Daily Kennebec journal. [microfilm reel] (Augusta, Me.) 1870-1975, 1924-03-26
W FINANCIAL NEWS w
NEW YORK MARKET
Features Of the Days Dealings In All
the Leading Stocks

crumbled in today's active market
under the weight Of heavy short SELL
ing and extensive liquidation of long
stock, inspired by the omission of the
extra dividend on American Can and
the sudden increase in the call money
rate from 31 to 5 percent.
More than fifty stocks broke
through to new low prices for the
year including Baldwin at 116A;
Studebaker at 91M; Chandler at
Ash; Stewart Warner at 76A; Max
well Motors A at 43h; American To-
bacco B. at 1854; Bethlahem Stetel
at 51h; Crucible at 55M; Republic
at 47%; American Wooden at 6sA
and Marine preferred at 26M. The
extreme losses in these issues ranged
from ! to six points but in the ma
jority Of cases closing prices showed
partial recovery from the lows of the
day.
Despite the fact that heavy selling
OF American Can late yesterday was
bsed on alleged inside information"
that the extra would be omitted, sew
eral commission houses indicated in
their morning wires that the 81 extra
would be paid, bringing about short
covering which carried Can a point
above yesterdays close in the early
trading. When only the regular was
announced a food of selling orders
appeared, carrying Con down from
114A to 10sA, the stock closing
slightly above the lower figure for a
net loss of five points. More than
$4,000 shares changed hands in the
first hour Of trading, the days total
sales being slightly below 100000
shares. or more than one eighth of
the total business.
There was no special news to ac-
count for the selling Of Baldwin, but
the weakness o fthat issue soon COM
municated itself to otehr parts of the
list and accelerated the general de-
cline. United States Steel common
closed nearly n point lower at 98a
after having touched par in the early
trading. Motors continued to yield
TO berish reports concerning condi-
tons In the industry.
Rail stocks continued to offer
stronger resistance to pressure al
though Lackawanna broke nearly
four points to 117R on semi official
denial of reports that n special dis
tribution to stockholders was under
consideration and Atlantic Coast Line
dropped 2 points. Union Pacific lost
ground in the face of an extremely
favorable February earnings state
mcnt.
An overcrowdcd short interest in
Ccntrl Leather and L. :. Rubber pre-
fcred issues was revealed in the pre-
MUM demanded on borrowed stocks.
Strength Of farm implement issues
came somewhat ms n surprise in view
of teh recent decline N wheat prices.
Seine selling took place in the Pam
Americana, on reports of labor
trouble in Mexico, while other oils
yielded In sympathy with the general
decline in other quarters.
Cali money opened at 81, advan-
ccd to A, Az and finally five where
1t closed. Time money was somewhat
hrmer. thirty to sixty day loans be-
ing on Az To Az percent basis
with lenders firm in demanding A.:
for loans of 3 months or more. Com
mercial paper continued to rule at
~ percent.
was quiet with fluctuations narrow
ing considerably. Demand sterling
held around $l2ah and French
francs just below 4.40 cents.
Reactionary tendencies developed
in todnys bond market; as wave
ot profit taking broke out on the stiff
fleming of money rates. l. $. Govern
ment issues, which yesterday were
the first to reflect the change in
the money situation declined stu
further today under continued Hqni-
dation and n wide variety of railroad
and industrial bonds yielded to SELL
ing pressure. Activity again was on
large scale. total sales running
above $4,000. 600.
An outstanding feature Of the mar
of H.
terest in st. Paul obligations. Moving
counter to the general trend. several
OF the roads issues. including the as
of 1925 and the convertible AVS,
moved up / TO 3 points to new high
levels for the year. Large institu-
tons. which recently were credited
with causing n sensational advance
in these lines. were said to be accu-
mulating additional bonds on the
strength of the roads prospects Tor
rcfunding operations next year. In
ternational and Great Northern mort
cages also experienced n sharp rally.
Speculative railroad and local trac-
ton issues. which had been the
strongest features in recent sessions.
were the hardest hit by the rise IN
money rates today. Seaboard. Mis-
souri, Pacific, Frisco. Denver and Rio
Grande, PETERBOROUGH and Il. NJ. L.
bonds all reacted from l to points
rs they were unloaded on the market
in large amounts. Chemical ana su-
gar issues also lost ground.
Total bond sales (par valued Sl6,-
0S9.00o.
Total stock sales 1.0l5,200 shares.
20 industrials averaged $500; net
loss 1.l6.
High 1924. 1924: low 94,SS.
20 railroads averaged Si24; net