Evening star., 1923-10-30
WEAKNESS IN OILS
HITS OTHER STOCKS
Better Tone in Some Railroad
Issues-Further Pressure
on Famous Players.
BY STUART p. WEST.

Special Dispatch to The Star
NEW YORK, October 30.-Weak-
ness in the oils and a rather better
tone in railway shares were the two
features in tha stock market move
ment today.
The action of some of the oils, like
Marland, which made a new low, was
disappointing to those who had be-
lieved that the oil group had COM
pletely adjusted itself to the worst
of the trade situation. Selling of the
oils reflected a better appreciation of
the significance of the deal under
which Prairie Oil and Gas purposes
to take over control of Producers and
Refiiners.
The street drew the conclusion
have agreed to such unfavorable
terms had 1t not felt 1t necessary to
do so. 1t was felt that other oil pro-
ducers outside of the Standard group
might similarly be feeling the pinch.
However, with Marland breaking
through 10. and with Producers and
Refiners off another point or more.
there was good support for Cosden
below "a and for Sinclair AROUND Is.
Rail shares Selected.
Among the rails, advances were con-
fined to shares of roads which have
been making particularly good
showing. or else which showed an
exceptional improvement in their
September returns The Fries were
the first to start forward While
there is no idea of dividend resump-
tion yet awhile, the fact remains
that earnings are running at the rate
of more than II per cent on Erie first
preferred.
The special movements showed the
same high degree of irregularity as
on Monday. Du Pont was strong for
a time. getting across 130. Selling
was resumed in Famous Players,
while Harvester, a target recently for
the bears. was strong. Mercantile
Marine preferred continued its ad-
vance at the outset, but later felt
the effect of realizing sales. Atlantic
Gulf, however. gained a point. Some
buying was noticeable in AlliS Chalm-
ers common following issuance of the
favorable earnings statement
Little New Trade News.
There were few contributions in
the way of trade news. Another drop
In refined sugar prices might have
meant nothing but the ordinary reac-
tion after the peak of the autumn de-
might have been taking account Of
the estimates of the 1923-24 world su-
gar crop which point to all records
being broken. There was nothing
fresh in the oil trade situation to ac-
count for the weakness in the stocks.
The much desired curtailment of
crude output has been delayed by the
activity in the newly developed Texas
fields.
But the best trade opinion remains
that the maximum has about been
reached. The projected absorption of
Producers and Refiners by Prairie Oil
and Gas on terms unfavorable for the
former is reminder of how the oil
war is playing into the hands of big
ger companies. This aspect of the
and explained the selling in some of
the other members of the oil. group.
Oil. Weaken Other Shares.
No doubt the weakness in the oil
shares was partly responsible for the
check in the general market. But
such selling as occurred was influ-
enced by the consideration that
prices had had fair upturn on the
previous day and that the position
might have been somewhat weakened
through reduction of fhe short in
terest
er Corporation will report Wednesday
were snore favorable today. They
were IN substance that the net would
be better than $4,000, 900, as against
slightly more than 100000 in the
second quarter. 1t is understood that
in September the net income amount
ed to approximately $2,500.00o. and
that in the nine months Studebaker
earned about as much per share as it
did all last year.
California Crude Output.
In view of the rather sharp reduc-
ton in the Santa Fe Springs terri
tory. interest is taken in the predic-
tions that crude oil production In
the Long Beach district also Is likely
The figures of the American Petro-
leum Institute, due Thursday, are
expected to give more encouragement
to those who have been observing
the reductions in first one field after
another. E.