THE MARKET Struggle to hold on

Press, 15 July 1985, Page 32

THE MARKET Struggle to hold on

The Wall Street stockmarket struggled to hold its ground last week, as traders seemed to grow increasingly concerned over the new signs of economic weakness that helped to send interest rates lower.

A monthly survey by the National Association of Purchasing Management found a continuing decline in manufacturers’ business activity during June. The association’s composite index fell to its lowest level since December, 1982, when the American economy was just beginning to pull out of a recession.

However, the chances of a weakening U.S. dollar helping the profits of U.S. business assisted share prices. Analysts said the market was confronted with a mixture of favourable and not-so-fav-ourable economic and financial news.

The Labour Department reported that the U.S. producer price index of finished goods was largely unchanged in June, indicating that inflationary pressures remained subdued.

Separately, the Commerce Department said retail sales dropped 0.8 per cent last month. Brokers said the weakness in retail sales might ordinarily have been taken as a possible portent of further relaxation of the U.S. Federal Reserve’s credit policy. But lately the “Fed” had also had. to consider rapid U.S. monetary growth in plotting its course. Late on Thursday it reported a SUS 4 billion jump in the basic measure of the money supply for the week ended July

Closing prices on Friday, in U.S. dollars, of a selection of shares were: Alcan, 24%; Alcoa, 34; AmeradHes, 27%; ABC, 114; AmExpress, 47%; AmMotors, 3%; ATT, 23%; Armco, 8%; Asarco, 22%; Atlßich, 58%; BethStl, 17%; Boeing, 47%; Borden, 40%; Burroughs, 56%; Chrysler, 34%; Citicorp, 50%; Coca Cola, 73%; Colgate, 27%; CBS, 116%; ContlGrp, 43; Crane, 37%; DarandKrft, 36%; DigitalEq, 94%; Disney, 87%; Dome Mines, 7%; Dow Chem,

35%; DuPont, 57%; East Kodak, 45%; Enghlhrd, 26%; Exxon, 52%; Firestone, 21%; Fluor, 17%; Ford, 43%; FrptMcMor, 19%; GenDynam, 78%; GenElec, 60%; Gen Motors, 68%; Gen Tire, 47%; Goodyear, 28%; Greyhound, 29%; Grumman, 30%; Gulf Western, 39%; Haliburton, 28%; Homestake, 24%; Honeywell, 62%; IBM, 124%; IntlHarv, 8%; INCO, 13%; ITT, 31%; Levi - trauss, 45%; Lockheed, 54%; Manville, 5%; JhsnandJhsn, 49; KaiserAlu, 12%; KMart, 36%; McDonald’s, 67%; McDonDoug, 83%; MGM, 16; MMM, 78%; Mobil, 29%; Monsanto, 50%; NCR, 31%; NewmMin, 42%; Pfizer, 52; PhelDodge, 19%; Phil Pet, 11%; Polaroid, 32%; RCA, 46%; Raytheon, 51%; ReynMetal, 36; RoylDPet, 60%; Seagrams, 40%; Seasßoe, 36%; SheDßt, 37%; Sperry, 51%; Chevron, 37%; SOilOhio, 45%; Texaco, 36%; Texaslnst, 99%; UnionCarb, 48%; USSteel, 26%; WestgElect, 35%; Wwths, 46%; Xerox, 54%; Schlumberger, 37%; MerrylLynch, 34%; Occidental, 32; Heinz, 56%; Clevel’d Cliff, 20%; Inter-North, 43; Amer Airlines, 50%.