Evening star. [volume] (Washington, D.C.) 1854-1972, 1927-09-08
SELLING IS HEAVY
|NSTOCK MARKET.
Prices Yield, but No General
Reaction ReSuIts-Move-
I ment Highly Irregular.
BY GEORGE It. HUGHES.

Special Dispatch to The Star.
NEW YORK, September S.-The
stock market encountered heavy sell.
Ing today and prices yielded. There
was good support, however. on the de.
cline, which did not go far enough to
justify calling it a general reaction.
Rather it seemed to be the proflt-tak-
ing which would normally come into
o market after so rapid an advance.
Steel stocks were in supply almost
from the start. United States Steel
did not open at $50, which was the
highest since the stock dividend. and,
taking that into account. the highest
for all time, but 1t came down later.
Bethlehem Steel, in much the same
fashion, sold at the best since 1928
at the opening and then receded.
Crucible lost over a point, which,
however, was not excessive. consider
ing the rapidity with which it went up
Wednesday. Probably steel shares
felt the influence of the passing of
the dividend on Gulf States Steel, an
nounced after the close Of business
OH the day before. Gulf States Steel
itself made new low for the year.
Motor Stock Irregular.
The motor stocks were irregular
General Motors dipped below $50
for a loss of over points on the
day. Nash met heavy profit-taking,
but the market took it in good style
and the stock held we'll. Chrysler
was fractionally lower and so was
Packard. On the other hand, insist
snt demand appeared for Stude-
baker, putting the price up to
new 1927 top. Studebaker had not
participated in the rise of the other
motor stocks and so was in a posi-
ton to respond to the buying.
The general run of induStrialS
moved unevenly. Woolworth came
down rather sharply early in the day,
General Electric was off almost
points and Case Threshing Machine
down about as much. Allied Cheml-
cal was lower and Montgomery Ward
and Sears Roebuck receded. Against
these losses was a vigorous advance
in American Smelling and Refining
] and confident buying of certain chain
store stocks. National Tea was up
10 points, at 165, and the most con-
spicuous stock in this part of the
list.
Another feature of the day on the
buying side was Continental Insur-
ance and National Surety Co. The
former at 200, had registered a rise
of 10 points over the preceding close
and National Surety was only a little
behind.
7 The rails did better than the indus
trials all day. Chesapeake & Ohio
again was the star performer. 1t had
closed at 1874 yesterday, which was
q new high for all time. Selling today
ex-dividend Of 2la points, it opened at
1851 and rapidly advanced above 1913,
equivalent to more than 200, taking
the dividend into account. AS was
stated in this column yesterday, COM
parison of the seasoned dividend-pay-
ing railroad shares shows that dol
lar buys more earnings per share in
Chesapeake & Ohio than anywhere
else at present. The stock may have
been held back hitherto by doubt over
the result of the application for con-
troll Of the Erie and Pere Marquette;
but however that case is decided, the
earnings remain the same.
Pennsylvania was another high
grade rail to make new high today,
In this case the best since 1910. Penn
sylvania would have ito sell at 20 to
reach a S per cent basis. and there is
still expectation of an offering of valu-
able subscription rights to new shares.
In the& iower-priced rails the move
ment in, Western Maryland kept up
and. with comparatively small turn
over. that in Wabash. With regard
to the latter, the story was revived of
IS guarantee on this common stock
by the Loree interests.
CLOSING is STRONG