Evening star., 1924-08-22
HEAVY REALIZING
. IN STOCK market
Colorado Fuel Leads Sales
! Laid to Pools and
;, Sitter Money.
BY STUART p. WEST.

Special Dispatch to The Star.
NEW YORK, August 22.-The mar
ket turned downward today after an
hour or more of indecision. There
was no outside news to account TOT
this change. 1t simply resulted from
the discovery that operations Tor the
rise were no longer meeting with
success. When the following on the
long side saw prices begin to melt
there was general selling move
ment.
The first weak spot to develop was
Colorado Fuel and Iron. 1T looked
as IL the pool operation based upon
the oil discoveries on the company
property had been completed. But
at the same time the decline was an
expression Of disappointment because
of the absence of reliable information
as to what these oil positions realiy
amount to.
Selling in st. Paul Issues.
Selling continued in the st. Paui
issues although there was a sumclen'
short interest. especially in the pre-
ferred. to afford an element of SUP
mort. The situation in New Haven is
quite dissimilar to that in st. Paul.
Nevertheless, there was some con-
nection between the weakness OF the
last few DAYS in the st. Paul shares
and the selling. which carried New
Haven below 25 today. Others OF the
so-called junior rails went lower
among them St. Louis Southwestern.
Wabash preferred A and Pittsourgn
and West Virginia. The weakness IN
the last named called attention to the
fact that this road was left out OF
the Van Sweringen combination and
that rumors regarding it's acquisition
by one or another big railway sys-
TEN have not materialized.
Several Strong spots.
In face Of the reactionary tendency
elsewhere. strength OF American Gan
was quite remark able. 1t showed
that the powers back of this stock
were sufficiently confident to disre-
gard the general market movement.
The same comment was applicable 10
l. S. Cast Iron Pipe, which made q
new high while other things were
going down. American Tobacco was
quietly bought on information that
earnings were running we'll ahead OF
last year. that they were well up to
record figures. and that an extra divi-
dend was a distinct possibility.
Coppers DisappOintinE.
The action of the copper shares was
disappointing to their numerous fol-
lowers who were banking too much
upon the advance in the metal. Fol-
lowing the rather mysterious selling
on the previous day in kennecott,
there was sudden unloading of Chile
and Anaconda, too, lost all its for
ward push. Notwithstanding this, the
Street was interested in a prediction
of house whose opinion counts for
much that owing to expansion OF
public utilities. European needs and
the present reduced stocks of the
metal, the price would work up to 10
cents a pound. At this figure re-
sumption Of dividends would be per-
mitted by companies now paying
nothing and increases would be al
lowable by low cost producers, such
as Chile, sKennecott, Utah and Cerro
de Pasco.
Money Rates Cause Selling.
iThe hardening of money rates
slight as it was and certainly of no
serious significance. nevertheless
brought about further selling OF
liberty bonds and sagging inclina-
tiDn in the investment market gen.
erally. In the weekly statement of
the Federal Reserve no evidence ap-
peared that the usual crop moving
demands were beginning to affect the
position. Rediscounts dropped off
another $6.900.000 and note circula-
tipn another $14,000.00O.
The regional banAs, unable to OBJ
tain employment for their funds in
more profitable channels. were buy
ing Government bonds and bankers
aeceptances.
The week end statement of the
member banks may throw more light
upon the reason for the raising of
money rates. But the inference from
the Federal Reserve showing would
certainly be that 1t was move an
ticipating the result of withdrawal
for harvest purposes upon the money
supply. rather than the consequence
of any change in money conditions
which had yet occurred.