocks on I strike news and the Impression Is gainIng gaining gain gain- gaining ing ground in active trading circles I that the market Is beginning to dIscount discount discount dis dIs- count settlement of the railroad strike says E. E II H. Clarke Cos Cos market and investment review The consensus of opinion is that there will wi b bd be no strike The arguments arguments arguments ments against it i seem overwhelming and it i is the best opinion that such sucha i ia a strike at this time cannot a succeed 1 ot nV I Ithem I There h are are- e too many unemployed e d among them hundreds of thousands of trained railroad d workers Sentiment is not notI I I with wih the strike movement by reason reason of the fact that the public are impatient impatient tient of anything tending to retard business recovery In a sense it IsI is argued it i would be a strike against I the government so far as it i disregarded disregard disregard- ed ed the railroad labor board and while the boards board's decisions are pot mandatory mandatory manda manda- tory President Hardings Harding's support of ot the board would go far tar toward giving its is decisions legal sanction sancton The presIdent president pres pros I ident says that both railroad workers and managements must obey the labor boards board's decision A strike at the ap approach approach approach ap- ap I of winter would inflict widespread widespread widespread wide wide- spread suffering and is so entirely against the logic of or conditions that it itis itis is doubtful If i the union leaders can I count upon a walkout by the rank and andI I te file I I I A constructive element looking toward settlement is a pledge of the roads oads further to re reduce uce freight rates to the extent of the new wa wage e cut This proposal rests upon reason for the carriers as a whole will wil get into financial financial finan finan- cial cia difficulties if i rates are lowered without an offset in lower costs the having been only a short four months since on the verge of ot bank bank- Substantially reduced rates will wil powerfully quicken business re revival revival re- re vival for no doubt transportation rates are high in many instances and al although although although al- al though reductions have been made I within the past pat few months business recovery is being retarded by present rates What is needed is full ful employment employment employ employ- ment for the country at large Full FuI employment at lower wages and with lower cost for tor finished products that this would bring about would mean a afar afar afar far greater degree of prosperity for all al than obtains at the present time An A Indispensable concomitant Is the re reduction re- re ducton of the great difference now ex existing ex- ex between wholesale and retail retal prices a subject the unemployment conference might well wel give era era- tion ton Sugar stocks have displayed pro- pro I w weakness akness and little h hono early Important Improvement Is ent ent tamed There is so vast vat a congest of sugar supplies that producers only hope for liquidation of sug u lui stocks through a long period of Bm sm profits It I is Is however no longer g for the bears to play up the non ment of dividends They were 0 founded by the announcement t directors of the American Sugar n. n th company would declare thel thetis USI preferred dividend Another is it the Pullman PuIman Pullman company which cans cau the discomfiture of the bears b by c daring dividends for two quarters quarters' Steel stocks are weak because oft favorable earnings statements or wh the market has before it I rather rather Jh th because of or any adverse change steel industry While the steel soarS marl Is quiet operating developments mr called caled favorable Although h the ft corporations corporation's output for Septembers w up only 2 per cent over August it that of July by about Augst 50 per c l Belief Delet that the railroad strike wlM wilU averted notwithstanding to the contrary accounts for a for the even tenor of the steel mirk mark f A greater influence than the st-j st threat r li itself is the practical of freight rate reductions t ca Its ei cUe effe is s seen in some withholding of ping orders Lower freight rates or be of tremendous toll importance to t r steel Industry as well wel as to the theme e N tire Ire ire business structure Jk In contrast with wih stool steel stel and sug sug aug stocks the coppers are in good d mand Every indication points to ri Ing prices under the stimulating from the copper trade Increased o OJ per prices are a direct result o 0 r creased demand but In io IT addition additon additional U tl statistical position of the h. h shown steady improvement ement of late Jr In t buying o of of copper is expect during the next sixty days Le Leadir producers and refiners declare decare th t trend Is upward and that this is i lab b b. b coming recognized by important COT cor sumers Any copper stock low production costs and a ply of working capital capIta now looks look a a- j i Oil 01 shares are the thE ea ture After the setback early week with the rest reft of the list the made Dade s strong trong recover recovery I advances in Eastern crud o oI I prices Their strength is a fundamental turn In the thE industrial the history of petroleum movement I shows that once oil oi prices turn the continue uninterruptedly In until the swing Is completed complete I There may be fluctuations In oil 01 stock stacks I but none in crude oil oi prices The Tha pub I He tic response to to- to the latest In oils ois Is poo interests It I is reported that mosto the pools In oil l stocks are strong financially finan and that the ont Jye distributed trl much uc stock bec because the theare are generally al expectant xi nt of t prices M Nothing has happened to change chang thE th view that we are in the accumulative stages of an no single event like a railroad strIkE Is sufficient to change the strike which ma may be settled overnight overnight trendA is the worst possible reason for selling stocks short We Ve believe that and speculators should take advantage a. a vantage of current market conditions and should purchase the other stocks which are still sti available at relatively low prices |