Daily Kennebec journal. [microfilm reel] (Augusta, Me.) 1870-1975, 1923-05-08
FINANCIAL NEWS
NA
NEW YORK MARKET
Features Of the 0ay'1 Dealings In All
the IoAdinn Stocks

New York, May 7-Prices broke
sharply today In Ill speculative mar.
kets. Net losses In active stocks
ranged from / to ION points, most
OF the industrial favorites establish
Ing new low records for the year.
cotton broke O6 to AZ points. grain
sold on to cents and demand
sterling reacted Y Of 4 cent to S4.-
61M. new low record for the year.
Resumption Of heavy selling by
bear operators precipitated the re-
action, which was given impetus by
the closing out of another fuck of
weaken marginal accounts wide
spread circulation Of fraudulent
buying orders for stocks, several Of
which were executed before the
fraud was discovered: the relatively
high interest rate Of AZ percent on
the latest issue OF U. s. Treasury
notes, and speculative fears over the
possibility of more hostile legislation
being introduced into the next Con-
gress as result of the announced
conference on the revalueation Of
railroad securities by the Lafollette
group, all contributed to the pessi-
mistic sentiment of the professional
element.
U. S. Steel common broke below
par for the first time this year and
then rallied to 100 rs. where it was
off IL on the day. Baldwin ap-
peared to be the principal target of
bear attacks. being hammered down
to 1913 3-S, also a new low. and then
rallying to 124N. off 2h on the day.
sold at their lowest prices for the
year were American WOODEN. Cosden
Oil. common and preferred, u. S.
Rubber. Pacific Oil. Sinclair. Brook
lyn Edison. Rock Island, Columbia
Gas and Montana Power.
Stewart Warner Speedometer
broke more than IL points to S3A. a
net loss OF 1Oh points. Losses of
three to seven points were registered
by Dupont, Stromberg Carburator.
American Beet Sugar. Bosch Mag
neto. Associated Oil, Mathieson AL
kali. Kelsey Wheel, California Pc
troleum, Brooklyn Union Gas. Pierce
Arrow preferred. Public Service of
New Jersey and Replogle Steel and
Woolworth.
Short covering operations were
largely responsible for the rally
which set in during the last half
hour. many Of the leaders swapping
back one to . points from their low
prices Of the day. Among the few
active issues to show net gains of
point or more were Central Leather.
American Tobacco and Maniti Su-
gar.
Call money opened at ~ percent
and advanced to five in the last
hour. The time money market was
moderately easy with loans arrang-
ed at 81 percent. for three and
four months maturities. The bulk
OF the prime names in the CONNER
cial paper market moved at five per
cent.
Creation Of a new low record in
demand sterling was the feature of
the foreign exchange market. The
other principal European rates also
were reactionary, French and Bel
gian francs each dropping six points
to 600 and $40 cents respectively.
and German marks reacting from
.OOO29 to .OO27 Y cents. Spanish ex-
change also esta blished new low
for the year. the peseta being quoted
at 1872 cents. F.,
Bond prices moved downward in
today's relatively dull trading, all Of
the active l.. s. Government issues
with the exception of the tax exempt
3hs and the Victory 4As which ad-
vanced slightly selling from 1-32 to
11-2 Of point lower. Foreign is
sues held fairly firm while industrial
and railroad mortgages were reac-
tionary.
Lower prices for the active United
States Governments was attributed
to the governments announcement
of new financing at the relatively
high interest rate of ~ percent
while this rate was somewhat higher
than had been predicted in some
quarters. it is expected that the 9TH
err government issues would adjust
themselves to the terms Of the new
issu.
Some OF the gilt edge railroad
mortgages held fairly firm. changes
in this group being generally con-
fined to the more speculative issues.
st. Paul refundinE 4las were oft
I. IL the convertible 41as. i. and
International Great Northern ad-
justment Gs certificates 1la. Rock
Island general As were up IL.
Losses of point each were re-
corded in the industrial group by
Punta Allegro Sugar Is, Northern
States Power IS. Eastern Cuba Su-
gar TVS. Cerro de Pasco IS and Vir-
ginia Carolina Tvs. with warrants.
Marland Oil IS with warrants de-
clined 2 points. Public Service Of
New Jersey IS were in demand. ad-
vancing a point.
Total sale (par value) were $16,-