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Show Jjc JNt tribune akf Friday, February Section Stock Market See-SaAgain, Finishes With Prices Mixed ws By Gerald M. Connors New York Daily News NEW YOKK The stock market see-san straddled its Thursday and finished with prices mixed. With little news to stimulate hull or bear, the Dow Jones industrials ended up 1.4ft to 1,088.91, after a firm opening had failed to attract Wall Streets big spenders and the Dow had drifted to a minus 7.54 at 1 p m. Volume o i the New York Stock Exchange softened to 74.9 million shares from 82.1 million Wednesday, with losing issues leading winners. well-wor- IV and Campbell Red Lake V Great Western Financial slipped V and Bankers Trust V Mission Insurance lost l1' to 35 a despite a dividend increase. Phibro-Salomodropped 24 to 624 as investors ignored higher earnings. Cigna rose V to 43:,i and Continental Corp. z to 28:l i. Walter Heller, up 4 to 27 V said its discussing the sale of some of its assets. Glamours were scrambled. Tele dyne, Texas Instruments, and Digital Equipment added more than 2 each, while General Instrument fell 2V Motorola IV Control Data V n 1 and Hewlett Packard Associates gave up reported higher net. 1 V z Sanders John J. Smith, a partner in Fahnestock & Co., commented that uncertainty is "causing profit taking and forcing the institutions to the side lines. ... Its all part of the normal workings of the market. A lot of investors have profits, and any excuse that comes along cun be a reason to take them. Analyst Comments And at Purcell Graham & Co., analyst William LeFevre stated, "For the market to hold its advanced level. let alone go even higher, interest rates, which have retraced about one quarter of their 1982 decline, will have to start back down and do it soon. In the news, the Federal Reserve Board announced that the nation's factories operated at 67 8 percent of up from 67.3 percent in December. And White House economist Martin Feldstein interest rates stated that long-tercould tumble to the 4 percent level as inflation wanes. Ford Motor, down 4 to 40' i, rer ported a $236 million loss; and $657 million of red ink for 1982, narrowed from a $1.06 billion in 1981. General Motors and Chrysler shed 4 each. Drugs Weaken Drugs weakened, with Lilly off 14 and Merck. IV In the publishing sector. Times Mirror fell i , and Time Inc. 1. McGraw-Hil- l gained V Oils ended fractionally mixed as a number of companies cut the price they pay for crude by $1 a barrel. Pargas jumped l7 to 394 in response to a $42.25 a share takeover offer. Among golds. ASA. Ltd., declined capacity last month, 3-- fourth-quarte- 1 1 The Washington Post - This week murks six months since the start of the 1982 bull market, a period during which the Dow Jones Industrial Average, the most closely watched gauge of blue-chi- p stocks, has jumped more than 320 points. The industrial average and other barometers of stock market activity have set records, and the profits and stock prices of the brokerage houses that are the leading beneficiaries of a surging stock market have soared as well. As 1982 closed, however, most stock market watchers were predicting that the market had run its course, for the tin.e being, and that stock prices would pull back significantly. The prediction still stands, even as most market averages have set records this month. Slock Prices Overextended "correction" hasn't That really happened even though most indicators that analysts examine d ket standards, 90 percent to 100 percent of market gains usually occur within six months of the upturn's beginning. Farrell, whose observations are watched as closely as those of anyone on Wall Street, noted that once a correction of as much as 10 percent begins, it usually takes as long as six months for the key indicators to reach a new high again. Upturn Overly Optimistic other hand, most of the investor surveys that Farrell studies indicate increasing optimism on the part of most market players. The widely acknowledged beginning of a national economic recovery also has helped to fuel stock market enthusiasm, although Farrell noted the continuing anticipation of a significant and measurable upturn could be overly optimistic and leave investors 'more susceptible t disappointments." On the IJF&L Dividend suggest that stock prices are overextended. "I just dont like the extended point of the market." Robert Farrell. chief market analyst and vice president at Merrill Lynch Pierce Fenner & Smith Inc., said Thursday. In his weekly market analysis issued earlier this week. Farrell pointed out that, even by bull mar Directors of Utah Power & Light declared a quarterly dividend ol 57 cents a share payable April to holders of record March 3. the company announced Thursday. It compares with the same for the previous quarter and 55 cents for the vear-agquarter. Co Good News: Travel In Any One Of Three Regions'M For Only $125 Round-Trip- . No Restrictions. n From now until May 31, youre freef to travel wherever you ' Whenever you like. You can even travel 0$ weekends and You can also stopover in one other city J the way, both coming i '"PPP f! 8 and going. Weve divided the country into three regions. You can go to any city within your own region for just $125 M4 To or less round-trip- . iike18l holiday'MJ alonp? .OS ANGELES MOLF By Ann Job Woolley Associated Press Writer DETROIT Ford Motor Co. lost $657.8 million in 1982, largely because of setbacks in the automobile business in the United States and POINT 4 CHICAGO S any city in an ; INDIANAPOLIS adjoining region for $225 or less. Or travel all the way A" from coast to coast ?A: Pp Ha . round-tripfor only $299 Just buy your ticket before May 1 and it If. 4 return within 30 days of the ? V S' - v purchase date. So take advantage of Amtraks All Aboard k America Fares. We think once youve experienced travel the way travel should be, youll want to ride Amtrak again and again. For information and reservations call your travel agent or Amtrak. , , , A tbe company Canada, said Thursday. It was the third straight money-losin- g year for the No. 2 domestic automaker but still was an improveDow Jones 1,48 ment from 1981. 1,088.91 The loss, amounting to $5.46 per share, compared with 1981s loss of $1.06 billion, or $8.81 per share. The deficit included a fourth-quartloss of $236 million compared with a loss of $346 million in the final three months of 1981. Ford said it lost money despite the fourth-largeprofit ever posted So Farrell, like most of his fellow by its overseas operations. General Motors Corp., the largest market gurus, while suggesting that the Dow industrial average might U.S. automaker, reported last week and perhaps it earned $962.7 million in 1982. break the 1.100 mark thinks a 10 American Motors Corp.s results are jump as high as 1.125 percent to 15 percent correction still expected Friday, while Chrysler is likely. As a result, he is recomCorp. should disclose its earnings mending that investors build cash next week. reserves through February while With Ford and GM reports so far. they await the downturn. "We're the domestic industry is in the black more likely to have a correction $304.9 million. For the year, the dothan have li go bombing up big from mestic industry is expected to post here," he said its first profitable year since 1979. His is essentially the consensus when the industry slump began. view on Wall Slreet. Steven Einhorn, Ford said it lost $1.12 billion in vice chairman of the investment this country last year and another policy committee at Goldman, $153 million in Canada. Overseas, Sachs & Co., thinks that perhaps an the company earned $613 million. "inevitable" correction might be Worldwide vehicle sales in 1982 more dramatic than Farrell be- totaled 4.32 million, off 2 percent lieves. "The market is digesting from 4.40 million in 1981, Ford said. enormous gains," said Einhorn, U.S. and Canadian sales fell 3.8 perwhose firm has been extremely bullcent from 2.35 million to 2.26 ish throughout the rally. million. "That, coupled with the backing Dollar sales worldwide last year up of interest rates, is providing were $37.1 billion, down 3 percent near-teron constraints share 1981's from $38.2 billion. prices, he said "The more prices the Ford Chairman more violent become extended, Philip Caldwell the correction is likely to be on the and President Donald E. Petersen said the losses were reduced in 1982 downside. g and by the use of a Some market analysts sav the by different procedure for accounting 1.100 mark is a tough one to cross, for operations abroad. and some brokers program compute A ers to sell stock automatically $154 million tax credit in the United Kingdom affected 1981 whenever the Dow reaches a multilosses, but was not part of the 1982 ple of 100 - such as 1.100. Wall Street Observers Steadfast That Market Will Fall Soon NEW YORK Page 8 $657.8 Million Loss Campbell Soup Campbell Soup was chilled a point to 44:i on flat earnings. Beatrice Foods gained 1 to 24 V Comsat climbed 14 to 69V Fays Drug Stores rose 14 to 164 and Nairn Chemical 4 to 32. 898-67- l!JM Ford Motor Co. Notes Setbacks in 1982, to 7UV it Monsanto shed 14 and Lockheed, IV Ilershey Foods fell 2 to 504 and Coachman Industries, 14 to 29V Monarch Machine boomed 3 to 234. Metromedia soared 19 to 353 D 18, results, they said. "We are particularly pleased with the companys progress in reducing costs," Caldwell and Petersen said in the statement. "In total, ongoing operating costs have been reduced by over $3 billion since 1979. However, they added that depressed vehicle sales worldwide due to the recession have offset much of the gain from cost-cuttin- st cost-cuttin- one-tim- Bruce II. Cundick Deseret Federal President B.H. Cundick Elected S&L Leader Deseret Federal Savings and Loan Association announced election of Bruce H. Cundick as presi- dent and chief executive officer. He succceeds Emerson Hardy, 62. who is announcing his retirement after 12 years at the helm of the $244 million savings institution. Mr. Cundick, formerly treasurer and chief operating officer, will be succeeded by John G. Cecil. Mr. Hardy, who joined the firm in 1946 as an accountant in the Salt Lake City office, will continue as chairman of the board and as a consultant. Mr. Cundick, a University of Utah MBA graduate, joined the iirm seven years ago. For the past year and a half, he also has served as executive vice president. |