Evening star., 1923-06-29
BEAR ELEMENTS HIT
MANY STOCKS HARD
High Money, Weak Ex-
changes and Drive on Steels
Cause Some Heavy Losses.
ny STUART p. WEST.

Special Dispatch TO The star.
NEW YORK, June 29.-folio 'he
the sharp recovery of the previous
day, selling broke out again III INC
market today. 1t was maltcr Vi
great difference of opinion as 10
,vbat proportion represented rear
,i,uidation and what proportion was
for short account. But there was no
doubt that whether or not the IN
sptration came from the bear party
q lot of real stock was being forced
upon the market.
This nut a severe test upon the
newly developed buying power which
had begun to appear yesterday ana
while a large number OF tSsrs st1eKs
were very weak. breaking to new
lows for the year.
bethlehem Leads Break.
Among these were shares of the in
danendent steel companieS-Bethle-
hem Steel and Republic iron anu
Steel in Observation-Disclosures MOTORS
and the stocks of railroads traNersihs
the northwestern states.
The best information resaroihE
bethlehem Steel was that the talk Oh
A. dividend reduction accompanying
the sharp decline in the stock was not
justified. The president Oh the com.
pany is on record as saying that
dividend requirements were covered
in March. although they were not en-
tirely covered for the first quarter.
He is also on record as saying that
April was better than March.
Unofficial but creditable reports
have it that there has been further
Improvement during the last two
months of the second quarter. Under
these circumstances II is felt that the
directors when they meet In Juiy
will maintain the present regular
distribution in the Bethlehem man
agement. The decline was, therefore,
attributed simply to the fact that
there is so much more Bethlehem
common around than there used to be
:,nd its market position, under condi-
tions like these, is more Vulnerable
than the average,
Other Stocks Join slump.
Republic Iron and Steel went down
with Bethlehem, and the rest OF the
steel shares We're more or less de-
pressed In sympathy.
The conspicuous weakness in North
ern Pacific was due directly to the
Nav traffic statement, showing net
operating income of only $1S3.l64, as
against s21S,649 in the same month
last year.
The low prices were made, as a rule.
midway through the afternoon. Steel
common dipped under 90A, which was
its formal low. but around this fg-
ure showed the same resistance II
has repeatedly shown on other days.
The same was true of Baldwin Loco
motive below lis and Studepaker
around and just under par. When
the three stocks struck these Levels
they seemed to run into support or
powerful character, and it was' the
perception of this support which did
more than anything else to prevent
the market having worse break.
Rally In Late Trading.
Starting the final hour. the market
began to pick up, Studebaker get
ting above par again, and other spec
their lows. The general list however,
was still very, much unsettled. Inc
narticular weakness In the rails was
possibly the most disturbing. 1t was
reported this moring that Stude pa ke
directors are considering plans for
some favorable action at the next
d.vidend meeting. 1t Is said that the
action may take the form of an extra
dividend. many in the street nave
expected all along, or or the settihs
I'D of a dividend reserve, insurlng
the steady payments over a period OF
years.
More Hear Messages.
At the opening of the stock market
this morning Wall street was hooded
by a batch of kilograms which were
regarded as pure fakes. and which
remined brokerage houses that re.
ceived them of a similar piece OF
propaganda in the shape Of bogus
buying orders a few months ago.
The message which came into the
street today apparently from Chicaso
vas signed by one absolutely un-
known in the financial district.
1t read to the effect that the sender
understood there was 10 be an an
nouncement in next Sundays news
uapers of automobile price reduc-
lions and required advice on the
sale of Studebaker long stock.