Evening star. [volume] (Washington, D.C.) 1854-1972, 1928-07-10
GENERAL MOTORS
MARKET LEADER
Demonstration in Issue Over.
shadows Everything Else
in Dealings.
BY GEORGE T. HUGHES.

Special Dispatch to The Star.
NEW YORK, July 10.--General Motors
dominated the trading on the Stock Ex-
change today. The spectacular buying
of this issue did not reach It's climax
until the closing trading. Approaching
600 it was up nearly s points on the
riay. The demonstration on this issue
overshadowed everything else that hap
pened in the proceedings.
The diScouraging incident, however,
was the failure of United States Steel
ia respond To the Unexpectedly large
increase in the June untitled tonnage
statement.
Among other later favorites were Nc
Keesport Tin Plate, across the 20 level;
American Can. across So, and HUDSON.
UP more than a point on the day.
The speculative element appeared less
concerned with the markets technical
position and based its calculations on
developments in outside business. The
credit situation was prime factor. The
call loan renewal rate was fiXed at s
per cent. as against the previous re-
newal of sig, and funds for stock mar
ket purposes we're not as plentiful even
at the higher level
Support for Motors.
So far as the movement of prices
went the one encouraging incident was
the support accorded General Motors.
After dropping below 1913 the price
rallied across 1875. where 1t was more
than a point higher on the day Ex-
pectations that when directors meet for
dividend action early in August stock
holders will again be rewarded by some
81 5ief~ rAS he the
basis for the buying. One report was
current to the effect that recapitali-
cation providing for split up of the
present shares in the ratio of two for
one with the new stock carrying SIS
dividend was contemplated. But this
was nothing more than speculative
gossip.
United States Steel throughout the
forenoon backed and filed. Below lao
it was down a point and was evidently
awaiting disclosures in the tonnage
statement as of June 80. When the
increase of 220,lS7 tons was reported
for the period steel rallied, but only
feebly. The total as of the end of June
was 3.637,009 tons. against 3,4i6822 on
May 81, and compared with 3,053,246
tons on June 80, 1927. The action Of
the stock and of the steel shares gen
orally indicated that this increase had
been discounted at current market
prices.
Loans Again Called.
After midday banks again called
loans. Uneasiness over the possibility
of a higher Federal reserve rediscount
rate had the effect of checking bullish
demonstrations Quiet LIQUIDATION was
noticeable in such recent favorites as
Montgomery Ward and Sears-Roebuck.
The same was true of numerous high
grade dividend-paying railroad shares,
notably Atlantic Coast Line and Ca
madam Pacific. Among the junior
issues operations for the rise were Sus-
pended in Missouri Kansas-Texas, while
Missouri Pacific at "a was down a point.
Lower prices were reached In Attain.
tic Refining, Texas Corporation and
Houston Oil in their group. the selling
influenced by the latest increase re-
ported today in domestic crude oil out
put. Collins g. Altman was speciality
favorite. advancing several points fol-
lowing publication of the three month
earnings statement to May 81 last
Declaration of the usual extra dividend
of so cents on Nash Motors failed to
have any influence upon the stock.
which was more concerned with the
falling of in earnings for the quarter
ended May 81 as compared with the
same quarter last year.
Whole List Liquidated.
When U. S. Steel failed to respond
to the favorable tonnage figures and
turned definitely downward, the whole
list with but few exceptions felt the
effect of liquidation. Southern PACING
was under pronounced pressure among
the rails. Wright Aeronautical and
Radio Corporation were approximately
points lower General Motors con-
tinued in demand around its high OF
the forenoon. In all the banks called
$4,000, 900 in loans.
The declines we're not permitted TO
extend very far and supporting orders
were met on each reaction. Y. 5. steer,
after dropping below 1873. rallied slight
~. Trading proceeded at slow pace.
q