Evening star., 1921-02-18
STOCK LIST SLOW,
WITH |RREGULAR|TY
BY STUART r. WEST.

NEW YORK. February IS Especially.
During the early part of today's
session the stock list was consider
number of individual issues. AS soon
as the decline in these had spent it
self prices were inclined to harden
This showed that the market as a
whole was no longer responsive to
general influences. 1t was a. case of
particular stocks moving either up
or down for reasons peculiar to
vacillates back and forth without any
sustained tendency in either direc-
ton.
The weakest spot was Atlantic
Gulf, common and preferred, and
these shares plainly indicated by
tons It has often been a condition
imposed upon companies urgently in
need of new money that they 'con-
serve their resources" by SuSpending
or reducing temporarily payments to
shareholders.
The Mexican oils were heavily sold
on a report from Mexico that oil
wells in the Tampico district, were in
danger Of running out.
Mexican Oils Soft.
At first the street rather overlooked
the fact that supposing this story to
be true there are plenty of oil lands
belonging to these companies which
are in process of development and the
production from which promises to
make up any losses from wells that
are running out.
Some of the tire stock broke sharp
ly. but here, too, the causes were
wholly individual Ajax was discount
ing the probable passing Of the divi-
dend, and Goodrich was rejecting
some Of the same uncertainty. It was
noticeable that other members of the
rubber and tire group held compara-
lively steady. in face of the weakness
in these two stocks.
Elsewhere the price movement was
the buying side. like the tobaccos, the
motors and the independent steels,
went down, some of them quite brisk
ly, while the weakness in the special
ties was most acute But there was
no important selling. and later in the
day stocks rallied for the most part
quite as readily as they had gone
down.
Atlantic. Gulf and West Indies.
Atlantic Gulf and West Indies was
the leader of the decline and made
a new low record. Dividend action
on common stock is not due for some
time, but the directors will meet to
act on the preferred dividend this
ton of Atlantic Gulf preferred on
the tape shows that something of an
tnfavorable nature is to be expected.
The preferred is % per cent nom
cumulative issue, and under 40 is too
low for an issue on which the div-
dend is regarded as safe. Should
the preferred dividend be reduced
still more radical action would be
necessary on the common.
Ajax Rubber.
Another ugly break in Ajax Rubber
unsettled the entire group of tire |
shares. The situation in Ajax is, how |
ever, not representative of the other |
companies. 1t reported a deficit for |
1920 of 81. .27s. 900, and while this was |
bad enough, it was not the worst fea- |
ture Of the statement. |
A year ago the company owed moth |
ing at tho banks, at the close OF 1920 |
1t had notes payable OF $6.145,0o0. It's
working capital was reduced over
$3.200.000. Under these circumstances
continuance OF dividends seems alto
gether unlikely. It is reported today
that Ajax was negotiating for a note
issue. the proceeds of which could
bes used to pay of indebtedness at
the hankA