Wall Street last week

Press, 6 October 1980, Page 22

Wall Street last week

The Wall Street stockmar'iket recovered last week (from a sharp tall on Monday, and the Dow Jones industrial index closed the (week with a net gain ot j 10.58 points. ’ I On Monday the Dow Jones average of 30 indust* rials plunged 18.17 to close at 921.93. the largest singleday decline since the_blue-i (chip average fell 19.71 • March 24; the index fell 50; points in a week. Losers outnumoered ■ gainers by an 11 to, 1 •margin on the New York (Stock exchange. However, prices rebounded ion the next four dhys. analysts attributed this to bargain hunting and a positive interpretation of the 'news on August leading indicators.

The U.S. Government reported a smaller-than-ex-i.hected 11.9 per cent rise in the index of leading U.S. economic indicators tor August. The news was taken as a sign that the economy might not be gathering inflationary momentum as fast as had been believed.

That, in turn, raised hopes for a let up in the pressures that have driven interest rates sharply higher lately. But meanwhile several large banks raised their prime lending rates from 13 to 13.5 per cent, and Citibank, — the nation’s second largest—-

its rate from 13 to 14 per cent. The Government also reported that its index of producer prices of finished sroods dropped 0.2 per cent In September. The decline — the first in the index since February of 1976 — had not been expected on Wall Street. At mid-day. the market picked up further momentum when Mr Paul (Volcker, chairman of the U.S. Federal Reserve Board, said that he believed the markets had been “overreacting" to recent growth in die U.S. money supply.

Closing prices on Friday of a selection of shares were:—

ABC. 33-5/8; Alcon, 36-1/4: Alcoa, 71-3/8; Amax, 49-5/8; Amarada Hess, 36-3/4; Am Express 36-5/3; Am Motors, 5.3/3; Amico 32-1/2; Asarco, 47-1/4: A. T. and T.. 52-1/4; ATL Rich. 55-7'B; Beth Steel. 24-3/8; Boaing, 40-3/8; Borden, 25-5/8: Burroughs. 62-7/8: CBS. 51; 20 1/2: Coca Cola. S 3 1/3: Cont Oil. 60-1/8: Digital Eq. 92-3/4; Disney. 473; Dome Mines. 1195; Dow t hem. 33-7/8; Du Pont. 45; East Kodak. 67-5/8; Engelhard, ~ 55-5/3; Exxon, 73; Firestone. 8-1/4; Ford. 27-1/2; Free Min, 64-1/4; Gen Dynam, 68-5/8; Gen Electric, 53-3/4; Gen Matora. 53;. Ger. Tyres. 19-7/8; Goodyear, 15-3/4; Greyhound. 141; Grumman, 26; Gulf OU, 431; Hah. burton. 135-7/8; Homestake, 681; Honevwell. 88-1/4; IBM: 66-1/8; Int Harv. S 4: Inco 23-5/8: ITT,/ 32; J. and J„ 82J; Johns Manv, 27* Kaiser Alum. 263; Kennecott. 293: K-Mart 201; Lockheed. 351; McDonalds, 48; McDon Doug. 38i; MGM. 8-1/8; M-M-M. 59; Mobil. 72J; Monsanto, 513; NCR. 69i; Newm Mln, 531: Pfirer. 463: Phe! Dodge, 353; Phil Pct, 50 J; Polaroid, 291; Pullman. 47.: Raytheon. 921; RCA, 27; Reyn Metal. 38; Royal Dutch, 91: Seacram. 581; Sears Roe, IBS; Shell Oil. 461; Shell Trans, - 401: Snerry Rand, 511; St Joe, 61J;- Socal. 841; Texaco, 36!; Texas Gulf. 54 i: Texas Inst. 1343: Union Carbide. 461: Union Oil 443: US Steel, 22: Westinghouse. 27: Wwths. 24-7/8; Xerox. 69-7/8.