Shanghai, Oct. 19, General: During the period under' review the stock market has maintain ed a strong undertone as motors led the advance with Chrysler reaching highest point since 1929. The industrial average made a new 1934-35, high of 196.25 on Tuesday and the turnover increased as buyers came into the market on bullish business prospects, At the end of the week prices were moderately irregular when traders became cautious and were prone to take profits due to the gravity of, the European sanctions situation, Third quarter earnings re~ Ports of several companies released during the week a decided improve-mont over last year, Wheat dectined on heavy selling by the Canadian pool and it is feared that the now Canadian Administration may continue to dump the large pool holdings, Cotton closed on the downside although there were reports speculative accumulation on the be-Niet that the consumption outlook is to outweigh a possible Supreme Court decision on involving the cotton process Stock Outlook: The recent warning Mr. Gay, President of the New York Stock Exchange, that injudicial juse of America's vast amounts Jeredit will result in inflation of s¢c~ purity prices and the doubt expressed by a Federal Reserve Board oficial as whether or not the Board can con~ {trol credit conditions has accentuated Inflation fears in Wall Street. Coupled with this are good business prospects Jand reports of increased earnings for the third quarter by some of the leading industrial companies. For the ist week traders appear to have Ignored the coadict in Abyssinia with more attention to domestic developments, It ty generally conceded that European war would stimulate American business and that America should be able to maintain neutrality {for at least a year. With a steadily rising market for the past month and 'a half, except for two. short-term Feversals, the general trend appears upward and It would seem advisable for investors as well as traders to take a position in the market by making rise of any technical reactions that may occur, The Information contained in these circulars Is primarily for the con-Adential use of our clients, and is given as a personal service to them. Although sll Information received Is from sources we consider reliable, we cannot for obvious reasons guarantee for higher levels. Copper fell peace rumors but recovered towards the and of the week as the European situation became more serious.
The Market in Figures:
Thursday oct 10 0837 Change!
13290 13587 up 2.86
Rats mar Kup Average for Uihiies 2588 up 98.19 up 09 Deg. 1 Come modity Index 699 oft 23 caterpillar "Tractor chr Chicago Wheat Winnipeg Wheat Corn Cotton Stee! operations (9% of capacity) aer ses Garloadings (carloads) 631,000 107,000 Blectrie power pro= duction, Cksw.rs) 1,863,000 +1807,00
Average datly (cars) r mn)
Production (bbls) 2,120,000 229,00 S000 omitted ity Bank war toon, 3496 nea O° aay seth 44% Bonds, 1898 101g 1013 41% Loan, 1908 E23
52, Keane tan, Gold Bonds, 1925-47 '6y See Tent 23 moan niliway Pay Hukuang Rly. 1911 Bo"
Lung Tsing U. Hat Ty eet German Int. Loan, ise 51)
Text read from the printed page and cleaned; old type leaves the occasional error.