Show MONEY r ONEY RATES TAKE OEM DECLINE Rail Shares Str Strong Motor Rail Group Booming Oil Copper Drop I HY nY STUART STU P WEST EST I Special nt of ot TI O I I I Copyright 1925 by The dated Press Association NEW EW YORK April The IS-The 18 main events of the last In InWall Vali street have a decline In Inmane mane money rates the consequent hardening of ot Investment valuations valuations n a share hare list for tor the roost most part on the he the upgrade and very I developments de In out out- outside outside out outside side business Had the posItion been what It was a month ago there would have been more aen- aen sen sensitiveness shown to the Industrial data dala which has certainly not been Inspiring But thanks to the li- li liquidAtion li liquidation which occurred In the stock market during the latter halt half of ot February and through March and thanks to the slow slow- slowdown slowdown slowdown down In Industry conditions have been put on a sounder basis I The principal point about the stock market of ot the week Is the WaY wy It has stood up against Un- Un Unfavorable un unfavorable favorable trade news There has I been additional testimony to fact that steel production hu has come down and what Is of mor consequence that steel price I have kept on declining In com corn comparison comparison parison with what was expected at the outset ot of ot the year steel conditions are aro distinctly disappointing disappointing disappointing pointing The margin ot of profit for all but the lowe lowest t cost pro pro- producers producers pro producers Is unsatisfactory COPPER WORSE The same thing Is to be said for the copper companies Dur- Dur DurIng During Dur During ing the winter the copper metal sold as high as 16 c a pound I IThe The Dawes plan had been adopted I and there was much talk about 1 European reconstruction and how this would Increase the demand for copper Predictions along this I line have bare been upset as badly In copper as In steel Only those copper companies like the South Americans which have ha low labor costs can pretend to make much money at the present price level of at 13 cents A year ago the sugar companies were selling their sugar at from 4 i to 4 cents a pound NoW the price has hos sunk to 2 5 16 5 cents Consumption will be stint stint- stimulated stimulated by these low v prices but It ItIs itis ItIs Is very doubtful whether It will expand to an extent anywhere near sufficient to offset the en- en enlarged enlarged en enlarged production In Cuba and elsewhere which Is Indicated OIL CUTS NECESSARY NECESS When It comes to the oil trade the position Is also at variance with what had been hoped for I three and four months ago The latest figures revealed the largest weekly Increase In the output of crude oil reported In some t e This with the recent price culling has necessitated a revision of views regarding the oil outlook and the profits proms which the oil all companies ares are likely to make In 1925 It t has ceased to be a secret that oil men do not relish hat has been happening since the first firsti 1 of at the tho year They recognize that the January price advances ances w wre w re unwarranted and that they oter- oter stimulated over stimulated new production The tear fear Is that this will lead to further price ted reduction and the market lot for the oil shares Is show show- showIng showing ing trig the these e misgivings plaInlY RAiLS Ri STRONG On the other hand railroad stocks of ot the better class have been strong because of ot the at- at attractiveness at attractiveness of their yield In vl w wot ot of the recent decline i in money rates There have been some re- re revival re revival vival vivai of ot Interest In the lower lower- priced lower priced non dividend paying mem mem- members members bers hers of the group because c con con- consolidations con consolidations n- n Is only temporarily helpful from a speculative stand stad standpoint point however howe It works out In Inthe Inthe Inthe the end The time has haa passed where railway combinations are to be formed taking over the constituent ent ant stocks at fancy prices These stocks are arc not going to be worth more because of at the fact tact that they are going Into a consolida consolida- consolidation tion ion but only In consequence ot of the Increase that may bo be brought about In actual values thrOugh the economies economics of at Joint operation and better belter traffic MOTOR GROUP GHOUL BOOMS IS The automobile companies ac- ac according according ac according cording to 0 the most authentic In- In Information information In Information formation did not have ha a 0 good first quarter But they are going to have o a 0 very ery much better see see- sec second ond and quarter one ono which will go gowell gowell gowell well ahead of at the same ame period a year ago This Is the basis back backof backof ot of the buying of at the motor shares share which was a leading feature all last week The suggestion Is that it If these business conditions keep kep on the way they now point there will be an Increase In dividends before the year Is out In some somo of at the big companies The past week has been marked by very sharp variations In grain prIces and by Ly some recover recovery In cotton totton In la the latter case the tho figures on domestic consumption and on exports have hare counted On the tho stimulus of ot low prices the American mills In March took bales against a year ear ago and exports rose to bales against In March 1924 Both Bolh with grain and with cot cot- cotton cotton cot cotton ton the Immediate Interest cen centers tars tera In weather conditions and It ItIs itis ItIs Is too early to venture predictions prediction regarding the new crop yields a 1 STRONGER French francs have gone higher during the week and the selling of French government securities has been checked This recovery does not signify more at present than that there had been a a lot ot of short selling on th the tho expectation that that under the latest political crisis French capital would take fright and start leaving the coun coun- country coun- coun country country try the way WilY It did tour four and five months ago When this scare did I not materialize speculators who had gone short took In their thell com corn commitments The financial markets markels have cpr cpr- cc- cc certainly not passed final judgment upon the situation as u It Is likely to be under the new ministry But Dut they have given a note of ot ap- ap approval ap approval oval of the fact tact that the new powers power are against a capital levy and will seek to put through the necessary reforms along the line of Increased taxes |