Evening star., 1923-05-10
MARKET NERVOUS
| IN TRADING TODAY
Sharpest FIuctuation for
Long Time-U. S. Steel
Again Below Par.
by STUART T.. WEST.
Special Dispatch to The Star.

BY STUART T.. WEST.
Special Dispatch to The Star.
NEW YORK. May 10.-The stock
market today went through series
, of the sharpeSt fluctuations that have
been seen i'll some time.
AS business started there We're two
opposing influences at work. One was
the weakness in the steel shares the
other was the expectation of some
thing favorable developing at the
American Locomotive meeting.
Inasmuch as American Locomotive
had done much to draw the general
list upward yesterday, its action was
watched with much interest. Doubling
of the capital stock, announced at the
conclusion of the directors gathering,
with a dividend declaration at the
rate Of $40 on the old, as against the
former Sc, was followed by rapid
advance to 139. 1t proved to be, how
ever. the old story of the good news
out" and the speculative element on
this ground figured that not only
American Locomotive, but the whole
market was, for the time being, at
least. sale.
Selling of the steel stocks persisted
all during the time when the equip
!nent shares We're holding strong.
L
Bethlehem Steel. The street believes
that inasmuch as this company did
not earn its common share dividend
in the first quarter. continuance OF
the dividend in the light of the latest
trade developments must he regarded
as precarious. other steel stocks
were pulled down with bethlehem
Steel common again dipping below
par on heavy transactions. and
Crucihle. Republic and Gulf States
"A. 10,
The stewart Warner statement for
the first quarter, showing earnings
at the rate of nearly SIG, led to a
further rally above 81, but the stock
followed the general market.
Cuban American was the feature OF
the sugar group, getting up at one
time above "a.
: Sugar Ruling Important.
The two interesting news Incl
dents of the day for their possible
bearing upon the stock market Were
the announcement of another series
OF large building construction prof
ects being held up on account o;
alleged excessive costs. ana the defea'
of the Attorney Generals suit against
the New York Coffee and Sugar EX-
change.
The cutting down of building op
erations clearly foreshadowS a iallins
off in the demand for steel from
source of business At the same time
as Wednesdays trade reviews point.
ed out. new buying generally i:
slack. compared with shipments from
the mills. The United States Ster
Corporation tonnage report, Showins
,he small decrease of 114.S23 ton:
during April, is hardly of conse.
Guence. 1t merely bears out tht
statement frequently made that tn,
steel plants are busy with old order.
a NJ n n hos h.a[- i...
ing taxed we'll up to capacity.
Steel Buyers Cautions.
But the chief points in the stee
situation now are that buyers have
not Yet adjusted themselves to the
higher price level. and that they are
in no hurry TO enter the market. be.
ing well supplied for several months
ahead. These conditions may readily
change later on, but at the moment
with the added complication Of the
poStpOnemeut of large construction
enterprises. the outlook is not what
it was up to a month ago. The selling
Of the steel shares. which N:aS ont. al
the features of the day on the stock
exchange. was not under these cir
cumstances unnatural.
Pittsburgh and West Virginia.
The strength of Pittsburgh and
West Virginia, which rose to a new
high again today. was ascribed tC
projected sale of the property at a
price said to be considerably higher
than present market quotations
Something more substantial than ru-
morS of Il deal. however, evidently
is behind the buying of this stock
Pittsburgh and West Nirginia's earn
ingS are understood to he running at
the rate of approximately $12 share
which seems to Justify the talk about
SO to S4 dividend.
American Water Works.
The March figures of the American
Water Works and Electric Company
and also of its subsidiary. the West
PENNSYLVANIA Company. published to-
day, threw fresh light upon the buy
ing of the stocks of these companies
in the market lately. March net after
all charges increased nearly so per
cent over March, 1922. in the case of
American Water Works. and the
twelve months ending March 81 also
showed decided Improvement
The sugar market went higher to-
day and SO did some of the sugar
stocks. but this was merely rounding
out n recovery which had started a
week ago. From the start. the way
business men have looked upon the
matter. it was an ill-adviSed effort
upon the part of the government to
interfere with the law of supply and
demand. The whole history of SIM
liar efforts has been one of failure.