The times dispatch. [volume] (Richmond, Va.) 1903-1914, 1913-06-05
VIOLENT BREAK
|NST0CK MARKET
Many New Low Records Are
Scored in First Hour
of Trading.
is HEAVY
Evidence That High Grade Secu-
rites Are Being Forced
to Sale.
is HEAVY
HY DRoAnAN WALL

New York June 4.-The stock market hroI
y yGen'S Of in s. the first hour today
new low records were scored. This liquida
.i1n was attributed to domestic selling. in
stfgated by IN" heavy calling of loans by
banks and trust companies.
The drrersiiy of stocks dealt in was un
usual The list Included securities of the
highest craze that were evidently beinS
forced to market, as borrowers could moi
of both stocks and bonds
The break here unsettled the foreign mar
posed to buy stocks at the opening quickly
turned. and on balance sold 10000 or 30, 900
There was 81 heavy shifting of loans and
hrokeraGe houses reported that cashiers OF
regarding the. quality of the collateral and
the amount OF murgln.
Union Paps Which, Ma1 part,cnsry hsaHy on
ing; which touched l5tt1 Steel common was
a &c, i've and fell to 9.s. on a turnover of
l6oeeo shares. Trade reports in the Iron in
dustry are unsatisfactory, and indicate III I
new business OF the Steel Corporation Is now
suggests the probability OF reduction Of
the dividend rate on the common stock.
gamated selling at IS on stories Of faIinE
on In the metal.
Reports from Washington creditinE At
torney General MacReynolds with a plan of
graduated internal revenue tax on manu-
featured tobacco brought drop of IL points
In American Tobacco and loss of S I'm
Lisget & Myers, There was heavy selling
class which largely rejected an urgent liaui
dation, such as has not been witnessed In a
II is hardly necessary to state that in the
scoring OF numerous new low records many
had wai,ed FOR just this oppo oueniHs VINO
Rock Island preferred and Missouri. Kan
and the Rock Island issues we're again nota ,
bly, weak Canadian Pacific firm. indi-
eating that liquidation in this stock had run
out for the time being with conspicuous
short interest which. OF course. is largely
technical. as stock had been sold here FOR
livery. for ten days TWO weeks 500. a
subsidiary of the Canadian Pacific. sold at
nsa, drop Of points
active industrial. Vulcan Detinning pre-
fcrted lost points. Air Brake 5 and there
we're many declines from 3T5 points in such
issues as Federal Mining and Smelters pre-
o'clock the market showed irregular hrm-
Paciac. Union PaciGc and Realms III '" rhern
was no snap to this movement. however. and
tho market closed nervous with no apparent
Among professional traders there is a
strong bearish feeling and a tendency to seek
There was "a withdrawal OF N5o5oop gold
By Germany from the Bank OF England.
rcntes declined in Paris. Crop reports were
not favorable. although no attention was
There was a good demand for money here
especially for time loans at per cent, hut
little business was done at this figure. The
new issue OF $40 900 New York State notes
at per cent or less will nc watched with
unusual interest, as II Is the first time that
security OF this character has been offered
on such terms. Transactions for the day
totaied more than so. 900 shares. and when II
Is borne in mind that manipulation is no
longer allowed and the placing OF matched"
orders states prison offense, II IL safe 10
conclude that the days trades favorably
compares with the million share days OF a
year, or so ago. when manipulation aud
matched" orders we're the rule and not ex-
ception
Liquidation was undoubtedly caused by
the calling OF loans. II is difficult to eFti-
some confusion therefore OF opinion as 10
how much further the forced Offering %!
stocks viii go. There very good buying
noticed in Union Pacific. Southern Pacific.
Amalsamated Copper and Reading. II would
certainly appear to be taking the short end
OF the stick in trading the hear side at
prevailing prices. This may not be the time
for general purchase OF stocks, but stand =
ard Investments are selling on a lower level
than has obtained FOR years.