The Washington herald. [volume] (Washington, D.C.) 1906-1939, 1915-05-06
STOCKS SLUMP;
SHORTS HAPPY
Tndustrials Fall from Two to
Six Points in Wall
Street.
"WAR ISSUES" SUFFER
Traders Believe Stocks Will Fluctuate
Within Much Narrower Limits
for Next Ten Days.
WAR ISSUES" SUFFER

New York, May stocks broke vio-
lentlN TODAY bringing loses of from TO
s points in the active industrials at the
close stop loss orders in considerable
volume were caught in the more specula
tive issues and supporting orders were
few and far between.
Western houses were the largest sellers
as they were the heavier buyers when the
advance was under way. The specula-
tive position was materially strength
ened by the closing out of weak accounts,
although the trader who could call the
reaction healthy probably has enough
nerve to have his teeth drawn out with
out taking gas.
OPENING Quiet and Firm.
Stocks were quiet and firm at the open
ing. Some activity developed, with
strength mainly in the industrials. Beth
Ichem Steel rose sharply and NestinS-
house and the copper stocks were strong.
but the tone of the market did not inspire
confidence About noon trading grew
very dull with the principal activity in
Rumely preferred.
sbout . o'clock prices began 10 break
violently Steel came out in large vol
ume Union Pacific, Northern Pacinc' ana
Reading fell off with almost as pro-
nounced ease as the industrlals. Stfohs
buving appeared in Steel around - ana
Boston houses were extensive puE etS VI
the copper issues.
Lower prices arc loked for in tomor-
rows market, which, however. might ne
logically followed by a brisk rally.
Punctuation in Steel common covered
a range of three points. Traders VINO
for DAYS past have been hammerins tfis
stock to find weak spot. managed 10
catch a lot of stop orders anout e't2
The decline to SIS followed in quick or
der although heavy buying orders lor
pittsburgh interests helped 10 stem the
tide.
English and Canadian houses were
sellers of Canadian Pacific. This was
one Of the weakest of the railroads
showing loss of per cent bearish
sentiment on this stock prevails on the
Street.
.War stocks" Suffer.
War stocks" which had a wide spec
ulative following, suffered severely.
Baldwin Locomotive lost points Amer
lean Locomotive more than j. National
Lead . and Pressed Steel Car about 21a.
although an early announcement Is eA
pccted from this company giving de-
tails of the reported contract with the
Russian government.
considering its recent advance. West
inShouse held up well. Aside from the
war orders or the benefits thcretrom.
plans are on foot to retire the convert
hle bonds that the issue may be re-
nlaced by some new form OF mortsaSe
more atra ctive to the public and large
enough to permit the WestinGhouse COM
pany to raise funds for extension.
Professional traders who take TO the
short side Of the market as duck to
water were plea sed with todays slump.
several expressing the opinion that
Huctua tions for the next ton days would
hc within narrower limits with abundant
nppurtunties for short turns.
Faith in the country is still above par
and confidence in industrial profits dur
ing the current year is probably stronger
than ever before. But the speculative
accounts Of tho optimistic traders. who
were largely responsible for some OF
the recent high pr,C"s have heen mucn
reduced bv the recent slump. Just how
long 4 period of cooperation will he
needed to restore healthy buying has
vet to he determined.