Douglas daily dispatch., 1927-03-08
MARKET CHANGE
LESS VARIABLE
THAN LAST WEEK
(By the Associated Press)
r.. -, - IL

NEW YORK, March lR.-The reac-
tionary movement in stock prices
which started late last week, was car
ried further today, but with less vio-
lence. A brisk covering movement in
the last hour reduced or wiped out
many of the earlier losses, but final
quotations disclosed a fairly long list
of net declines ranging from l to Az
points.
Trading showed a marked contrac-
tion in volume due largely to the sud-
den cessation of public interest. While
many observers continued to regard
the reaction as a natural correction of
recent speculative excesses, the selling
undoubtedly was stimulated by the
publication of 1926 earnings report of
the American Woolen, Marlin Oil and
U. S. Rubber, making unfavorable
comparison with the previous year,
and the decline in January gross rev.
enues of the Pullman company Fur
thers price cutting in the oil Industry
also may have been a factor.
The ease of the general credit sit
uation was strilkingly illustrated by
the announcement of the new short
term U. S. treasury financing at rs
and 315 per cent The monthly report
of brokers' loans by the New York
stock exchange showed an increase of
$117,673,O41 in February and the report
of the federal reserve bank for the
week ended last Wednesday showed
an increase of $50, ,891 900. Funds on
call were in plentiful supply at per
cent Despite the approach of March
Is income tax payments, and there
was no change in the accommodations
on time money and commercial paper.
Good buying support was in evidence
for such industrial favorites as U. S.
Steel, General Motors, American Can,
Allied Chemical and Mack Trucks,
which closed either unchanged or only
fractionally lower. The sharpest
breaks took place in such issues as
Houston, which broke from 117% to
112 and then snapped backNo 1149s, off
43s on the day, and Baldwin, CONNER
cial Solvents B., U. S. Cast. Iron Pipe
and White Motors, all of which sold
down points or more.
Bearishness was particularly ram
pant among floor traders, but there
also was a fair amount of liquidation
inspired by the cautionary commission
house advices. In view of the heavy
shifting of funds in connection with
March Is payments, a period of further
irregularity with no definite price
trend before that time, is regarded as
likely.
Pressure against the rails was at
tributed to several. factors, not the
least important of which is the belief
that recent wage increases would cut
heavily into 1927 earnings. Talk of a
possible adverse decision by the |. c.
c. in a case involving the "recapture
clause" of the transportation act, and
Of a slowing up in the load
ings of general freight also were ad-
vanced as excuses for the backward
ness of the rails Wabash sold down
nearly 3 points.
Commodity prices were irregular,
wheat futures easing slightly, while
cotton options advanced. Sugar prices
were heavy and raw sugar was un-
Renewed buying of Spanish
pesetas, which carried the rate above
II CENTS to the highest price in several
years, featured the firm foreign ex-
change market Demand sterling and
French francs were slightly higher,
around $4.S4% and 390A cents, respec-
tiVely.