Technical Market Action After five successive days of higher closings, the market worked lower on Monday. The industrials closed dOl'!l 2.39 at 167.50 Vlhile the rails were 1.05 lo,ler at 48.53. However, considering the size of the reaction, the volume, at 810,000 shares, was smnll. Lack of buying power, rather than selling pressure, seemed to be the major factor in the sell-off. At the close prices wore rallying midly. See no change in the technical pattern and continue to advise purchase, on weakness, of the twenty-five issues recently listed. Still believe the trading range of the last twelve weeks is a base or re-occumulation area. Its a lower priced specula.tion, the common stock of General Cable offers interesting profit possibilities. The technical pattern has, potentially, an extremely favornble formation. Over the past few years, the stock has a very mediocre record marketwise. After reaching 32 1/2 in 1937, the common reacted to a low of 5 7/8 in 1938. The late 1938 rally carried it back to a fraction above 19. From that point it declined to a 10 of 2 in 1942. fl. slow rally carried it back to a high of 16 3/8 this year. In the recent reaction it reached a low of 8 1/2. Present price is around 11. A recapitalization plan earlier in the year through exchange, public offering and redemption, the old 7 preferred with dividend arrears of over 50 a share and also eliminated the old A stock with 4 a share in arrears by exchanging each sh8re for four shares of common. This sharply increased the amount of common stock authorized ond'outstanding. The present capitalization is – r.uthorized Outstanding 4 Cumulative 1st Pref. (100 par) 150,000 4 CumulAtive Convertible 2nd Pref. (50 par) 150,000 (2t(Convertible into 3 common thru July 1,1951) shares thru July 1, 1956 and 2 shares thereafter) 150,000 150,000 Common (no par) ,3,000,000 1,898,614 Earnings for the first nine months .on, the common were 35 cents a share, due to a large deficit in the first quarter. However, third qUBrter earnings were 1.15 a share. Technically, the common stock has built up a potentially strong base arca in the 10-12 area and indicates a possible good intermediate rally percentRgewise. The long term pattern is also potentially favorable. The stock is one of the twenty-five issues recently recommended. It is suggested e.s a speculation viith possibilities of wide pcrcentage appreciation. EDMUND TABELL December 2, 1946 SHIELDS & COMPANY Closing Industrials 167.50 Dow-Jones Rails Dow-Jones 65-Stock 4S.53 61.1S The opinicnl expressed in this letter ere the person051 interpret1!ltion of cherts by Mr. Edmund W. Tabel! and are not presented as the opinions of Shields & Company.

Technical Market Action On transactions of 2,840,000 shares, the largest since the September decline, the market moved sharply higher on Monday with the industrials gaining 4.74, the rails up 1.82 and the utilities up 59 cents. The closing levels of both the rails and utilities vlere new high closings since the decline. The industrial closing of 175.75 did not quite reach the previous October 15th high of 175.94, nor did the intra.day high of 176.48 quite reach the previous high of 177.05. The New York Times and New York Herald-Tribune averages are not available a t this writing but believe they reached new high territory. A great many individual issues have 111so pnssed previous resistanc8 levels. It seems a reasonable assumption that the intermediate trend is novi signalled up. The technical action of the market since the September decline has been excellent. Selling pressure has been consistently declining as is evidenced by the decreasing volume on each reaction. The continued backing and filling in the thirteen-week trading range has built up a substantial base pattern, This situation, coupled with the fact that the majority of individual issues have reached their downside objectives, has led me to assumo a bullish attitude over the past two months and to advise accumulation of selected issues on all reactions, Todayfs action confirms this advice and I believe the market is in an intermediate uptrend. The rally objective of the Dow-Jones Industrials indicates a rally to the 190-200 area, the rails to 58-60 and the utilities to 39-41. Objective on the New York Times average is 130-135 130-132 on the Rerald-Tribune average. ObViously, such an advance will be punctuated by technical corrections but believe that we can now assune the attitude that until the above levels are reached, the market is a buy on all minor dips. Selected issues, of course, indicate larger percent- age advances. If the advice of recent weeks has been followed, the 25 stocks consistently reconmended have already been purchased, but for addi- tional funds, suggest the following issues, all of which have built up SUbstantial bases and still suggest substantial appreciation possibilities. They are – Certain-teed, General Cable, International Minerals & Chemical, Penn-Dixie Cement, Simmons and Union Bag & Paper. For smaller investors who have sufficient funds to fully diversify holdines, suggest U. S. & Foreign Securities. The stock is an investment trust with a high leverage factor and should show a larger percentage increase than the general market, December 9, 1946 EmIDND W. TABELL SHIELDS & COMPANY glosing Dow-Jones Industrials Dow-Jones Rails Dow-Jones 175.76 52.67 64.74 The opiniorn expraued in this letter re the personal interpretation of cham by Mr. Edmund W. Tabel! end ere not presented as the opinions of Shiekls & Company.

Technical Market Action The oarket sold off on Thursday oh voluee of 1,060,000 shares. The industrial average closed down 2.16 at 173.91 and the rails donn 81 cents at 51.46. Thursday's close and at the day's low of the industrials had not closed Monday's gap bounded by B high of 171.61 and Monday's low of 173.43. Ability to hold this gap open woUld be extreoely constructive. A closing of the gap would indicate a further dip to 171 1/2 – 171. For the shorter tero, advise purchases on weakness or on of ability to hold around the 173 area. Listed below are the base counts or Ultioate rally objectivee on the twenty-five issues recoooended over the last few weeks. In addition, have listed base counts on sooe market leaders and other issues uith large base foroations. Not all of these individual issues have broke,n out of their base foroations to indicate uptrends. However, a sufficient nueber have broken out 'to indicate the possibility that the others will eventually. Obviously, all are not expected to reach objectives at the sane time. are for the intermediate term of the next couple of oonths. Last Alleghany, pfd. 371/2 , Aoerican Bank Note 301/2 Cyanamid – 49 Amer. & Fgn Pr.2nd pf 227/8 Amerio/!-n Roll. Mills 3/4 Aoerican Smelting 547/8 American Water Wks 17 Anaconda 391/2 Atchison 95 1/2 Atlantic Coast L1ne 52 1/2 Ohio 161/4 BaIt. & Ohio pfd. 23 5/9 E. VI., Bliss 23 CertainTeed 183/8 Chic.MU & St.Paul 143/4 Chic.Northwestern 221/4 Chrysler 861/4 Cities Service 271/2 Crane & Co 363/4 Doehler-Jarvia 331/4 Eagle Picher 211/4 Elec. Power & Lt 17 Evans Products 20 General Cable 11 5/8 General Motors 53 Creat Northern pfd 481/2 Gulf,MobUe & Ohio 13 3/4 Houston OU 19 Illinois Central 251/2 Inter. Minerals 311/8 Inter. Nickel 327/8 Inter. 16.1/2 Jones & laughlin 341/2 Price 53 – 55 42 – 47 U; – 65 ;l!l – 40 /.5 – 51 67 .. 73 27 – 32 49 – 54 115 -133 66 – 71 19 – 23 35 – 45 29 – 31 25 – 32 22 – 26 32 – 35 108 -114 34 – 38 50 – 68 38 – 40 27 – 30 23 – 26 27 – 32 16 .. 19 59 – 64 57 – 67 20 – 22 26 35 – 43 40 – 43 38 – 40 25 – 27 47 – 53 Last Sale Kenneott Mead orp O 211/2 M-K-T pfd 241/8 National Malleable 261/4 National Supply 141/2 New York Central 183/4 Northern Pacific 21 1/2 Paraoount 33 3/8 Penn-Dixie Cement 21 3/4 Pepsi-Cola 26 3/9, Rayonier 23.7/8\ Raytheon 9 3/4 Republic Steel 27 Rl'jvare Copper Reynolds 35227X92 Seaboard Air Line 21 ShaJmock OU 231/2 Shell Union 30 5/8 Siooon8 .39 Southern Pacific 47 1/2 Southern Railway 44 1/2 Square D 19 Standard Gas 4 pf 30 3/4 Standard OU N.J. 6S Texas Pac.Coal & 0 24 Tioken Detroit 197/8 Union Bag 29 3/8 Union Carbide 92 1/2 U.S.& Foreign Sec '203/4 ' u. S. Steel 71 3/4 West Indies Sugar 33 1/2 Youngstown S &,T 66 5/8 Price Ob,jective 55 – 59 27 – 35 34 – 40 35 20 – 23 21 – 23 29 … 33 39 … 42 31 – 34 33.' 37 31 – 33 15 – 16 37 – 42 33 38 -,45 28 – 30 .-.., 30 – 32 43 – 45 49, 59 55 – 67 55 – 67 27 – 30 48 – 56 77 -85 35 – 38 29 – 33 47 110 -133 26 – 29 87 – 93 49 83 – 90 December 12, 1946 EDMUND VI. TABELL SHIELDS & COMPANY Closing Dow-Jones Industrials Dow-Jones RaUs Dow-Jones 65-5tock 173.91 51.46 64.00 T.b.nTh. opinions expreued in this letter ere the personal interpretation of cherts by Edmund W. end .re not presented as the opinions of Shields I Company. …

Technical Market Action Since last Mondayls rally the morket has and filled in the 177-173 range with volume declining on soft spots and picking up on rallies. The gap opening of last Ionday between, roughly, 173t and l7lt, has not been Closed. Failure to close this gap would be constructive technically, bute.ren if it is closed, 'Quld expect support in the 171-170 area. An increasing nunber of seen capable of moving ahead regardless of dullness in the general oarket. Also, a sufficient nunber of issues have broken out of their Septenber-Decenber trading range to indicate the probability that these ranges were accunulation bases and that the market is in an inter- nediate uptrend. Continue to advise retention of issues and purchases on ninor weakness. Two individual issues of quite different narket rating and volatility sho'l rather interesting technical patterns. The first, American Cyanamid, is a higher grade issue that usually noves in a rather restricted price range. Its high for 1946 was 63 3/4 and the low wos 4lt. Last sale Bas 49. The stock has built up a sizeable base in the 49-42 area and a breakout to 50 would indicate an intermediate move to the 60-62 zone with higher levels indicated for the longer tern. The second issue is Standard Gas 4 preferred. The stock is a very volatile nover and occupies an extrenely speculative position in the Standard Gas set-up. However, its penetration to 33 on Monday indicates the possibility of a to the 48-56 area. The stock has had a wide price range for the year with a high of 60 3/8 and a low of 20 5/8. The last sele was 32 5/8. Decenber 16, 1946 ErMUND W. TABELL SHIELDS & COI.!PANY Dow-Jones Indusrials Dow-Jones Rails Dow-Jones 65-Stock 174.85 51.88 64.40 .t.Th. opiniOlU .Ip'….d ill this ,…., are the persona' interpretation of charts by Mr. Edmund W. Tab.1I end not pre.ented 8' the opinion, of Shields & Company.

Technical Market Action The intermediate trend of the market is now confirmed as up. At Thursday'S high of17S.06 and closing of 177.29, the Dow-Jones Industrials average penetrated the 175-177 resistance area. This 2ction confirmed previous breakthroughs by the raUs and utilities and by the Nell York HeraldTribune average and NeVI York Times average. Exact upside objective levels are not exactly clec.r but would venture the opinion that the 190-200 level would be the first objective. Price objectives for over sixty iswes were outlined in the letter of December 12th. Buying should hav been done on werucness over the past two months ao outlined in these letters. For those who have delayed, suggest purchase of issues furthest away from indicated price obj ecti ves. December 19, 1946 EDMUND W. TABELL SHIELDS & COMPANY CLosing Dow-Jones Industrials Dow-Jones Rails Dow-Jones 65-Stock 177.29 52.47 65.20 rhe opinions alpressed in thi, letter are the personal interpretation of chart. hy Mr. Edmund W. Tebel! .nd lite not presented as the opinions of Shields & Company

Technical Market Action After five days of advancing prices, the market eased off fractionally on Monday on reduced vOlume of 1,170,000 shares. Continue to like technical action and consider the market a purchase on minor corrections. Belated tax selling may result in some irregularity over the neAt few days, but lifting of this selling pressure and large re-investment demand should result in higher prices by the end of the year and into the first of the new year. Several of our recommended issues such as hnerican Cyanamid, Doehler- Jarvis, Rayonier, Reynolds MetG.ls and Standard Gas 4 pfd. have advanced sharply from their lows while others have shown less resiliency and are still relatively close to their buying levels. Consider such issues attractive. stocks are American & Forei Power 2nd fd. with a high of 44 1/8 and a low of 18 as compared with a last sale of 23 5 8, Baltimore & Ohio, pfd, at 23 1/4 with a 1946 range of 47 1/4 and 18 1/2, National Supply, which closed at 15 against a low of 11 7/8 and a high of 25 and Union Bag & Paper at 30 1/4. This last issue is particularly attractive technically and is Quite close to its upside breakout point of 31. Its pattorn indicates a priCe above the 1946 high of 39. if MERRY CHRI STMAS December 23, 1946 EDMUND W. TABELL SHIELDS & COMPANY Closing Dow-Jones Industrials Dow-Jones Rails Dow-Jones 54-Stock 177.36 51.84 64.97 The opinions expressed in this letter are the perlOnel interpretation of charts by Mr. Edmund W. Tabell end are not presented as the opinions of Shields & Company.

Technical Market Action It has been iong ago, a matter of five Y8ars, since tax selling has beGn an importo.nt feature of year-end markets. From 1942 through 1945, the market, at the yea.r-end, was close to the year's highs or at least considerably above the year's lovls. Now again in 1946, selling to establish tax losses haS again become feasibJe proceeours. This has resulted in considerable urcgulari ty over the past few days and it has been interesting to note that the bulk of the selling has been tn issues that are selling close to their year's low while the s';ocks that have been showing better-than-average action are holding firm. To illustrate, one of our recommended iss,ues, American Cyanamid, was a point hieher i,n a. weak market. Other recomnended iSb'Ues such as American Rolling Mills, Cutainteed, Crane Company, Doehler-Jarvis, General Cable, Rayouier, Revere Copper, Simmons and Union Bag also held firm. Qui te often firmness in a soft market gives a clue to the market leaders of the next upsvnng. On the other hand, would also expect a sharp rally in the issues now subject to tax selling when the selling pressure is reloased. Believe the action of the market normal and while there may be a day or two more of irregularity, exp6ct a good year end rally and a strong in January. Consit1e1' the present softness an excell en t buying opportuuity. Suggest purchc.se of recommended issues. December 26, 1946 EDMUND VI. TABELL SHIELDS & COMPANY Closing Dow-Jones Industrials Dow-Jones Rails DoV/-Jones 65-Stock 175.21 50.93 61..09 The opiniGns expressed in this letter ere the personal Interpretation of charts by Mr. Edmund W. label! end ere not presented as the opinions of Shields & Company.

Technical Market Action Monday's market was another cross current affair Vii th some issues moving higher while others, under the pressure of tax selling and year end re- adjustment, closed fractionally 10wer. Changes in the averlges were fractional with the industrials up 46 cents and the 10 c'3nts lower. American Tele- phone was a feD-ture on the upside with a gain of 3 1/4 points. Continue to like the action of the murket even though the year end rally not yet materi;lized. HOliever, th action of 'individual issues suggests a near term resumption of thE; intermedillte advance. Moreover, the possibility of an important decline in prices seems extremely remote. Four months ago, the market stDrted a decline that culminated in a 101'1 of approxim9.tely 53 points under the year's high. That decline pre- sumably took into consider3tion a series of dire events that in the main, have not yet occurred. For the past one hundred and twenty days, the market has fluctuQted in a relatively narrow trading range just a few.points Qbove the lows of the yeur. The from these lows has been moderate – u matter of eighteen points from the extreme low to the extreme high. If the price advance is measured from the mean of 165-170, an area in which the market has spent the majority of its time span, the rally has been even more modest. Certainly, the market does not appear to be in a weakened, overbought condition with a large speculative follovnng. In fact, the market is probably in the soundest technical posi tion -that it has been in for several years. The speculative fringe has been largely eliminated and stocks are in strong hends. EVGn if some of the fore- casted adversities do actually occur, the market would appear to have discounted the major part of the unfavorable developments. However, antiCipation of possible trouble is no indication of its actually coming to pass. In a nutshell, continue to advocate the purchase of selected issues in anticipation of at least an intermediate term rally to the 190-200 level in the Dow-Jones industrial uv'orage. If the' advice of the past three months has been followed, recommended issues have been purchased, in most cases, quite a bit below present levels. For new suggest a perusal of the list of the twenty-five recommended issues this letter has advised for purchase on weak- ness for the last three months. The last summary of this group was enumerated in our letter of November 27th. Also suggest a cross check vlith our letter of December 12th listing intermediate term price objectives of some sixty issues. Would suggest purchase of issues tht 'IN, furthest away from ultimate rally obj ectives. December 30, 1946 EDMUND W. TABELL SHIELDS & COMPANY Closing Dow-Jones Industrials Dow-J ones Rails Dow-Jones 65-Stock 176.23 51.07 64.42 The opinions expressed in this letter are the personal interpretation of charts by Mr. Edmund W. rabel! and are not presented liS the opinions of Shields & Company.