Evening star., 1924-03-03
SELLING IS HEAVY
IN STOCK MARKET
Very Wide Range of Shares
Go loWer-Bonus
Talk Is Factor.
By STUART r. WEST.

SpcGiAl Dlspatch TO Inc Star
NEW YORK, March 3.-In connec-
tion with today's decline on the stock
exchange, Wall street had lot to say
about the possibility of sensational
developments at this weeks hearings
before the Senate committees and
about the more favorable prospects,
apparently, for the soldier bonus. For
:ln hour or SO the market was irregu-
lar and there were quite, a number of
points of strength.
Mack Truck made new high for
the present movement and the action
of United States Cast Iron Pipe seemed
TO some observers to fit in with their
notion that the stock is very nearly
cornered. .....
COppers Improve Somewhat.
The coppers were helped by re-
ports that, following the passing of
dividends last week, wholesale pro-
gram of restricted production is un-
der way. American Smelling made
Il fair response to its 1923 report,
showing $S.84 earned on the\common
against 1928 the year before. There
was a sharp run-up in Fisher Body.
AS the day went on, however, the
selling which had cropped out in GER
tain groups of stocks at the opening
spread to other sections and finally
involved the greater part or the list.
The Virginia Carolina Chemical re-
ceivership came as no surprise. De
spite the fact that in the last moment
stress had been laid upon certain
strong Items in the treasury position.
and the suggestion had been made
that Wall street rumors were exag-
gerated. Virginia Carolina stocks
had not fully discounted the an
nouncement They broke again
sharply.
Rubber and Tire shares On.
The rubber and tire shares were
the first section of the market to de-
velop weakness. They were continu-
ing the downward movement of Sat
urday, which was based in part upon
the unfavorable showing in the 1928
earnings SO far reported but more
largely upon the failure of conditions
. in the tire end of the industry to i'm
prove. L. S. Rubber first preferred
was very weak again, and the COM
mon was also depressed. Kelly
Springfield was freely sold again. but
Goodrich common appeared to be re-
csiving some support around -.
Oils were the next group to give way,
then came the sugars. South Porto
Rican Sugar had a particularly sharp
break, but the selling was heavy also in
Allegro. There was no adequate eX-
PLANTATION for this decline in the sugar
trade itself. Cuban raws have come up
slightly. but not enough to make the
outlook any less bright than it has been
all along The market for the oil shares
reflected the fear that, owing to the oil
scandal, the proposal to leSislate for
government supervision will gain great
deal OF weight. Standard Oil of Cali
fornia was one of the weakest following
The announcement that the government
proposed to go ahead with legal pro-
ceedings to cancel the Elk Hills lease.
Railroad Stocks Tumble.
Northern Pacific made a new low.
and Chicago Northwestern broke SO.
In 1923 less than 4 per cent was
earned on the latter stock, and the
way things have gone SO far this
year, maintenance of the full per
sent dividend must be regarded as
doubtful.
The buying in WHY'S Overland
stocks, particularly the common. was
the 1923 earnings statement would
show net income of approximately y
s13,000,000. On January Is, 1924,
there were arrears of 22A per cent on
the preferred. Dividends Of per
cent were paid on the preferred IN
$1,1sS,710.
Tho authorized common stock was
reduced from $75,000,O00 to s15,000.-
900 late In 1923. At the end of 1922
SQ6 company QeuSll loldlCu
1874 Therefore, d deficit was turned
into q surplus last year and the way
was made clear for the payment OF
accruals on the preferred stock.
vfvaudou Under Pressure.
Eivtyudou was under pressure and
the selling was attended by bearish
rumors regarding the financial and
earnings position of the company.
These rumors were vigorously denied
in banking circles close to the IN
side.
The action of Pacific Oil today, as
it had been on several days preceding,
was puzZIfng Ito many. There was
considerable unfayorabfe talk con-
cerning the company's business, but
in well informed quarters this dis
cussion was discredjted. Bull opinion
was that Pacific Oil had large sup
plies, its earnings were holding up
and there was a likelihood of divi-
dends at the rate of So annually be-
ing paid.
Talk OF higher dividends accom-
panied Mack Trucks advance across
30 today. 1t was said that at the
forthcoming dividend meeting Mack
would go on an So basis:
The continued strength in Cast Iron
Pipe common had more behind 1t than
the litigation over the preferred
stock according to speculative gossip.
It was said that the company has a
split-up in the common in mind.