Evening star., 1927-10-27
WAVES Of SELLING
SEND STOCKS DOWN
Bears L. Pressure Only
MomentariIy-SteeI and
Motors Are Depressed.
BY GEORGE T. HUGHES.

! Special Dispatch 10 Tho Star.
! NEW YORK, October 27.-The stool
market encountered heavy Selling di
| rectly at the start today and the in
| dustrial leaders gave way substantial
! ly. New lows on the reaction were
| recorded and for time it looked rs i
the entire market were headed TOWARD
! lower levels.
! Liquidation, however, was not a
extensive as might have been expected
and a partial rally ensued in the after
/ noon.
| The early attack was centered upoI
General Motors, General Electric Hnt
United States Steel, The fect thai
offerings in these three eaderS were
SO heavy made it fair inference thai
the selling was more for &C -ol!nt 81
speculators for the decline than from
holders of long stock. HoWeNer that
may be- the operation was successful
for the time at least.
General Motors Slumps.
General Motors opened down > points
and extended the loss another point
shortly afterward. United states
Steel started fraCtionally lower, but
support was not as good 4.' in General
Motors and it slowly but steadily
yielded. General Electric was III much
the same position as Steel.
OF course. this weakness in the
leaders brought about liquidation else.
where in the list as it was intended
to do. Some of the independent steels,
notably Cruciblc broke sharply. Cruel
BILE is generally a wide mover either
way and it lived up to its reputation
today. Bethlehem went down more
gradually. but with only feeble rallies.
Yellow Truck was the most seriously
affected of the stocks in its class.
Under the circumstances most of the
Independent motors showed good re-
sistance and Mack Trucks, in which
special buying was plainly going on,
stood out strong while the rest of the
market was going down.
Railroad stocks went lower with the
industrials, but were not so active.
Canadian Pacific lost a good part of
Wednesdays gain and so did New
York Central. Not so much atten-
ton was paid to the low-priced shares.
AS far as the trade news went it was
no more discouraging than it had been.
The average price of eight impor-
tant iron and steel products, as COM
piled by Dow Jones. was at a new low
level for the year, but on the other
hand, United States Steel's rate of
operations was up to 67 per cent
against 6512 in the preceding week
Nor was the market concerning itself
with the present status of the auto
mobile trade. The weakness in General
Motors in the face of the remarkab bic
nine months statement was proof of
that.
A few stocks were able to make
headway against the trend. One of
them was F'reeport Texas, for which
highly favorable earnings We're ple-
dicted. Another was Rossia Insurance.
which early in the session made a
new high since listing. These, how
ever. were exceptions. The great ma
)orlty of stocks were under the in
f1uence of prevailing pessimism.
The market hardened in the early
afternoon with many stocks reveal
ing more ability to move indepenE
emily. A London cable reporting that
the packing war in South America
had been settled brought about a
brlsk covering movement in the
packing house shares. The Armour
issues, the Wilson e Co, stocks and
Cudahy were the beneficiaries. Cen
eral Motors recovered a good part
OF its forenoon, loss and Steel and
General Electric rallied from their
respective lows. Meanwhile Mack
Trucks pushed ahead into new high
ground on the movement. Dealings
were on relatively small scale.