Evening star. [volume] (Washington, D.C.) 1854-1972, 1923-01-15
SELLING OF STOCKS
CALLED TECHNICAL
Markets Action Laid to TAX.
ing of Profits, Instead of
Ruhr Climax.
ny STUART p. WEST.

BY STUART Il. "LSAs
NEW YORK, January 15.-There
was nothing of Importance in the
news over the week end to influence
the markets.
II anything. the situation in the
Ruhr seemed 4 little better in view
Of the French decision to pay in cash
FOR the coal taken from the German
mines. But the foreign exchange
market refused to support the conf
dent attitude assumed by cables from
Paris regarding the outlook for repa-
rations.
Francs were definitely weak again.
The German mark, deprived of the
nope WI len had sustained 1t so long
that the indemnity matter would be
settled with more regard for German
ability to pay, continued to SINK.
With conditions as they are there is
10 setting any limit upon this down
ward movement.
Sterling TWO Cents Lower.
Even sterling was off nearly .
rnnts in the pound from last week S
Iigh, although in its case the de-
cline was to be put down merely as
4 normal reaction after the recent
remarkable advance.
There may have been some senti-
mental connection between the
curse of the foreign exchanges and
the setback which occurred in the
greater part OF the stock exchange
list. But it would have been hard
20 say that the selling which came
INTO the market was inspired by the
European news or by any uneasiness
which had not been felt last week
regarding the outcome of the trench
experiment beyond the Rhine.
The stock market has been going
up almost continuously for the great
or part of the week. Profits had &C
,:umulated i'll the hands of profess
Sional traders which looked temptinG
enough to take. This was the real
ccason for the check given to opera
tons for the rise.
Halt in Speculative Drive.
II was good strategy in order 70
cover up realizing sales in the recent
leaders to suddenly bring forward
the railway stocks, which had done
nothing for the last fortnight. The
southern railways were the leaders 1T
this demonstration, obviously in rec
ognition of the rise in cotton anC
what il means for business and trar-
tic conditions IN the south. Elsewhere
The advance in the rails was small
and seemed to be the result mainly
of the undoing of q moderate posi-
ton on the short side.
Taking the market in general, to-
days price movement was not indie
alive of any change. 1t was SIM
ply the halt which always comes IL
the market had lost at the most g
point to points, supporting orders
made their appearance around mid.
afternoon and the selling was quick
ly checked.
stock List Turns Downward.
Traders on the stock exchange were
more interested in conditions within
the market itself today than the!
were in the outside news.
The market ran into active selling
following Il generally strong opening
The contention was that the cam
paign for higher prices had been car.
ried far enough and that a reaction
vas overdue. 1t was on this theory
that the speculative following acted
Announcement after the close o.
business Saturday of q Decent a-bar
rel rise in all grades of Mid Cont
Eent oil had no effect, apparently, be
cause the street had been LOOKING
for some such action SO long that thu
good news had been discounted. 4
sharp break i'll California Petroleum
due TO the absence of any authori
Lattve confirmation for the recent ru
mors about a deal with Pan Ameri'
can, caused n hurried unloading o.
other oils. in the course OF which
Cosden. Sinclair, Standard Oil OF Cal
ifornia and Phillips Petroleum came
down point to point and hair.
Lenders Sell Lower.
The special weakness today in Re.
tail Stores had no significance be
vond the fact that leading interests
n the company are away from New
York and are letting the stock take
care of itself. Studebaker went dowr
IA points and Baldwin Locomotive
2 points before encountering resist.
ance.
There were some notable points OF
strength in the market today, how
ever. Southern Railway was a strik.
ing feature among the rails the buy
ing being based, as has been the case
for some time, upon estimates that
earnings are running at the rate Of
81 q share on the common and also
upon calculations of favorable bust.
ness conditions in the south, result
ing from the rise in cotton.
Some Stocks Go Higher.
Reynolds Tobacco Il was taken III
on talk that something more was IL
prospect for shareholders, either IL
an increased cash dividend or another
stock dividend. There was specta
strength also in st. Louis Southwest
applied to Southern railway, in Pub
lie Service of New Jersey and, for q
time, in Corn Products and Contra
Leathers.
The better action of Rep1ogle Stee
vas due to the fact that the com
pany at last can be listed as an oper
ating steel concern. Replogle nov
has a market for its output because
Of the close connection with Wick
wire Spencer. The head of the Rep
logic Company is chairman of thu
board of the latter concern. New
banking interests also entered Rep
logic and can be said to be more ia
vorably disposed toward the compan!
than the banking interests which len
their support previously.
Rails on in Late Trading.
The selling in the stock marke
was at no time heavy, yet it persist
ed through the greater part OF tn,
afternoon. In very sensitive stocks
like Baldwin Locomotive the extrem,
loss ran as high as points. Blu
this and California Petroleum wer
exceptions. As rule, the declin
did not go beyond 1 to points.
The upturn in the rails, intended
AZ It apparently was, as a diversion
against the selling of the industrials
quickly subsidized, and in the last hou
these stocks lost good part OF thei
gain.