Evening star., 1926-03-28
STOCKS co LOWER
IN NEW REACTION
Twenty Leading IndustriaIs
Sag to the Bottom Mark
for the Year.

NEW YORK, March g7.-Pro.
nounced reactionary tendencies de-
ve]oped in today's stock market,
which was featured by the heavy
liquidation of the food. merchandising
and public utility shares. The aver
age of 20 leading industrial shares
sagged nearly 2 points to a new low
record for the year at 127.l6, or nearly
20 points below the years high
Trading was in moderate volume, the
days sales aggregatinS l,016,3o0
shares.
In the absence OF any adverse news
developments, the decline was gen
orally regarded as a further correc-
ton of a top-heavy speculative posi-
ton. While bear traders were active
in seeking out new weak spots, heavy
liquidation for the long account was
apparent in many issues, some OF 1t
obviously of a forced character.
General Asphalt broke over points
to SO on publication Of the annual
report for 1925, showing earnings of
S57S a share. much less than was
expected. With the exception Of
Independent Oil and Gas, which fell
; points. other oils showed splendid
resistance to selling pressure. net
losses being held to fractions.
Report Speeds Break.
The break in the merchandising
issues was accelerated by the 1925 re-
port of the National Department
Stores showing only $2.3l available
for the common stock. as against $4.22
in the previous year, the stock drop
ping 3ia points to a new low at 70
and then rallying to 30Si. Woolworth
slumped 8 points to a new low at
151la, closing near the bottom. S. 5.
kTesge dropped nearly 8 points to
46A and Manhattan Shirt over 3
points to 227s, both new lows.
Acute weakness also developed in
the food group when another attack
on Ward "B" carried that stock down
over 4 points TO another low at 29L
Net declines of TO 5i2 points were
recorded by California Packing, Cush-
man, Loose Wiles Biscuit and United
Fruit.
Famous Players was hammered
down points TO 1l2 on selling in
spired by the Government investiga
ton Of an alleged motion picture
monopoly. Other outstanding weak
spots were Allied Chemical, American
Smelling. Columbia Gas and Electric
Federal Light and Traction. General
Electric. Ludlum Steel. Radio Cor
poration and Stewart Warner, all of
which sold 2ia to 6i2 points lower.
Rails Well Supported.
With the exception Of Atlantic Coast
Line. which dropped 5ia points to
1861 and then rallied to 1913. the rails
received good buying support. Chesa-
peake and Ohio issues each advanced
about points. buyers apparently
being attracted by the $6 cash divi.
dend which comes off the common
April !. The New York Central re
port showing February earnings TO
be the largest in the roads history
for that month was a constructive
influence.
Commodity markets were quiet.
Active wheat futures moved within
narrow and irregular limits. Cotton
closed 6 points higher to l lower. The
coffee and sugar markets were Arm.
Trading In the foreign exchanges
was quiet. with fluctuations narrow.
Demand sterling eased slightly TO
$4.S5 1916. French francs, which
duplicated their extreme low of 3.42
cents yesterday, rallied to around 3.45
cents. Belgian francs sagged over
points TO new low record for the
year at 3.S4 cents.