AMONG THE WOLVES

Roosevelt Goes Episcopallan

"And I have left undone the things that I should do," epitomizes the reaction of business to the latest fireside talk. Balancing the budget, limiting public way expenditures, and replacing the brain trust with practical business men were the chief sins of omission. The Ogden Nash reference to the banking fraternity was also misleading as the British bankers did not cooperate, until the government specifically stated its program of strict economy and balanced budget.

Belling of the Beagle

Despite soft shushing, the first of the R's, so characteristic of the Roosevelt Regime: Recrimination, Resignation and Reorganization, are registering in the Securities Commission. The scavenger instincts of Protector of the Public Pecora scenting a tainted situation in the matter of B.M.T. bonds, have caused that noted headline hound to break forth into full cry, to the consternation of the youthful counsel for the Commission, who, it is said, Burns Pecora up. Any inquisition at this stage will prove a killing frost to the budding confidence of security holders in the S.E. C.

Likes Hog Money Despite Odor

It's no reproach among hogs to be a bit of a swine and the influence of the Corn-Hog money dispensation reflects itself very clearly in retail trade which points upward for the next several weeks. Despite a sharp decline in grain prices caused by a drop in sterling and the favorable crop reports in Canada and the Argentine, farm stocks have been very buoyant, which indicates that fodder for the farmer from the Government silo is as efficacious as high prices for his products.

Uptonian Effects

The sharp drop in California oil, utility, packing, and merchandising stocks as well as bonds during the past week, reflects the reaction of security holders to Sinclair's campaign. His chances of election at present seem about even. The situation from a market standpoint is intriguing as market weakness in one group of stocks often precipitates a general selling movement.

Loitering With Lachesls

It is a bit difficult to determine from the pattern of the market, whether the Fates are weaving diapers for a baby bull market or whether Clotho has in mind cere cloths for security holders. The "coming rally" we anticipated last week has eventuated and pauses at the 93 level (Dow, Jones), previously mentioned. The hopes and fears of security holders are now centered on a focal point from which a vivid movement may be expected. While we predict further upward movement, this conclusion is more or less empirical and we are prepared to reverse positions upon failure of the averages to cross the 96 level. The more conservative of our readers will await a penetration of this level, as there will be plenty of profits from that point on. Those who are speculatively inclined, should stay long, with stops judiciously placed.

Hair of the Dog

After a long sobering up period following the Bacchanalian orgy of July, 1933, the liquor stocks again show promise. The old drinker's advice to "take a little of the hair of the dog that bit you" may prove profitable, especially Distillers and Schenley. Other good bets are Chrysler and Harvester. Among the rails, Atchison in the upper price range, and Southern Pacific and Southern Railway in the lower brackets look attractive.