The Indianapolis times. [volume] (Indianapolis [Ind.]) 1922-1965, 1923-09-26
DRIVE ON MOTORS
FAILS TO WEAKEN
INDUSTRIAL LIST
Studebaker CurtaiIment for
Last Quarter Made Pretext
for Selling,
The WALL STREET JOURNAL

NEW YORK, Sept. 26.-stocks at
the opening Of trading today made an
excellent response to the encouraging
character of business news over
night Announcement of increased
bookings by United States Steel had
a bullsh effect on sentiment. This
convincing demonstration that the fall
demand was setting in satisfactorily
brought covering movement in the
Industrial group that caused a full
gain in American Can and fractional
advances in Baldwin, Steel, American
Locomotive and other speculative IA
vorites.
First Hour
Early gains were not sustained and
renewed heaviness developed before
the end Of the first hour. Studebal1er
was depressed to q further new low
for the year on President Erskines
statement that capacity operations
for the past nine months would be
curtailed somewhat in the last quar-
ter because Of the seasonal decline in
demand Tires also were offered freely
but American Can showed a better
tone, due to dividend announcement.
President Erskine's statement was
looked upon in bearish circles as a
confirmation OF reports Of decreased
demand in the motor field and other
producers were subjected to pressure.
Second Hour
Better buying Of industrials was IN
evidence in the late morning, the de-
mand having been based on the
theory that with an extended short
interest, rally was due at any time.
A large short interest was responsible
for the August and September rally
which carried certain stocks up
fifteen points. The borrowing de-
mand for Can, Studebaker, Baldwin,
Steel and others has been very large
over the last week. but these issues
showed a considerably improved tone
at noon. scoaring fair-sized recovertes
from their early lows.
Noon Hour
Continued bearishness In weekly
steel trade reviews checked the rally
ing tendency in evidence in the
middle OF the day and industrials
again turned heavy. The statement
OF Iron Age that September bookings
were practically unchanged from
August conficted with the official
figures OF the United States Steel
Corporation which showed incoming
orders had more than doubled so far
in September in comparison with the
preceding month. While independ-
ents undoubtedly are not showing
anything like a corresponding gain, 1t
is probable their bookings are about
the same as last month.
Fourth Hour
An exception to the heaviness Of
the general Industrial list In the fourth
hour was the Independent oil group,
which showed better resistance under
leader hip of Prairie Oil. This is not
strange when the fact is taken into
consideration that this group has suf
fered more this year than any other
class of stocks. With Cosden off SO
points from the years high, Phillips
40, Maryland 81 and Sinclair q,
shrewd traders are not likely to make
large commitments on the short side,
particularly at a time when OF au-
thorities say the peak of the Cahfor-
MIA production has been reached.
Closing Hour
Favored by technical considerations,
the rally in trading developed greater
confidence as the session drew TO a
close. During the recent drive, four
stocks. Baldwin, American Can, Steel,
and Studebaker furnished thirtyfour
per cent OF the volume although the
represented scarcely more than one
per cent of the stocks dealt IN. This
fact caused seasoned observers to feel
the short side was becoming too over
crowded for comfort and 1t was be-
lieved inside conditions pointed to at
least a temporary suspension of the