New Britain herald., 1926-05-13
FIGHT
 WAGED TODAY ON
 STOCK EXCHANGE
Bear Traders, Out to "Get'' Nash Fail in Attempt to Break
 Common Below S52
NEARLY 75,OOO SHARES
 ARE THROWN ON MARKET

Price Then Rallies to 5512 on Re
 treat of Disappointed Short Sellers All Other Business Practically
 Suspcnds During Onslaught-
 Nash's Interests Able to Absorb
 All That Is Offered For Disposal. New York, May 13 Py-One of the greatest stock exchange battles in recent history was staged on the floor today when bear traders made an unsuccessful attempt to break the common stock of the Nash Mo- tors Company below $52 a share. Nearly 10000 shares, ranging from small offerings to a single block of Q,000 shares. were thrown on the market. The offerings were readily absorbed and subsequently, the stock rallied to 55 F on the urgent retreat of the disappointed short seller.
 oIilNI tDuSlIlNSS ENtlNllNlNt~-
 Business in other stocks was prac, tically suspended as scores of traders milled around the Nash post ts watch or participate in the gigantic struggle, which lasted less than an hour. Selling came from q wide num- Der of sources but three houses, be- lieved to represent powerful spccu- lators for the decline executed tho bulk of the selling orders. The only buyers, when the selling wave was it it's peak were Clark, Dodge and Co.,, who were believed to be act ing for Nash banking interests.
 Reports have been circulated in Wall street for days that Nash stock was "pcgged" at 52. and that a standing order of 35.000 to 50.000 shares was in the market at that price. Practically all other motor stocks have yielded to bear pressure during the last few days, including General Motors, whose directors are expected to declare a substantial ex- tra dividend at their meeting after the close Of the market today Elm boldcncd by their success in depress- ing other motors, bear traders ap- pareutly decided to get" Nash to- day.
 Raid starts Near 52.
 The stock was selling at q fraction above g. when the raid" started, but quickly slipped down to the "pcgged' price. Then the battle be- gan. One thousand shares were of fcred at 52 and were promptly taken. Then another thousanr, 1.500, 2,500. three or four blocks of 5000 each and finally one of 10000, but the price held, and the buyers showed no signs of giving under the tidal wave of selling.
 Bear traders. realizing that the stock would be hard to borrow in or der to cover their short sales, were quick to accept defeat. Those who had sold stocks most heavily were the first to buy it back. and so great was the demand that the stock quickly rebounded to 55i2 with the buN tIS ttJ OA NIltti 4AIg iltlllhlAiF5 lt back to the sellers at higher prices,
 While the selling wave was at it's height one of the financial tickers printed a report that large blocks of stock were being sold in the open for the estate of the late James J. Sorrow. q partner in the firm of Lee, Higginson and company, but this was promptly denied by David Howies. one of the executors. 3.O00,0O0 Shares Outstanding
 There are nearly 3,000000 shares Of Nash stock outstanding as a re- suit of the paymsnt of a 900 per cent stock dividend on February 19. This makes it practically impossible 10 "corner" the stock except through q gigantic outlay of capital.
 However. the short interest in the stock has been so large of late that i it has been loaning fiat" among brokers, meaning that bear" trad CTS were willing to forego interest on checks for the full market value of the stock deposited by the brOk- CTS who loan stock in order 10 pre- went the sellers to make deliveries on sales required under the rules of the exchange.
 This is done on the theory that the stock sold short may be bought back later at lower prices and the Chesapeake stock returned 10 the broker from whom it was borrowed when selling at higher prices, the loss of interest and any dividends paid by the borrower being made up by the profit on the short sale, if it is successful.