Tabell’s Market Letter – June 15, 1962

Tabell’s Market Letter – June 15, 1962

Tabell's Market Letter - June 15, 1962
View Text Version (OCR)

r—- ,i Walston &Co. lnc Members New York Stock Exchange NEW YORK SAN FRANCISCO LOS ANGELES PHILADELPHIA CHlCAGO OFFICES COAST TO COAST AND OVERSEAS TABELL'S MARKET LETTER June 15th, 1962 A heavy deluge of selling dominated the, market most of last week and the Dow-Jones Industrial Averages reached an intra-day low of 556.09 on Friday. Aggressive insti- tutional buying apparently stemmed the tide and the Industrials staged a sharp rally late Friday on heavy volume closing 17. 44 points above their hourly low at 57B.IB. ever the past few weeks this letter has made a number of comments regarding the type of market action that was to be expected following the selling climax of May 29th. Jne such comment was that probabilities favored a return to a level either slightly below or slightly above the May 29th lows. This occurred this week with new closing – – – . . . . . . . – .- —' – -' , -….,…. . ——'oT … – – -;. …. – and hOtirly-lbW's'belng'rEfglsterea.- The previous intraday low or553. 75, however, 'held. Another characteristic of post-climax markets, discussed at some length in last week's letter, was the fact,that, although the averages often make their low on the initial decline a minority of stocks do so. This was borne out by last week's action when, at Thursday' low, only 430 common stocks listed on the New York Stock had managed to hoI above their Nj,ay 29th lows. Some 600 stocks, therefore, had gone on to new low levels. Eowever, the impressive action displayed by the general market late Friday would indicate that the first test of the lows has probably been successfully completed and, despite Friday's strength, the market still appears to be at a level where downside risk is small. The paramount question, at the moment, of course, is what stocks appear most attractive for new purchase. bviously, the 430 stocks that did not reach new lows this week have displayed encouraging technical action. Listed below is a representative group of stocks which, at Thursday's lows, had held considerably above their May 29th bottoms. It excludes Electric and ;;as Utilities, We have underlined those which appear particularly a ttracti)1for w a the present time. jcost of these stocks are on our J4st ne ditions to the list are marked with an asterisk. In addition, the fractional ne;wJows,also-appear,attl'active f – w IVlc3ee, J. Ray McDermott, Electri St stoc though they made -l'-m,strongR ubber,,-Kerr– d Reynolds Metals. Adams Express Air '\\ V ood Fair Mesabi Trust Mt. Fuel Supply Allegheny C 0 Fruehauf Trailer ;'\Tat'l Biscuit Allied Mills Jarrett Corp. Nat'l Dairy Alpha-.ortland em '3eneral Mills Newport News American Cpti General Motors Niagara Shares American Seating Giant Portland North American Av. American So. African;reen Shoe North Amer. Car American Viscose Gulf Gil Northwest Air Amphenol-Borg Heller (Walter) Norwich harm. Ashland C-il Hershey Chocolate Pepsi-Cola Associates Investment Homestake Mining et Milk Atchison, Topeka & S. F. Hudson-Bay Mining Pillsbury Mills Borg-li!arner Illinois-Central Revlon Brown Shoe Interchemical Royal Dutch Burroughs – — International Min. & Chern. International Silver Schenley Cluett- Deabody oca-Cola Colgate Polmolive & Aikman Continental eil Dan River Diamond Alkalai Island Creek Coal Jewel Tea 'Korvette, B. J. Lane Bryant Lockheed Air Macy (R. H. ) Marine lIljidland Standard Brands Std. Cil of Calif. Std. Oil of N. J. Stev'ens ( J. P. ) Texaco Texas ,aC. Coal Torrington Dome I;ines Dre wry's Ltd. 'c'astern ;as Fuel McCall McKesson & Robbins Melville Shoe United Biscuit U. S .lywood Vanadium Alloy Thla mhM.erc&a3li'qil and under no Clrcumstunces IS to be construed buy any secuntieS referred to herem The mformatlOn I'ontfuncd he-rem not guaranteed as to accurncy or completeness and the furfllshmg thereof IA not, and under no CIrcumstances 19 to be construed as. a representa- tIOn by WRiston & Co Inc All eXpreS910ns ot opifllon are subject to change without notice Walston & Inc. and Stockholders and sell arHl'ittAf nn mtcrcst in the secunhcs mentIOned hercm ThIS mntkElll.TI ihlNdeWnd n lLv as a general, I!lt '1' to day'fuhr'1MthhWs nn9 not as a complete anah'sls Additional mformatiob'writli r ed lo'hny sctun lea re eIre toherem v.;ill be N 301

Download PDF