Evening star. [volume] (Washington, D.C.) 1854-1972, 1926-12-21
TONE REACT|0NARY
IN STOCK MARKET
Selling Not Accompanied by
Any Increase in the VOL
ume of Trading. .
BY STUART p. WEST.

Special Dispatch to The Star.
NEW YORK, December 21.--Reac
tionary tendencies, which developed
In the stock market at the outset o
the week, again were in evidence fol
a time during today'S session. 1t was
noteworthy, however, that the selling
which made itself felt in numerous
directions, was not accompanied bA
any increase in the volume of transac
tons. 1t represented for the mos1
part realizing by those who had goot
profits as a result of the recent up
turn and were disposed to take them
In view of the general belief that a
technical reaction was in order. AS
soon as this liquidation had been com
pleted the market resumed its upward
movement. but the rise was more or
derby than it has been recently,
Trading Very Slow.
At intervals trading was almost al
O. standstill. This was in direct con
trast to the heavy speculation which
went on throughout the list following
the dividend action of the United
States Steel Corporation the latter
part of the previous week. The eX
pansion of $53.922, 900 in brokers
loans in New York district during the
week ended December Is could hardly
have been assigned as the reason Tor
what reaction took place. This was
O. natural development accompanying
the increa sed activity on the buying
side during the period and had been
more or less expected.
United States Steel common had to
absorb heavy profit taking sales at
and Just under the 1872 level, but 1t
did so with little difficulty. On the
other hand, General Motors was sell
Ii NGf Of "a
session, with fluctuations confined to
unusually narrow limits.
Fajardo Sugar was another OF the
recent prominent favorites which was
subjected to heavy offering and was
carried down almost four points be
fore support was encountered.
Railway shares as a group did little
one way or the other. st. Louis and
San Francisco was an exception, ad-
vancing more than point to new
ton for the year. The demand for this
issue apparently was based on the
expected advantage the road will de-
rive from it's Chicago, Rock Island and
Pacific holdings. Atchison continued
in moderate demand above the pre-
vious final of 1884,, while Chesapeake
and Ohio ran into profit-taking at the
higher level.
Allied Chemical i'm Demand.
The continued demand for Allied
Chemical was an outstanding incident
among industrial specialties and re-
iected belief that at the coming meet
ing directors would act favorably on
PROPOSAL for distribution Of something
more than the usual dividend at the
rate OF 81 annually. Silk stocks came
to the front in the afternoon under
the leadership of Mallinson and Kay
ser. The former, at 20, compared with
the previous final of is, while the
latter stock went forward into new
high ground above so. Buying in both
instances accompanied reports of ex-
ceptionally good eai nings for the cur
rent year, and in the case Of Kayser
retirement of preferred issues some.
time in 1927 was said to be more than
q possibility.
Collins & Altman started forward
again under the same sort of buying
which has been noticed in the market
for the stock during the past month.
In some gu" rters the opinion was ex-
pressed that there was the likelihood
of the retirement of a fair-sized
amount of the preferred issue held in
the treasury of the company.
Local traction stocks, which yester-
day were responding to the outlook for
q higher fare, were less prominent,
although a good demand came into
the market for Third Avenue