Evening star., 1927-05-26
RAILS ARE HIGHER
IN STOCK MARKET
Motors Go Lower and Other
Industrial Shares Are
Irregular Today.
BY GEORGE T. HUGHES.
Special Dispatch to The Star.

kpecl3l DlSpdICn 10 Inc StdIs
NEW YORK. May 26.-Great actiN
fly and rapid price fluctuations wer
the rule in today's stock market. Raj
road shares were nearly all higher
but the net changes in the industrial
were much mixed. The market start
ed in under the influence of the strik
ing recovery in prices in the last hou
of Yesterdays session. Trader
Feemed to think that the test to which
the position had been subjected whel
Yesterdays heavy selling was absorb
ed, was conclusive. and so opening
quotations today were generally a
I For the demonstration in the rail
advances.
the dividend announcements of th
Chesapeake & Ohio and of the Hockin.
Valley were the basis. Each of these
roads put their stock on a $40 basi:
against the $S previously paid. Quo
rations responded Immediately, the
shares of Chesapeake & Ohio at 19t
setting a new high for all time and
New York. Chicago & St. Louis do
ing the same at 240. The Nicke
Plate stockholders benefit by their
interest in the stock of the Chesapeake
corporation. incidentally, the latter
had corresponding advance in the
outside market.
Forerunner of Good Things.
All this was taken as a forerunnel
of other good things for holders OF
stocks in the other companies asso-
ciated with the Chesapeake & Ohio
The Erie issues were very strong
notably Erie first preferred. Pere
Marquette moved up again and buy
ing eventually spread to the stocks
of other carriers.
Chicago Great Western common
and preferred and the two issues of
Western Maryland traded in on the
stock exchange, were all in active
demand. Wabash came to the front
"a little later. The one exception was
the Missouri Pacific stocks, which
felt the effect of the unfavorable
April earnings statement, revealing
o. net operating deficit as a result of
flood conditions.
The motor shares took second place
only to the rails. Announcement of
the plans of Henry Ford and reports
of rearrangement of production plans
bf other companies brought selling
into the entire group. Hudson Motor
was the principal sufferer. A vicious
attack, apparently coming from pro-
fessional operators. forced the stock
down over 3 points, almost to the low
of the year. That the selling repre-
scented floor trading rather than the
liquidation of real stock was shown
bv the subsequent recovery. General
Motors was heavily sold also, and
yielded after show of resistance.
Both these incidents. the excited
Npbidding of the rails and the selling
of the motors, were accompanied by
kuch heavy trading that the tape
record of transactions was far behind
the actual market.
Rest of List Irregular.
The rest of the list was highly ir-
regular. One or two of the utilities
were bid up under tle lead of Inter
national Telephone & Telegraph,
which set a new high for it's history
as it touched 141.
Public Service Of New Jersey re-
nponded to its encouraging showing
Hn the last earnings statement. On
khe other hand passing of the dividend
on Inspiration Copper was followed
by liquidation in that stock and some
selling in the other eoppers. CRANKY
Mining, which was put on a 81 divi.
dend basis yesterday, went ahead Wig
orously today, as did International
Nickel. Once again it was observed
that the market was moving not as
a unit, but in response to develop.