The Indianapolis times. [volume] (Indianapolis [Ind.]) 1922-1965, 1927-08-13

was 1890. on LIZ. Average OF forty bonds
was s7.sS. UP 10.
n NEW fHai'" YtoRk, Aug. 12.--collapse
Of a group of stocks recently run
up under pool sponsorship, featured
the stock market today, following
the failure of the finn of A. L.
Fuller g. Co., and the reports that
stock exchange authorities are
watching a number of issues be-
lieved under the influence of ma
nipulation.
Selling spread to leading issues,
causing wide breaks throughout the
list. Panicky selling caused tickers
to get far behind the actual mar
ket. The market closed at 8 p. m,
but tickers recording sales ran I'M
til 1927 p. m.
Raids were staged In many of the
issues supported by pools such as
Manhattan Electrical Supply, the
Fuller firms stock, had been. This
stock started strong and advanced
to 64%, after which it sank to a
low for she day of 501z, recovering
slightly from this figure.
!. Terrific pressure was exerted
against White Sewing Machine,
Eureka Vacuum Cleaner, Houston
Oil and Timken Roller Bearing.
Eureka sank nearly "a points from
it's early high, while Houston
dropped 171z. All of these issues
subsequently recovered part of their
losses, but closed substantially un-
der Thursdays last prices.
Until the afternoon leading stocks
had held fairly well, but their re-
sistance was worn down by the con-
slant hammering and they, too,
succumbed. General Motors was
very active. Early it had risen to
224, but in the afternoon it had
touched a low for the day of 2161s,
from which it only made a small
rally. Selling was based, on the
fact that the good news of the
stock dividend was out.
United States Steel, which had
only given ground fractionally in
early dealings, met further selling
in the afternoon, dropping from
1924 to 1895, then recovering above
5 80. Du Pont dropped from 285%
o 1853, the latter price being off
~ from the previous close. Pierre
!. Du Pont, returning from Eu-
Describing the market, the Wall
treet Journals financial review
aid:
"Today's market broke in man
ner reminiscent of the drastic de-
cline Of March, 1926. Recalling that
the drop in Devoe e. Reynolds at
that time was quickly followed by
collapses In Foundation Company,
American E'rake Shoe and other
pool stocks, the bear crowd made
a severe drive desiring to bring
about similar sequel to Thursdays
break in Manhattan Electrical Sup
ply.
They concentrated heavy pressure
On Eureka Vacuum, White Sewing
Machine and Houston Oil. Sharp
breaks in these shares started de-
moralized selling in many sections
of the list, which steady gathered
momentum as the session pro-
crossed.
Stop-loss orders we're caught in
large volume in steel, General Mo-
tors, Allied Chemical, Hudson Mo-
tors, General Electric and other re-
cent leaders on the upswing.
Weakness which resulted in these
standard shares, exercised a de-
pressing influence on speculative
sentiment and traders long of stock
threw their holdings overheard re-
CARELESS of price.
This panicky liquidation caused
wide open breaks in stocks with
thin market, such as Air Reduction,
Commercial Solvents, General Rail-
way Signal, Eastman Kodak, A. M
Byers, Atlantic Refining and Du-
Pont.
Pool operators in Manhattan Elec-
trical, today figured their. losses
around 100000. An involuntary
petition of bankruptcy was filed in
United States District Court against
the firm by three creditors with
claims for balances due on trading
oaoo.,,a+.