The Bismarck tribune. [volume] (Bismarck, N.D.) 1916-current, 1920-04-22
PRICES TUMBLE \ .
ON STOCK CURB;
CORN SLUMPS
Many Traders Find Themselves
Without Funds to Carry
On Speculation
FEW LOANS CALLED i
General Motors Dropped More
Than AN Points-Liqui-
dati0n Heavy

New York. April; 22.-Heavy liqui-
dation in the stock market yesterday
sent prices plunging downward. In
one of the most. severe reversals Of
the year, leading issues, especially
those of speculative character de-
clined to Is points. while General
Motors dropped 421s points to 275.
The big crash came in the final
hour when nearly one-third Of the
days extensive turnover Of more
than 100000 shares took place. So
great was the rush to sell that the
ticker was Is to 20 minutes behind
in reporting transactions.
Sympathetic action marked the
trading in the cotton market here
and in the grain and provisions
market in Chicago. There was
break OF more than SIS bale in the
cotton market. attributed to pros
poets of better weather in the cotton
belt and the failure of bullish crop
advices to stimulate buying.
Grain Market Falls or.
In Chicago prices of grain and
provisions collapsed suddenly. Under
an avalanche of selling. Corn fell as
much as Sk cents bushel, and
pork $13O a barrel.
The weakened bull position of pro-
fessional traders, many of whom
suddenly found themselves without
funds for the extension of their COM
mitments, precipitated the decline in
the local market, in the opinion of
banking interests. From all accounts
a large proportion of the days sell
ing originated at interior points, con-
trming reports that banks, especial
ly in the west and southwest. were
again reducing "unessential loans.
A canvass of leading institutions
here brought forth assurances that
only moderate amount of loans
had been called in the natural course
of the days business. 1t was init
mated however, that further curtail-
ment of credits was in progress, this
being in accord with the long estab.
lished policy OF the federal reserve
board. sss. ia
United States Steel fell below par
for the first grtime Ssinces the third
week in March, declining to 9SA. a
loss of 2% points. There has been a
steady liquidation of steel stock ever
since Chairman Gary's announce
ment that no immediate "stock divi-
dend' is contemplated. i
Liberty Bonds in Low Record.
Baldwin Locomotive dropped to
points between sales, reaching to lis
loss of nearly IA points. Pierce
Arrow, Studebaker and Chandler
Motors. with allied specialties. and
Mexican and Pan-American Petro
leum. with related oils. American
Woolen and Crucible Steel also were
features in the collapse, dropping 5
to 10 points.
The severe reaction also affected
Liberty bonds, which fell to lowest
prices yet recorded. Some of the
issues dropped to levels where they
! represented an interest return of al.
most seven per cent. Large corpora;
tions, desiring to liquidate their
holdings to permit them to engage
in costly financing, are believed to
have been responsible for the un.
usually heavy offerings, of war is
sues.
Foreign exchange rates yielded
with the rest Of the market. Demand
sterling dropped nearly 4 cents and
franc checks nearly 30 centimes
with sympathetic declines in other
! European issues. Selling by japanese
interests to strengthen their reserves
at home was given as one of the
causes for the drop in exchange.