Evening star. [volume] (Washington, D.C.) 1854-1972, 1926-03-03
SELLING
HITS RAIL STOCKS
Shares of Roads Involved in
Merger Plans Break Un-
der Avalanche.
By the Associated Press.

by the ASSOCIdtcu
NEW YORK, March 3.-An ava
lanche of selling orders for the shares
of railroads in which consolidation
plans are pending struck today's stock
market with terrific force as a result
of the Interstate Commerce Commls-
sion's disapproval Of the Nickel
Plate" merger terms, and carried
about a dozen of these issues down
from to nearly 13 points.
Prices generally wavered for a time
under the impact of this liquidation,
but strong buying support was in evil
dence. and, with few exceptions, quo
tations of standard industrials and
public utilities did not break through
their low prices of yesterday in the
early trading.
With the exception of Chesapeake
and Ohio, whose minority stockhold-
ers are generally given credit for the
successful opposition to the hnanclai
terms proposed by the van SWerln-
gems. sharp recessions took place in
tbe shares of all units of the proposed
"Nickel Plate" system. Chesapeake
and Ohio common opened 2& higher,
at 116. but ran up to 1904 before the
end of the first hour.
Other Stocks Break.
Pere Marquette common broke l2A
noints. Erie common IN, the first pre-
ferred 41a and the second preferred D,
No sale of Nickel Plate old stock was
recorded on the New York Stock EX-
change in the first hour of trading.
1t closed last night at 1853, and there
were a few market orders at the open
ing, but these were Withdrawn When
brokers found it impossible to get
what they called a reasonable bid. The
stock was not even quoted.
Trading in the stocks OF the pro
nosed nickel Plate" new company,
which had been dealt in one a when
issued" basis on the New York Curb
Market ever since the detailed plans
were made public months ago, was
suspended by order of the board OIL
governors. -,
Total sales in the first hour fell
lust short of 100000 shares, with
the ticker 1S minutes behind the
actual quotations on the floor.
Railroad Shares Dumped.
Other railroad shares, whose mer-
ger plans have been dimmed at least
temporarily by the Nickel Plate de-
cision, were thrown overheard by dis
annointed speculatorS and investors.
pittsburgh and West Virginia broke
3 noints and Wabash common. Mis-
souri, Pacific common, Kansas CITY
Southern and Katy" common sagged
1 to nearly 6 points. On the otheT
hand. Delaware, Lackawanna and
Western common jumped points
and KATY" preferred 312
Necessitous selling in the indus
trials appeared to be confined to
nsch issues as American Can (old
stock). Mack Trucks, Jordan Motors,
Fisk Rubber, Hudson, Liggett d
MYERS, Ward Baking and McCrory
stores b, which hammered down
21b to points.
Stocks which made the best initial
response to the appearance or strong
buying support and short covering
were Allied Chemical, American Agrl-
cultural Chemical preferred, Stewart
Warner Speedometer, General Elec-
eric NVoolworth, American Snuff and
Dodge Brothers common, all of which
were pushed up 3 to 512 points.
United States Steel common advanced
point to 123, and corresponding ad-
vances took place in most OF the
other standard industrials.
Curb Market Stronger.
on the New York Curb Market
where the tremendous liquidation OF
public utility stock demoralized trad
ing yesterday, a stronger tone also
was apparent. Initial losses of to
points, representing the closing out OF
weakened marginal accounts, were
recorded at the opening, but most OF
these were quickly recovered wher
supporting orders appeared in large
| volume.
Commodity markets. with the ex
ception of rubber futures, which
! dropped to 4 cents a pound, alsc
! showed evidence of better support
Wheat options opened irregular May
contracts advancing y of a cent 6
bushel to 1894 cents. The cottor
market opened steady. Coffee sag
ged Is to 90 points in the early
trading.
The floor of the stock exchang,
and the customers rooms of broker
age houses presented scenes of wilt
confusion. In some instances vet
fCap4ipred ~, % ns~n = CoI.Y,a,-a 4