SHARE VALUES FALL

Dominion, Volume 31, Issue 105, 28 January 1938, Page 11

SHARE VALUES FALL

Big Wall Street Decline (Received January 27, 8.55 p.m.) New York, January 26. The stock market turnover was 1,606,000 shares, the second heaviest for the year. The decline was the widest since December 13. Feeble attempts to rally failed and the final prices were mostly near the day’s lowest levels. The “New York Times” says financial circles took the pessimistic view that President Roosevelt’s statement nullified the most recent optimism based on the hope of co-operation between business interests and the Government. A Washington cablegram published yesterday stated that President Roosevelt had made to the Press a significant statement designed to stop wage-cutting, arising from business recession. He said that wage reductions in industry made workers carry the burden of business relapse, which was just as unfair as if the bondholders were made to do so. He stressed the necessity of maintaining the purchasing power of the worker. “Industrialists kill the goose that lays the golden eggs when they keep up prices at the expense of employment and purchasing power, or cut wages and thereby reduce purchasing power. Either policy is suicidal,” said the President.