Image provided by: University of Oregon Libraries; Eugene, OR
About Medford mail tribune. (Medford, Or.) 1909-1989 | View Entire Issue (May 8, 1958)
In the Day's Hews By FRANK JENKINS Let's talk todav (this is fc v xucauajr auvufc uic stock market. It's acting in a rather peculiar way. For example:' The bulk of the business news is well over on the pes simistic side. The steel indus try is operating at about half its capacity. The automobile industry - is in anything but good condition. It has an in ventory of about 800,000 un sold cars. Unemployment con tinues high, and isn't declin ing as rapidly as it normally should at this season. Earnings reports for the first quarter of 1958 are not encouraging. And so on. A ND yet This morning's financial reports informs us New York stocks continued their rise into NEW RECOV ERY HIGHS at an active opening. The list closed yes terday afternoon with all the averages at new highs for 1958. The market opened still higher this morning. WHAT does that mean? " It must mean that the people who buy shares in American industry have con siderable confidence in the future. They must not be VERY much afraid that the recession will turn into a de pression. Why? -Well, when people are scared of the future they are inclined to sell. When they have confidence in the future they are inclined to buy. YESTERDAY'S and this moraine's situation on the stock market has an interest ing technical background. For weeks the so-called "short interest" has been very high. Let's see if we can explain here what a "short interest" is. When speculators think prices are going to go down, they "sell short." That is to say, they contract to sell shares, of stock THEY DON'T OWN. They agree to deliver these shares at a certain price. If the price goes BELOW the figure at which they have con tracted to sell, they can buy them at the market and DE LIVER AT A PROFIT. fFlHAT bring us back to the situation that has develop ed in the stock market. The financial reporters tellf us: , "The list closed yesterday with all the averages at new HIGHS for 1958. This brought in some NEW BUYERS and gave the bears ("bears" are .are betting that prices will go lower) another scare." ' So . . These "short" sellers BE ' GAN TO BUY this morning. They began to-buy because they feared that prices would GO STILL HIGHER, thus in creasing their losses on the shares they sold but didn't have. - This short interest buying tended to push prices up farther. SO MUCH for the technicali ties of the situation. What it seems to boil down to is that buyers have considerable confidence in the future of business and industry in the United States of America. That is highly important. If the people of this coun try retain their confidence in the future, our American economy will straighten itself out and come out all right in the long pull. Ho Serious Flood Threat in Portland Portland Wl The weather bureau predicted Wednesday that no serious flooding will be experienced this War in the Portland-Van couver area. Regulated river stages of 18 to 21 feet were expected in Portland and Vancouver har bors late this month and early in June. Flood stage in the Willamette at Portland is 18 feet and in the Columbia at Vancouver it is 15 feet. River Forecaster Elmer Fisher said that the predicted stages would cause no "se rious" flooding but that low level docks and pasture lands along the Columbia would be flooded. The stages forecast Wednes day were about 10 feet below the level 10 years ago when Vanport was flooded. Fisher said predicted stages assumed normal temperatures and pre cipitation during the critical snow-melt period. THE DANMOORE I HOTEL 1217 SW Morrison St. PORTLAND, OREGON All transient guests. All thoso who come, return. Rates not high, not low. Free garage, TV's and radios. Reputation for cleanliness Reservations by long distance phonerefundcd on request upon arrival jj Effective Friday and SaturdayT ALWAYS A PLACE 4(lmh ... TO PARK! fMjp, 1 - ' FOLGERS iffilij FFEE -'"fl ( ' f TIN g , NALLEY'S CUCUMBER CHIPS 1514-oz. Jar Reg. 27c PIGGLY WIGGLV FREEZE OR CAN NOW! Wash Unclassified Grade Asparagus 2 4.0 ft, Mtl ill M STEWART AT KING STS. O Open SUNSHINE 1 lb. Pkg. . Crispy Crackers SUNSHINE 1 lb. Pkg. Hydrox SUNSHINE tVi ei. Pkg. Dainty Mints 19 FRESH PRODUCE - . rRAV WASHINGTON FANCY GRADE W$M .sparagus GOLDEN RIPE HANDS 'CRISP SOLID HEADS SWEET, JUICY CALIF. VALENCIAS OHM LETTUCE 29- Cookies 49' Pound Cello Bag Every Day Until MEDFORD (Packed Locally) PURPLE PLUMS No. 2Vi Tin Reg. 22c mom. She's 1 smart HI C-Reg. 31c Orange i ( Tins Fw1 for Also 'in our Produce Dept. . Strawberries Cantaloupe Vine Ripe Tomatoes New Potatoes ' Peas . Cherries Spinach Water Cress Mustard Greens . 9 p.m. O Free Parking Q STEWART AT KING STS. Drink 00 FOR YOUR A STEflaS U lb: XS-tf ARMOUR STAR 12-oz. U.S. GRADE A HEN TURKEYS 12 to 14 lbs. 0)C MADE FROM GROUNP ROUND WE HAVE A NICE ASSORTMENT OF CANNED HAMS DUBUQUE OR SWIFT'S PREMIUM MAIL TRIBUNE, Medford, Oregon, Thursday, May 8, 195S S WAG DOG FOOD ' Reg. 3 Tins 29c Tins Remember Mother WITH A BOX OF Chocolates 49c-69c-83c T5-370 i Swans Down Angel Food CAKE SffllJJ REG. PRICE 54c i TREE TEA EDacCc Tea 48 COUNT BAG CHET'S FROZEN MEAT PIES 95c for SMOKIES Pkg. 7-oz. Pkg. ARMOUR STAR Ends and Pieces BACON 3 89' FRESH GROUnD BEEF ib.
