Evening star., 1923-03-23
MARKET DISPLAYS
/ UNCERTAIN TREND
.Today's Declines Partly Due
| to Profit Taking-Many
( Leaders Under Pressure.
BY STUART u. WEST.

Special Dispatch TO The Star.
NEW YORK, March 23.-The action
OF today's stock market made cohhict-
ing impressions upon the mlndS Oh
close observers. Undoubtedly the ma
iority looked upon such declines as
occurred as merely a temporary SET
hack But it was generally admitted
that speculative enthusiasm hdu
cooled down considerably as compared
with what it was earlier in the week
There was more of Il disposition to
take profits and otherwise clear UP
outstanding contracts on the lons
side. The result was fairly general
reaction.
Oil stocks in which pools recently
have been active were heavily sold
particularly Sinclair. Producers and
Refiners and Phillips Petroleum
Standard Oil Of New Jersey was again
under pressure. and TranScohuhenIai
Oil, below l., was down over the
greater part of the ground gained
during the entire bull campaign. Eff
forts to sell Houston Oil disclosed d
poor market for that stock.
Leaders Under Pressure.
Against such leaders as Studebaker
Baldwin Locomotive, Lima Locomo-
tive, Bethlehem B and American
Wool the pressure today was greater
than on any day for some time past
Special weakness developed again i'll
the bonds and stocks of companies
deriving their main revenue from the
production of the cotton oil. Nlr-
ginia-Carolina chemical preferred
broke sharply and the common was
heavily sold. following IA drop OF
over 3 points in the -: per cent
bonds.
In the absence of any evidence 10
the contrary a price of % for Virginia
Carolina Chemical bOudS-meaninG
that they are on an per cent basis
would seem to- lie a sufficient answer
to the question whether these com
panieS are making money in view
.f the big increase in the cost of their
raw materials.
Today's Financial Review.
Today'S decline on the stock cx-
change was set down among the rank
and file as merely a natural rcacti":
after long continued advance. As
a matter OF fact. however. il was a
sequel to the signs which have beer
apparent for some time past that the
speculative campaign was SLOWING
down and that the efforts of tn" Wal
street pools and profeSSinna Is to en-
list a larger outside participation
were not meeting with much success
While in the minds of most people
the recent market has been in the
midst of strong upward swing. the
actual truth is that taking the great.
or part of the list. no ground has beer
gained for more than a week, anC
many of the leaders were selling low.
eC todaY-and, in numerous cases. con.
Siderably lower-tthan they Were las;
Saturday. In other words while at,
tention has been concentrated upon .
score or so of selected stocks while
these have been bid up one after an
other in a way To excite speculative
interest. the main body of the market
has been dragging behind.
Decline Sharpest in Month.
What happened today was thai
these technical positions suddenly be.
gan to clarity before the speculative
community. Once it was made plair
that the market generally could no
be put up any longer by group opera
tions, there was general desire tC
unload. The result was the sharpeS
decline that has been seen in over
month. In fact. it was more of a drol
than was experienced at the time o
the raising of the federal reServ,
rates in February.
a new high price for Owens Bottle
was feature today. On moderate
buying the stock advanced over :
points from the closing level OF
Thursday. This strength was due to
a revival of talk that Owens would
announce stock dividend or another
extra cash dividend during the comlns
months. Earnings of at least 20 pei
cent on the common are reported.
Predicts Equipment Mergers.
series of deals linking railway
and electric equipment companies is
predicted by a partner in one of the
wire houses in lower Broadway. The
belief is expressed that the larger
concerns will be brought closer to-
gether and that working agreements
will be entered into such as that now
in operation between the General
Electric Company and the American
Locomotive Company. The names O
Westinghouse Electric and Baldwin
Locomotive are linked in similar
tive and Pullman as another possible
cOuplet. Every once in while re-
ports are heard regarding the pOSSi-
bility of Lima being merged with one
of its competitors, but so far nothing
has come of these reports.
Outside the stock market the mair
points of interest were further
sharp reaction in French exchanges
fresh confirmation of the rising tend
ency in time money and the Steadi-
ness of the sugar market in face OF
the criticism from Washington.
In the absence of anything in the
outside situation to explain the de.
cline. Wall street began to canvass
the possibility of another increase by
the reserve banks at next week
meeting. This, of course, was purely
matter of speculative gossip. The
likelihood of such action being taker
in view of the increasing trade de.
mands has long been appreciated, bu
il was no more eminent a consideration
today than it has been at any other
time.
Copyright. 1921