Douglas daily dispatch., 1926-01-15
An unexpected outbreak of sell

An unexpected outbreak of SELL
ing turned the course of prices re-
actionary towards the CLOSE of to-
days stock market after an earlier
period of irregularity which was
| featured by the spirited demand for
the public utilities and temporary
outburst of strength in the motors
The general list continued to fluc-
tuate within a relatively narrow
trading area, although both the rail
and industrial averages sagged to a
new low level for the year.
( There was a tendency in some
quarters to attribute the recent de.
crease in public participation to the
unusually large volume of new stock
and bond issues put out during the
last fortnight on the theory that q.
large volume of surplus funds APP
parently had been invested in these
new securities. Several of the larger
commission houses also are known
to have recommended profit taking
in the belief that the next advance
in prices will start from a lower
level.
Irregularity also continued in the
commodity markets. Wheat futureS
advanced 15s to "a cents a bushel
in response to higher prices in the
foreign markets. Trading in cotto1,
was extremely quiet with net changes
five points higher to one point low
er.
In the stock market, motor shares
were in supply soon after the open
ing on the Studebaker price cut.
rTSI.
with bear traders who rushed to
cover when strong buying support
developed during the. early afternoon
Hudson rising from 112 to 11Sh ana
then sagged to 1855 up LIZ on the
day. General Motors closed nearly
point lower at 119B after selling
as high as 1872.
Mack trucks showed a net loss of
p at 14SA after having touched
15O%.
Revival of speculative interest in
the public utilities was associated
with rumors of higher dividends.
capital spEtups> and new combina..
tions. North American company, and
Montana Power showed net gains of
a point or two, but early advances
in a number of others We're substan-
TALLY reduced in the late wave Of
selling.
U. S. Steel common was heavily
sold in the final hour showing 81
net loss of over point at 1941a af
ter having sold above 1876 during the
morning. American Can broke Az
points to 2S5 and General Electric,
Sears Roebucll, General Asphalt,
Woolworth and Others closed 2 to 5
points net lower Insurance company
stocks were buoyant on publication
of exceptionally good earning state
ments. Fidelity Phoenix jumped
points to 1876 and Continental was run
up 514 to 143H4 and then fell back
to HI Rails lacked effective support
and yielded readily to selling pres
sure, Lackawanna, Delaware and
Hudson and Chesapeake and Ohio
each broke about points and At
Gibson, New York Central, Southern
Railway, Chicago and Northwestern
and several others fell back a point
or more. Some of the liquidation
probably was influenced by the fact
that freight car loadings in the first
week of January were below the cor
responding week last year.
Call money held steady at II per
cent with a plentiful supply of funds
available. Time money and CONNER
cial paper rates were unchanged.
Strength of sterling exchanges,
cable touching $4.S6 the highest
price since last May featured the
foreign exchange market. French
fracs were again heavy on selling
inspired by THE difficulties encount-
cred by Finance Minister Doumer in
trying to get his fiscal program
adopted.
other European rates were firm.
Jajanese yen crossed "A cents to the
highest rate in nearly three years.