European Stars and Stripes (Newspaper) - October 16, 1977, Darmstadt, Hesse                                Page 16 the stars and stripes sunday october 16, 1977 Market plunges to a two year Low by Frank w. Slusser up business writer new York up stocks plunged to a two year Low this week in a Selling Stam Pede triggered by a Sharp Rise in interest rates which has made Short term Money instruments More attractive than stocks. Trading was moderate. The Dow Jones Industrial average which fell 6.76 Points last week dropped 18.71 Points to 821.64. Thursday s close at 818.17 was the lowest since the Dow finished at 816.51 on oct. 7, 1975. The closely watched average is Down 183.01 Points so far this year. The new York Stock Exchange common Stock Index gave up 1.35 to 51.24, after reaching a new 1977 Low thursday. Stan Dard & poor s $00-Stock Index containing some Over the counter issues plunged 2.52 to 93.56, also reaching a new 1977 Low also on thursday. Breadth figures showed the severity of this week s Market slide. Declines routed advances 1,561 to 311, among the 2,089 issues big Board volume totalled 95,167,250 shares compared with 93,370,650 last week and 89,346,240 traded during the same week a year ago. The volume of 10,580,000 shares in monday s Columbus Day session was the slowest since 10,300,820 changed hands on Jan. 2,1976. Composite volume of nose issues listed on All . Exchanges and Over the counter totalled 109,125,590 shares compared with 108,424,540 last week. Institutions did most of the Selling be cause interest rates have risen so rapidly that investors can make More Money on Short term Money instruments than on stocks and savings accounts. This is what happened in 1974 when the Market suffered its worst loss since 1937. One report said the prime rate now at 7vz per cent will move up to 7% per cent soon and will average about 8.85 per cent in the fourth Quarter of 1978. The report also predicted the Federal Reserve Board s key Federal fund rate Mutual fund prices new York up following is a list of bid and asked prices on Mutual funds As quoted by the Nash inc. Friday october 14, 1977 bid ask 15.06 . 9.42 . 7.12 7.78 12.91 14.11 9.02 . 5.60 5.71 8.35 . 10.21 . 9.62 10.51 4.68 5.11 Amer funds group am bal 7.91 b.64 5.71 6.24 9.57 10.46 14.84 16.22 6.43 7.03 4.87 5.32 15.49 16.93 13.21 14.43 Acorn cd adv inv Aetna cd Aetna in future age cd Allstate Alpha cd am birth am qty am Cap am Mut and a Cap f a Goth am inc am i c a new prs Wash m 15.03 16.43 6.25 6.83 Amer Gen l group a Gabd 9.00 9.b4 3.80 6.40 a a car a in inc a Ven qty grand am prove in am Goth am Insun am invest air inc ant or Anchor group daily in growth income Spectra and inv a Natl Addax f axe Houghton fund b 7.47 income Stock blk Goth Babs inc Babs inv bean i Beacon a a comp by Camp cd Concord .96 1.42 8.51 7.05 cons inv in san go cont in country c Dally inc a bldg bid ask 9.00 9.37 5.46 . 6.05 . 10.99 11.88 1.00 . 7.25 . Delaware Greup Decatur 11.78 12.87 9.22 9.65 10.50 11.48 4.70 5.14 29.71 . 3.91 4.27 21.12 . 15.02 . 9.24 . Dreyfus group dry cd 11.36 12.42 15.75 17.21 9.98 . 5.32 . 7.19 . Hold to Horace ind fam it invest inv guld inv indie inv bos bid ask 1.00 . 13.97 15.10 2.84 z 10.11 11.05 8.41 . 1.32 . 9.13 9.84 bid ask bid ask Delch f Del f Delta t Devegh direct up Dodg bal Dodge a or Burn dry la dry la numb 9 up inc tax be 3rd cent Eagle or investors counsel Cap am z z capt so z z investors group ids and 5.81 6.02 5.40 z 4.60 5.00 3.05 3.31 5.04 5.29 8.77 9.53 17.44 18.95 9.42 10.13 15.95 . 12.29 . 10.34 11.30 Eaton a Howard 4.15 6.99 12.48 13.64 6.33 6.92 6.22 6.30 3.88 4.18 5.61 6.05 5.12 5.60 5.35 . 11.93 . 2.86 3.13 Bain cd four Sci Goth f income special f Stock cd Edie pc Edson go egret cd elfin try Foi fld 7.79 8.40 7.64 . 8.69 9.37 6.05 6.52 6.23 6.72 8.52 9.19 16.88 . 8.63 . 10.19 11.08 13.93 z 8.82 9.59 1.00 . 6.14 6.62 7.28 7.85 4.21 4.54 6.36 6.86 9.61 10.36 7.98 8.72 8.12 5.01 5.45 5.51 6.02 10.41 11.38 1.77 . 8.86 . 8.42 . 9.01 . Berger group 100 and 7.23 . 101 and 8.87 . Berksh 7.42 8.11 Bond St 4.64 5.07 Bost fun 9.38 10.25 Calvin Bullock Bull cd 12.04 13.16 can cd 7.13 7.79 div shr 2.71 2.96 income 14.73 16.10 Natad 9.40 10.27 by Ven 10.83 11.84 cd fund 9.17 9.91 cd inc x8.57 9.26 Cap Prev 1.00 . Cent she 10.96 11.82 Choi inv 9.52 10.40 Chart cd 13.52 14.78 Chase of Boston. And bos 5.91 6.46 fron up 3.59 3.92 str is 7.03 7.68 specs 5.06 5.53 chem cd 6.69 7.31 Chep do 10.86 . Cna management la arty 4.06 4.44 month 2.34 2.56 sinus f 7.55 8.25 colonial funds conver 8.62 9.42 fund 8.92 9.75 growth 4.33 4.73 income 8.81 9.63 opt inc 11.1212.15 Colum g 14.74 . Commonwealth Federated group a Lead 7.65 7.77 Empire 18.40 z 4th pm 17.40 z opt inc 13.3314.57 tax for 13.28 . Fidelity group and Cut 8.76 . 7.90 8.63 9.68 . 1.00 . 7.76 z 14.96 . 15.13 16.54 22.38 z 10.58 . 10.11 11.05 4.64 5.07 10.35 . 20.14 22.01 Fin cd programs Fin Dyn 4.66 . Fin ind 4.02 . Fin inc 7.19 . First investors disc cd 5.02 5.49 6.48 7.08 8.69 9.50 8.21 8.97 7.93 . 10.00 . 16.27 . 3.72 4.07 founders group growth 4.25 4.64 income 11.88 12.98 f Mutual 7.93 8.67 f special 9.13 9.98 Franklin group Brown 3.20 3.45 Ditc 6.53 7.04 Goth or 5.03 5.42 1.82 1.96 9.64 10.39 4.81 5.19 3.08 3.32 capital Contra Day inc dest equity i fund Maglyn Munch purity Salem f Thrift trend Goth cd income Stock f 1st Multi Istl inc 44 Wall fun or ids Goth ids no ids pro ids tax Mutual Stock select Var pay 6.13 6.67 inv Resh 5.06 5.53 is group growth 4.63 5.06 income 3.68 4.02 test it 2.95 z test so 10.94 11.96 Istel and 18.82 19.40 Ivy fund 5.90 . J p Goth 9.49 10.32 Janus cd 17.24 . Johnstn 18.69 . John Hancock Blanc 8.70 9.46 and cd 19.4421.13 growth 5.16 5.61 Kemper funds income 10.79 11.48 growth 6.88 7.52 Mon my 1.00 . Maun by 10.80 11.34 opt inc 13.24 14.47 sult 10.4311.40 techno 6.89 7.53 total r 9.7210.62 Keystone funds Cust by 17.8218.61 19.41 21.22 8.36 9.14 7.49 8.18 4.91 5.36 16.47 18.00 7.18 7.85 Cust Cust Cust Cust Cust Cust Cust Apollo Polar b2 b4 Al k2 is s3 s4 3.66 4.00 3.73 4.08 3.12 3.41 for inc a sgt s Tull tie res Cap is qty Fol Leq of pack Lexington group up Ledr 12.53 13.80 growth 8.87 9.69 income 10.4411.41 Resich 14.1015.41 use inv 7.86 8.59 Lincoln National Selc am 6.88 . Selc spa 12.17 . Loom is Sayles ads Cap do 10.01 . Mutual 12.55 . Lord Abbett of Flat 7.36 7.94 and Deb 11.07 12.10 income 3.47 3.74 lutheran brother Broh cd 9.97 10.90 Bro inc 9.2510.11 by mid 10.35 11.31 Bro us 9.71 10.61 Massachusetts co Freem 7.81 8.54 ind f 7.13 7.79 mass f 10.2211.17 mass Flanc l secs 3.30 3.56 z z 7.91 8.03 funds inc group comm Impact Indus to Pilot Ges a p Gen Sec Goth ind 8.37 9.15 7.88 8.61 10.18 11.13 8.01 8.75 24.44 z 8.66 . 17.21 . Hamilton group 1.04 1.54 9.15 7.58 12.25 . Fund growth income Hart Goth Hart la her luge hid Sec 3.94 4.31 6.71 7.33 7.31 . 11.76 . 7.96 . 1.40 z 11.89 z Mit Mig mid Mfd Mcd mfg mob f Mather Merrill Lynch Basic i 9.42 capt cd Ray ast mid am Money m Many cd mob cd it lbs f Mif cd Mif Gro 9.33 10.06 8.13 8.77 14.24 15.35 11.83 12.75 13.24 14.27 15.59 16.81 9.73 10.22 13.10 . 9.81 12.38 12.90 1.00 . 5.09 5.56 1.00 . 8.59 9.39 13.10 . 8.71 9.52 7.85 8.49 3.72 4.02 Mutual of Omaha Amer 11.6012.15 growth 3.83 4.16 income 9.28 10.09 tax for 15.33 16.66 Mot hrs 29.41 . Nat indu 10.22 . Nat l securities Blanc 9.11 9.82 Bond or 4.57 4.93 Devidn 3.93 4.24 pref St 7.26 7.83 income 5.36 5.78 Stock or 7.68 8.28 growth 5.22 5.66 new England life equity 15.93 17.32 growth 8.53 9.27 income 14.18 15.41 Side 12.72 13.83 Neuberger Energy 13.28 . Guard 26.69 . Partner 9.37 . Nea it 7.81 . Neuwith 8.08 . Newton g 11.46 . Newton in 9.77 . New old 10.36 . Nichlas 15.82 . Nomura 9.79 10.53 nest intr 14.93 . Nuveen 9.64 10.09 Omega 9.97 10.09 one will 13.33 . Oppenheimer aim cd 8.82 9.64 of and 5.58 6.10 income 8.59 9.39 Mony b 1.00 . Tax feb 10.54 . Time f 7.67 8.38 oct Sec 13.18 14.33 Parott 8.63 9.38 Penn it 3.94 . Penn so 7.30 . Phi la cd 7.03 7.68 Phonix c 7.64 8.35 Phonix f 9.53 10.42 Pilgrim group Pil from 12.06 12.69 capital 3.19 3.38 income 9.39 9.88 plug cd 8.92 9.39 Pine St 10.32 . Pioneer funds Plon cd 13.4214.67 plonk ii 16.33 17.85 Pinand 11.18 12.15 Ali Gro 10.25 11.20 Ali trn 8.25 9.02 Price Rowe growth 9.89 . Income 9.92 . New Era 10.58 . New Hor 7.39 . Tax for 10.20 . Pro cd 5.81 . Proud it 7.61 8.32 prod sys 8.88 9.70 Putnam funds conver 11.12 12.15 equity 9.78 10.69 Georg 12.56 13.73 growth 10.15 11.09 income 7.94 8.68 invest 7.21 7.88 option 13.31 14.55 tax sex 24.4625.68 Vista f 9.65 10.55 voyage 10.6211.61 a Lbw 1.94 . Reserve f 1.00 . Revere f 5.24 . Safe Seq 8.43 9.21 Safe co g 9.04 9.88 St i Cap 7.44 8.13 St i Goth 7.20 7.87 Scudder Stevens comon 9.13 . Income 14.66 . Into and 12.87 . Mat is 9.99 . Mun by 10.39 . Special 23.77 . Security funds and cd 10.3210.61 equity 3.89 4.25 invest 7.40 8.09 Ultra f 9.71 10.61 sentry f 12.05 13.10 Sentinel funds growth 7.79 8.47 Trust 9.77 10.62 Sentinel group Apex f 3.32 3.63 bal and 7.74 8.46 com St 11.65 12.73 shareholders Gap Cost 6.07 6.66 enter or 4.90 5.36 Flet cd 5.38 z Harar 8.39 9.17 Legal l 6.24 6.82 Pace cd 11.0612.09. Shearson funds a ppr 15.64 17.09 income 18.7020.44 invest 9.48 10.36 so Dean 19.95 . Sirra or 8.34 . Sigma funds Cap shr 8.54 9.33 inv so 9.91 10.83 test so 8.69 9.50 Ventur 12.02 13.14 Smith b 9.38 9.87 sol or 12.43 13.08 so Genf 10.88 11.39 swat inv 7.72 8.34 so inv g 4.60 4.97 sour inv 11.2012.24 Spectra 4.57 . Up Leda z z state Bond group com cd 3.91" 4.27 div self 4.77 5.21 Progris 3.68 4.02 St for bal 9.21 . St for or 5.86 . State str 40.1240.50 Steadman funds am ind 2.28 . Asso cd 1.08 . Invest 1.34 . Ocean 6.21 . Stein Roe funds Balanc 16.58 . Cap Ltd 8.69 . Stock 11.31 . Survey f 8.30 9.07 temp g 12.4813.64 temp in 1.00 . Tran Cap 6.91 7.51 Tran inv 9.24 10.04 travel Seq 9.74 10.64 Tudor h 13.49 . 20th cd 4.35 . 20th cd 6.28 . Unified 8.02 . Union service bids in 10.9011.75 Natl inv 5.98 6.45 in capt 11.07 11.94 Union in 12.49 13.47 United funds a cum 6.00 6.56 and cd 7.36 8.04 cont go 8.40 9.18 cent inc 9.16 10.01 income 9.74 10.64 Mun by 10.1610.58 Selene 5.36 5.86 Vang 5.20 5.68 Ltd Svca 2.22 . Usaa Ca 7.50 . Usaa in 11.67 . Us gets 9.69 9.84 value line funds Val lne 6.84 7.02 Val inc 5.00 5.13 lev Goth 10.63 10.90 Val pc 4.27 4.38 Vance Sanders income 13.47 14.72 invest 6.91 7.55 is com 5.67 6.20 specs 8.30 9.07 Vanguard group explore 19.54 . 1st Index 12.83 . Vest 7.54 . Moron 11. 57 . Trust 8.82 . Welly 12.04 . Wellton 9.15 . A Stan 9.66 . Win Der 10.15 . Varied 1 z z Walls or 5.94 6.49 Welong Seq 11.91 . A sold or 6.74 7.33 Wise inc 5.03 5.50 no no Load sex div lend. A unavailable. Target will Rise to 8.45 per cent by late 1978 from the present 6ms per cent level to con Tain the nation s surging Money Supply. There was considerable Selling prior to the fed s report late thursday that the Basic Money Supply soared $4.9 billion in the latest week presaging even tighter credit and higher interest rates. In addition to worrying about interest rates Wall Street was disturbed by the actions of the Carter administration which is experiencing internal staff problems according to the Wall Street journal. Carter sparked considerable Selling thursday by charging that the Oil Industry would engage in profiteering and stage the biggest Ripoff in history if Congress does t enact his Energy program. The Wall Street journal in an editorial reply to Carter s tirade said America s problem of Oil imports has a great Deal less to do with waste by the people than with idiocy by the  meanwhile Charles Schultze chairman of the Council of economic advisers said he was Uncertain about the Economy s growth in the second half of 1978. Carter has hinted he might Call for a tax Cut next year. The prospects of new and unneeded stimulus bothered the business Council which also predicted the Economy s growth rate next year will be lower than this year s. A tax Cut apparently would be part of Carter s pending tax Reform program which won t be sent to Congress until later in the year. Carter reportedly has t made up his mind on Many issues. Government economic reports were mixed this week. Industrial production Rose 0.4 per cent in september offsetting a 0.4 per cent August slide. September retail sales fell 1.2 per cent after rising 1.5 per cent in August. Nor corp., the most Active nose listed fell 6v4 to 40 on 1,226,200 shares. Al though the firm reported higher third Quarter earnings analysts apparently were disappointed with the results. Citicorp was the second most Active Issue off Iofe to 22vfe on 1,121,000 shares. Alcon laboratories was the third most Active Issue rising 2% to 297/s. The company last week said it had received some offers from unidentified firms to merge. Medusa corp. Soared 7 to 34. Moore me Cormack resources revealed Friday it is seeking to acquire the firm for about $38.50 a share. Medusa officials had no immedi ate comment on the bid. Modern maid food climbed 5% to 13vs after the firm agreed to sell its Stock to Spillers inc. For $16.70 a share. Investors7 guide Bysa Shulsky q. I d like tax free income with growth. I Don t like Bonds. A. I fear i m fresh out of what you re ordering. Tax free income comes mainly Stock pulse by United press International copyright 1977 Friday oct. 14, 1977 nose composite most actives by volume Stock div nor up .80 digital. Ept Alcon la .32 Citicorp Beth steel Dow cd mm8.m Bra pet Gielec Exxon can 1.06 1 1.20 1.70 .346 2.20 3 vol close 656,200 572,600 373,400 214,200 197,200 181,400 170,900 167,000 164,400 162,400 40 43 29% 22 a 18% 28% 49 /4 15vi 50v4 46% earns $ 4.65 2.78 1.47 3.23 2.17 3.36 3.20 1.21 4.62 5.66 be 9.0 15.0 20.0 7.0 9.0 9.0 15.0 13.0 11.0 8.0 old 2.0 t. 1.1 4.7 5.4 3.5 3.5 2.2 4.4 6.5 nose composite largest net changes Stock old Medusa sup of nor up digital Grainger 1.80 1.80 .80 ept .56 data genral my Crown Fox Bro Falcon Seq life .40 1.20 s .50 2.20 close 34 206 40 43 26% 42% 23% Mvi 30 3v4 16 12% 8% 2 7 a i 2 $ 1.92 0.98 0.39 1.41 0.39 0.27 1.13 0.49 0.10 17.0 35.0 9.0 11.0 33.0 31.0 7.0 15.0 20.0 Stock div Shen of up Salem up 8k Pralor Leoti r be Gnu .50 Crosat 1.40 Solen at .12 Ray rec .40 Modem Lor Eoanna .40 rancher sex close Cage Earni be old 18 /4 Ivi 1.28 14.0 13 114 2.19 6.016vi 1 30% 1 45 1 20% 0% 14 /4 Oft 13 0% 7% Oft in. 0% 0.67 25.0 4.20 7.0 1.6 3.62 12.0 3.1 1.60 13.0 0.6 1.83 8.0 2.8 1.49 9.01.10 7.0 5.1 1.03 12.0 be Price to earnings ratio old dividend yield def deficit St & yield in Stock k per cent dividend in Stock some dividends estimated earnings latest 12 month unaudited m from municipal Bonds and Bonds Are not a growth Security. Besides you Don t like Bonds anyway. Real estate does offer some tax shelter and can offer a lot of growth. But that s an entirely different Ball game and assumes that you Are an expert in the Field. And if you were i assume you would t be asking me q. About eight years ago i bought some Stock at 6 is. I be received no reports for the last two years and letters to the company have brought no reply. The Stock is sup posed to be at my broker s. A. Seems to me you ought to do some Tough talking at your brokerage office. They owe you some report on what has happened to the company. If nothing else they should help you establish a tax loss for the shares. Q. I am 51, with Money in certificates of Deposit and in securities. I allow both in Terest and dividends to accumulate so that As a result my tax bracket rises. How do i get out of this bind a. I have two suggestions switch some of your Cash into tax exempt Bonds of your state and some of your common share in vestments into lower dividend but higher growth potential issues. Q. We Are 75, living on social Security and interest from $16,000 in Day to Day Sav Ings accounts. Could we get More interest on this Money a. You could get about 2 per cent More on say $10,000-$12,000of it by shifting that much to 4 to 6 year savings certificates. Q. An Auto dealer told me that if i financed a car with him i could make More Money at 7 per cent on the $5,000 i held onto after making a $1,000 Down payment on the car than it would Cost me to borrow the Money through him. A. I doubt it. I Don t know what rate he quoted but remember that if you borrow $5,000 on an Auto loan you begin paying Back at once and thus have the use of actually Only $5,000, plus the last payment divided by two for the entire loan period. Or. Shulsky welcomes written questions but he will be Able to provide an Swers Only through the  lists of growth and dividend stocks please include a self addressed stamped envelope no foreign Stamps please. Address your requests to Sam Shulsky car of the stars and stripes Apo 091,75