Babson Bases His
Outlook on Talks
During Campaign
(Continued from Pag 1)
money Is tight, as such securities then tie up the borrower for a
long number of years at high rates.
20. This means that 1957 will be a good year for investors to
switch from low-yielding stocks to attractive bond issues.
REAL ESTATE OUTLOOK
21. Home building, corporate expansion, and municipal Im
provements will decline in 1957. Therefore, it will not be a good
year for speculating in real estate.
22. Interest rates on mortgages will be higher in 1957. Loans
not "federally"guaranteed will require larger margins.
23. Real estate in large cities will continue inactive with de
clining prices due to lack of parking facilities.
24. Suburban real estate will continue active, but fewer new
houses will be built. Houses will be for sale by executives who
have lost their well-paid jobs.
25. Purchasers will give more attention to the size of the lots
than to the houses. Better locations can be secured by buying ex
isting houses. Modern kitchen will become a "must."
26. Acreage near proposed shooping centers will be excellent
for speculation. The automobile will continue to raise havoc with
real estate prices, helping some locations and hurting others.
27. New inventions in connection with heating, lighting, and
other features will make most older houses obsolete.
28. Large commercial farms will continue prosperous. Small
farms on the fringes of cities will be more valuable. The outlying
medium-sized farms will be both expensive to operate and hard
to sell.
29. The nearness of schools, churches, stores, and bus routes
will become a more important factor in the re-sale of homes.
30. Those wishing to own a well-located home to occupy will
find 1957 a good year to buy or build; but a dangerous year for
speculation.
STOCK MARKET OUTLOOK
31. It is foolish for anyone to now forecast the stock market
for 1957. Ths Dow-Jones Industrial Average, now around 490, may
decline to 400 or advance to 600 during 1957.
32. All investors will want "safety," but wise investors will
first decide whether they also want "income" or "profit." Only by
luck can you obtain all three features with certainty during 1957.
33. Investors can buy, during 1957, well-seasoned preferred
stocks (preferably cumulative) which will give, with safety, a yield
of near 6 per cent. I will gladly send, free of charge, a list of such
to any reader so requesting.
34. During 1957 good utility stocks should be attractive for
yield and marketability. The demand for electricity will continue
to increase throughout 1957.
35. The above two recommendations apply to those in moderate
Income tax brackets. The investor in medium or high brackets
will buy during 1957 non-taxable state, municipal, or town bonds
carrying "full faith and credit." Taxes will gradually increase dur
ing 1957, and non-taxable bonds will be more in demand from
wise investors.
38. I am not now prepared to advise readers who do not care
for income, but only for profit. As above stated, the Dow-Jones
Industrial Average may approach, during 1957, either 400 or 600.
It will be very easy to make a mistake by either buying or selling
stocks at this time, except for intelligent switches. I am willing to
say, however, that readers should not get panicky and sell their
oils. Even Gulf Oil, which has the largest, interests in the very
rich Middle East fields, should not be sold.
37. All sensible investors will carry good bank balances and
reserves during 1957 so as not to be caught, whatever happens.
38. There should be no panic in the stock market during 1957.
Stocks will either fluctuate near their present levels or else will
gradually slide downward or upward. It will be risky to borrow
money to buy stocks in 1957; rather, one might sell stocks to get
out of debt.
39. The way to make money In the stock market is: (1) Con
fine your purchases to the stocks of the leading companies in each
Industry; (2) Diversify moderately and do not try to pick out win
ners, remembering that, whether you buy or sell, someone (prob
ably as smart as you) is doing the opposite at the same time. (3)
Store up cash when most people are bullish; use this cash to buy
stocks when most people are bearish.
40. We are no longer on the Gold Standard but on a Political
Standard. Although the Law of Action and Reaction will ultimate
ly rule, yet periods of prosperity can artificially be extended by
manipulating money rates, subsidies, and other financial props.
41. Every reader should have a little stock In one of the local
banks in which he has his account. Bank stocks should make
money during 1957, whatever the "blue chips" do.
INTERNATIONAL AND OTHER AFFAIRS
42. During 1957 the Administration will do everything possible
to keep us out of war. It certainly will not get us involved with
England, France, Israel, or their allies.
43. So long as President Eisenhower is in good physical condi
tion (as Commander in Chief) he will back the United Nations with
our Army, Navy and Air Force. This is the only way in which he
will be tempted ever to enter World War III.
44. The United States will not use the A-Bomb or H-Bomb dur
ing 1957 or give these bombs to any other nation. However, to save
the United Nations, President Eisenhower will give that organi
zation all the bombs it wants.
45. 1957 should be a good year to make tax-exempt gifts to
colleges, hospitals, and other worthy causes. You, however, should
give a stock which shows you a profit, and let the beneficiary do
the selling. 1957 should be an especially good year for such insti
tutions to make drives for funds.
46. Householders will avoid making unnecessary purchases on
Installments until the international situation clears. Several feasi
ble plans are being considered, one of which is to have a very
small tax on every gallon of oil moving through the canal with
the understanding that the money will be used for financing the
Great Dam on the Nile river which the Egyptians so much need.
This would make unnecesary any expropriation of the rich Middle
East oil reserves and any renegotiations. Either expropriations or
renegotiations will scare our investors out of making further for
eign investments.
47. The big thing that Russia wants is not so much the oil fields
as freedom to pass through the Dardanelles. This will be an im
portant feature of a settlement of the Suez Canal problem. I fur
ther forecast that the Republic of Panama will attemp to undo
the "steal" which we perpetrated in 1904, in order to build the
Panama Canal.
48. It would be unfair to readers of this forecast not to mention
the great importance of Mr. Eisenhower's health. In connection
with any building, business, investment, or other program, it
should be continually kept in mind.
49. Better fed and more intelligent populations, both in the
United States and elsewhere, will continue to increase. Important
new discoveries and inventions will take place. Twenty years ago
we were enjoying the prosperity brought on by the Electrical era.
Then followed the Motor Car and Oil eras which we have recently
been enjoying, plus a Chemical and Building boom. These coming
together account for the great prosperity of the last ten years.
Some time we will witness a business readjustment, but it will be
followed by a new Electronic and Nuclear era. Therefore, be op
timistic. 50. In closing, I urge my friends to read the 8th chapter of the
Bible Book Deuteronomy, which was written 3.000 years ago and
is as applicable today as ever. Incidentally, it mentions Egypt,
which even then was an important factor in world events.
? - 1Tr
ANOTHER PACIFIC QUEEN The MatsonLines' SS Monterey heads down the Wil
liamette River from Portland to begin two-day series of tests off the Oregon Coast
She will sail from San Francisco Jan. 8 onher maiden voyage to join her sister ship
in runs between California and Tahiti, Samoa, Fiji, New Zealand and Australia
via Hawaii.
Liner Monterey
Officially Takes
Maritime Place
Portland U.R The liner
Monterey newest addition to
Matson Navigation company's
fleet of luxury ships which play
the waters of the Pacific, offi
cially took her place in the
maritime world yesterday.
The sleek vessel, converted at
Willamette Iron and Steel Co.,
here at a cost of about $13,500,
000, left at 4:40 p.m. for San
Francisco. It is scheduled to ar
rive there Wednesday and de
part on its maiden voyage Jan. 8.
Mrs. Clarence G. Morse, wite
of the federal maritime com
missioner, swung the traditional
bottle of champagne across the
bow of the Monterey. Her hus-1
band, the maritime commission-1
er, was the principal speaker at .
a luncheon on board following '
the ceremonies.
Happy Occasion
Morse told a large crowd on
hand for the christening that "a
christening ceremony, whether
of a new baby or a new ship,
is always a happy occasion. My
hat is off to those who built this
ship in a West Coast shipyard
and to the men and women who
will operate it from Pacific
ports."
The commissioner announced
that orders for an additional
'two or three tankers for West
Coast yards are in the immedi
ate offing."
He added that West Coast
shipyards could assure them
selves of even other contracts
by aggressive action.
The Monterey is the second of
two vessels to be converted here
for the Matson line. Her sister
ship, the Mariposa, was chris
tened here early this fall and
made her maiden voyage from
San Francisco in October.
Tuesday, January I, 1957
MEDFORD (OREGON) MAIL TRIBUNE SEVEN
Novelist Rescued From Icy Water
Gary, Ind. (U.R) Novelist
Nelson Algren was rescued from
10 feet of water in an ice cov
ered lagoon about 20 yards from
his home here Monday when a
small boy heard his cries and
Algren said he had been to the
Algren sai dhe had been to the
grocery store and decided to take
a shortcut home across the la
goon ice. It gave way, plunging
him into the freezing water, but
he managed to hold himself up
by hooking his elbows over the
edge of the ice.
A 12-year-old boy heard his
cries for help and ran to a near
by house which was under con
struction. Three carpenters, Ar
thur. Fred and Walter Larson.
all of Gary, managed to get a '
rope to the struggling author and
pull him to safety.
Algren was taken to a nearby
hospital suffering from exposure
but his condition was reported
good.
The youth whose alarm prob
ably saved Algren's life wan
dered off without identifying
himself.
Algren purchased his Gary
home about six years ago "be
cause it was on the shore of a
lagoon, near the mills and Iak
and has a rowboat and two musk-rats."
TRAFFIC SAFETY
Waltham, Mass. (U.R) City of
ficials have come up with a new
gimmick to teach children traffis
safety. To catch their eye, safety
officer Joseph F. Hill uses a
miniature traffic light signal
while giving the youngsters In
structions on how to cross streets.
NO
RFIELD'S
WATCH FOR
JANUARY -
CLEARANCE SALE!
BEGINNING FRIDAY, JANUARY 4
Texas Oilman Gives
Hollywood Parly
Hollywood (U.R) The film
colony s upper crust welcomed
the new year with a $125,000
party in- Texas style at Mike
Romanofls restaurant.
Texas oilman David (Tex)
Feldman picked up the tab and
was so exclusive about his guest
list that he refused to let Clark
Gable and Gable's wife, the
former Kay Spreckles, bring
along two friends.
The plush affair brought the
first reconciliation appearance of
actress Jeanne Craine and Paul
Brinkman. Despite the couple's
recent sensational, divorce pro
ceedings, they walked into Ro
manoff s arm in arm.
A seven-course dinner along
with seven kinds of wine was
served. The entertainment bill
of fare, which featured singer
Edith Piaf, cost Feldman $7,500.
The costume motif was styled
in the gay 90s fashion after the
musical "My Fair Lady." The
main party room was turned into
a reproduction of New York's
famous Delmonico's at a cost to
Feldman of $75,000.
Grange
The Central Point Grange will
hold their first meeting of the
new year, Friday, Jan. 4.
"The Life of an Average Gran
ger" will be the title of a pro
gram which will be put on by
the new officers.
Members of the Juvenile
Grange plan to discuss the state
projects and to get started work
ing on them soon.
The serving committee will be
Mr. and Mrs. Roy Colpitts, Mr.
and Mrs. Lloyd Hammond and
Mr. and Mrs. Frank Hammond.
In Portland,
it's the
DANMOORE
HOTEL
A Home Away from Home.
All rooms remodeled and
refurnished . . Free Garage.
Free T.V.'s in most rooms.
WE WILL BE
CLOSED
DEC. 31 - JAN. 1, 2 and 3
For New Years and Inventory
CYCLE and
HOBBY SHOP
SIM'S
' " ' ' . . if THE WINNER s
r AT THE LOWEST
PRICE EVER!
n $-MQ95 J
Famous 1957
Westinghouse
Laundromat"
1957 MODEL L-I0k
Actual scene from "llva" television Sand Test an Westlnghous "Studt
One" Monday, November 12th.
Millions have seen the tough Sand Test, staged on 'live" TV. On "Studio One,"
2 cups of sand were dumped into four new 1957 automatic washers loadedwitb
clean, white towels. Three of the washers were well-known makes with center
post agitators. The fourth was the Westinghouse Laundromat with all-new
Revolving Agitator. After machines completed their full wash, rinse and spin
cycles, the Sand Test judges found that all three center-post automatics left
dirty sand in the towels and inside the washers, too. But the Laundromat left
not a grain of sand in the towels or inside the machine! The judges were:
Mr. & Mrs. Albert W. Schmidt, Cedar Rapids, Iowa
Mr. & Mrs. Robert G. Davey, Indianapolis, Indiana
Mr. & Mrs. Robert J. Begasse, New Milford, Connecticut
Mr. & Mrs. Ben R. Gilbert, Canton, Ohio
Sgt. & Mrs. Wayne Addison Brown, Churchland, Virginia
Mr. & Mrs. Walter George Beesley, Chicago, Illinois
HERE'S WHY REVOLVING AGITATOR LAUNDROMAT IS BEST
WASHES CLEANER I
There's no old-fashioned
center-post. Clothes go
Insidt the Revolving Agi
tator which lifts, turns,
plunges them 50 times a
minute, washes mil the
clothes m the time.
THE SAND TEST PROVES IT!
ItlHSES BETTER I
Revolving Agitator lifts
cloth is while soil and
airiy water arain awiy
from (never back through)
them. Center-post ma
chines strain it all back
through the clothes.
THE SAND TEST PROVES IT!
CLEANS ITSELF f
Because of Its patented
design, the Laundromat
cleans clothes better,
then automatically cleans
itself ready for the next
load! All sand, scum, lint
go down the drain.
THE SAND TEST PROVES IT!
NEW 1957 MODEL WITH ALL THESE FEATURES-ONLY 21995
Brand New '57 Styling and Saves Half the Detergent on
Construction
Exclusive Revolving Agitatpr
Full 9 Pound Capacity
k Handy Look-in Loading Door
Every Load
Saves up to 10 Gallons of Water
Per Load
k Full 5-Year Guarantee on Drive
Mechanism
Buy the twins for twin savings!
MAIUHINU LLLUIKIO UKYLK Iff!
r m i v $110.95
j ij z- i ayy
YOU CAN BE SURE,,. IF ITS
West
O BIG Y APPLIANCE DEPT.
MEDFORD, OREGON
O PARKVIEW DEPARTMENT STORE
ASHLAND, OREGON
19S7 MODELS L-101 and D-10i
inghouse
O TROWBRIDGE & FLYNN ELECTRIC CO.
MEDFORD, OREGON
O PAULUS VALLEY HARDWARE
GRANTS PASS, OREGON