This is the seventh in a series of articles appearing each Monday in the Crimson, which deal with current political and economic questions in the light of stock market transactions. The Crimson has been fortunate in securing the services of an astute observer of market fluctuations, whose excellent opportunity for viewing affairs on the exchange first-hand, recommends the series to readers.

As Goes Steel

It is one of our basic theories that the market is constantly declaring itself by evaluating news as it develops, and consequently that the best informed insider cannot utilize his information without apprising the astute observer of the moving tape as to his expectations. In this connection it is interesting to note that there is a distinctly discernible increase of interest in the heavy industry stocks although not as yet justifiable from a statistical point of view. These stocks include; automobiles and accessories, machinery and equipment, and notably the steels. For years we have listened to the prattle of the economists that recovery movements manifest first in the lighter consumer industries and then in the heavier industries. If the present hint given in the market may be relied on, the world is wagging on in much the same old orthodox economic fashion despite new deal experimentation with recovery serums and social antitoxins.

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A Muddled Huddle

With quarterback Roosevelt temporarily out of the game, sojourning in the sunny south, the Washington ball-toters emerge from the huddle with four different players, each calling separate signals. Ickes insists on an aerial thrust, "Bigger and Better Government Spending," and Moffet wants a power drive, "Let Private Business Do It." To complicate matters further, Hopkins demands a PWA play as Wallace insists his triple A threat will deliver the goods. This is a fascinating spectacle in all its ironic humor recalling satirical memories anent Ford's famous Peace Ship of some twenty years ago. All we need now is the fighting slogan, "Out of the Depression by Christmas."

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The Nadir of Disrepute

Many an old New England fortune founded on that respectable word, "rum," has been very nearly dissipated by that reprehensible word, "utilities." Those remaining "genteel poverty" holders of utility stocks should be heartened by the acquittal yesterday of Sam Insull, hounded by a vengeful government in every far corner of the world, only to be hailed "not guilty" by the courts. This verdict following on the heels of the recent Tennessee pronouncements may mark the nadir of utility disrepute. Perhaps the majority of utility stocks have at last passed into nobler and purer hands who will at some later time, dispense them at profitable prices as a reward for their virtue and foresight.

Onwards and Upwards

The crossing by the Dow-Jones rail average of the 37 to 38.50 price level would constitute an auspicious augury for the bull forces in the market. Should this occur it is probable that the industrials will touch the 106-107 level before meeting serious resistance. From all indications the rise is about to be resumed with the steel, rubber, and liquor stocks in the van. Only quick turn-traders need be apprehensive of a reaction as the market shows no signs of a possible top. Should a topping formation occur, there will be plenty of time for swing followers to retire with ample profits.