The Indianapolis times. [volume] (Indianapolis [Ind.]) 1922-1965, 1927-08-03
BULLETIN

By United Press
NEW YORK, Aug. 3.-Loans to
members of the stock exchange
at the close of business July 81
totaled 1854, 695, 200, new high
record, the exchange reported to-
day. This figure compared with
$3.568. 966,843 on June 30 and
$2,997, 759, 1927 on July 81, 1926. The
previous high record was made on
June 80, 1927, at $685. 66,843.
By United Press
NEW YORK, Aug. 3.-Wall
Streets interest at the opening was
conferred on the markets condition
to President Coolidge's unexpected
announcement he did not choose to
be a candidate for reelection. This
statement found the general list in
a vulnerable position as a result OF
sweeping advances over the last
several weeks and prices broke bad
~ in early dealings.
General Motors, Steel, Westing-
house Electric and other industrial
leaders experienced breaks running
up to Z points.
However, General Motors quickly
snapped back to 1854, up points
from opening levels, while Steel re-
covered more than a point to 1925
and other active issues rallied pro-
portionately.
Many Sales
Trading was exceptionally heavy,
sales from 10 to 1890 a. m. totaling
504 600 shares or at the rate OF
over five million shares for a five
hour day.
The recovery after the first wave
of selling was pronounced and prices
steadily gained during the re-
mainder of the first hour.
Du Pont, which opened at 2oO'
off 15% points, recovered to 297.
General Motors sold up to 227, a
gain of five points from the open
ing. while United States Steel re-
bounded 211a points from the open
ing to 1877.
After maintaining furious pace
through the morning, tradlng
slowed down around noon. The
tame which ran about fifteen min
utes behind the market during the
first two hours was fairly well
abreast of current transactions
around 1890 o. m. However, the
general list lost the confident tone
Displayed on the recovery from the
opening break.
Politics in Market
Selling cropped out in various de-
nartments and price movements as
a whole reflected considerable I'M
certainty. In banking circles, the
view prevailed that Presidenli Cool
idge's statement, whether it elm
mated him as a candidate or not,
has injected politics into the stock
market situation several months
earlier than usual. Moreover, II
came upon the general list at a time
when it had experienced a perpen-
dicular advance over period OF
six weeks, naturally reducing its re-
sistance to unfavorable develop
mentS.
Another feature Of the situation
to which the bankers gave thought
was the possibility that the hesita
ton created by presidential con-
test would have restraining inf1u-
ence on new business ventures. 1t
was recalled that years in which
National political campaigns oc-
Cured were almost invariably
periods of extreme conservatism.
ITO the extent that trade, COM
merce and finance are better Or
ganized than ever before" said
Hornblower & Weeks in this con-
nection, "it is assuring to realize
that business is well prepared to
Withstand this particular event and
its consequences. But anything
which tends to create uncertainty in
the mind of the typical American
business man, diminishes confidence
in the future, hurts sentiment and
restricts business enterprise as well
as speculative activity"