Evening star. [volume] (Washington, D.C.) 1854-1972, 1928-10-02
STOCK PRICES SAG
IN SELLING WAVE
Downward Trend Is Orderly,
HoHeycr-Money Rate
Checks Buyers.
BY GEORGE T. HUGHES.

opsClEI DISpaLCH TO Inc StdI
NEW YORK, October 2.-Calles
upon to absorb rather heavy liquida-
ton, the main body of stocks worked
lower in today's stock market session.
The downward trend was orderly, how
ever, and despite the current high level
of prices there were no indications that
the selling was to get out of hand and
that the market would experience the
wide-open break which the more con-
sentative element has been anticipating.
Money conditions were more of fac
tor in the speculative calculations. The
renewal rate on call loans was estab-
lished at 8 per cent. as against z per
cent yesterday and the high of the pre-
vious session of 10 per cent for new
loans. Banks called loans to the ex-
tent of some S20,000,000 in the forenoon
and there were expectations that the
rate for additional accommodations
again would work higher
Much attention was directed to de-
velopments at the meeting of American
bankers In convention at Philadelphia,
inasmuch as the credit situation has
OeeIl maui LIE htyIlOec. OPCCuAnSAyC
Wall Street was awaiting the remarks
of Gov. Young of the Federal Reserve,
and his attitude in this respect Is ex-
pected to be the same as it has been
for the past few months.
Strenuous efforts were put forth by
powerful pool interests to maintain
confidence in Chrvsler. The stock again
equaled its previous high record OF
1247s. but came off sharply later. Cen
eral Motors. after opening 2. points
higher, again was subjected to pro-
nounced pressure and broke some.
points from the early high. At the
same time Hudson. Hupp, Packard and
Studebaker we're freely offered.
United States Steel opened a half
point higher on block of 1000 shares
at 160, but subsequently dropped below
the 1853 level, while most Of the inde-
pendents moved sympathetically Lud-
lun, however. was an exception. When
the market for this stock was found
bare of offerings the stock was bid up
to a new high around IS. as compared
with the previous final of 695s.
Mining stocks were subjected to profit
taking, but not before International
some points Anaconda came of
sharply. The OTIS lacked the necessary
sponsorship to encourage renewed pub
lie participation, despite all that has
been said about improving conditions
Pan American B. Atlantic Refining,
Phillips and Sinclair were supplied at
lower levels.
There we're the usual pool specialties
that continued to work into new high
ground. They included Lambert. which
at one time was I'D almost points
and Coty. Inc, which had as It's in
centive for the buying the reeapitali-
cation announced yesterday.
High-grade dividend-paying rails lost
a good deal Of their recent buoyancy,
but reaction in this quarter was limited.
Coincident with the calling of addi-
tional loans for total Of $4,000 900
for the day. the money rate was ad-
vanced to per cent shortly after mid
day. Further liquidation was encour-
aged and the main body of stocks
worked steadily lower. with only spas
n1odic rallies from the lows. General
Motors was selling at its lowest in the
afternoon. as were United States Steel
and the other prominent industrials
with the exception of American Can
Wright Aeronautical receded sharply
from its early high of 1913 for loss of
more than 10 points. Montgomery
Ward was down some points at in
tervals and the same was true of Radio
Corporation.