The Washington times., 1928-12-15
St OCKS SET TIE
TO LOWER
LEV EVLS
Ry W. S. COUSINS

NEW YORK. Dee. Is H.N.S.e.-
After few days of Indifferent rail-
lies from last weeks destructive
smash-up in the stock market in.
dtstrial stocks settled down to lower
price levels in two OF the slowest
and duIlest sessions since the big
flare-up started.
As result of last weeks shake
out the total of brokers loans de-
clined 1919 900 900, as shown by the
reserve boards weekly report.
While this is the largest weekly
change In speculative loan figures
on record, it was in line with ex-
pectations in Wall Street, not only
because of the Fleeing Of the lambs.
but also because of the demands
Tor larger margins by the broker
age houses in New York and else
where. Some of the brokers have
gone so far as to refuse to buy
stocks on margin when the price
goes under $40 share.
The high.priced market favorltes,
like radio and Sears, Roebuck( Mont
gomery Ward having vanished from
this list by its latest capital read
jHstmentl were churned around with
out reaching any particular destina.
tiOn, as is usual after such specu-
+
over the market last week.
COppers Strong
The bulls had their best service
this week from the motor stocks,
the coppers. oils and a few of the
rails and stee.s. Packard Motor
reared up to 165 at the close of
Wednesdays market, but 1t was dis
covered that ali error on the ticker
tape had given the volume of q
block of shares at $4,000 instead Of
5, 900. and in the ensuing furore
Packard quickly retreated to Isl.
Chrysler was active and strong on
rumors Of d merger with Packard
to which, however, little Importance
was attached either in Detroit or in
New York
Bethlehem Steel, Colorado Fuel
and Iron. Freep0rt Texas and Gold
Dust regained d good portion OF last
weeks huge losses, but there was
nothing sensational about their mar
ket movements. Near the weekend
the railroad stocks forged to the
front. the speculative rails advancing
sharply on reports that the big roads
were again III the field for stocks OF
Chicago md Alton, Chicago Great
Westers., Ontario and Western and
other lines which might be useful in
ARA nging a,-gers and consolida-
tiGus Of various nds.
Six Per Cent Money
Money flowed fr ely into Wall
Street and the rate went back to s
per cent. compared with last weeks
high rate of II per cent. But brokers
in Wall Street wagged their heads.
and predicted q IL per cent Tor high
er) rate before the end Of the year,
due to the necessity Of preparation
in the banks for the December i'm
come tax payments and the January
interest and dividend payments which
will be unusually heavy. As high as
billion dollars was named as the
amount needed for interest. divi-
dends. payments on maturing notes
and bonds, special bonuses to
workers IN the corporations and
banks. and other purposes.
This will tighten up the money
market, but only temporarily. since
most of this money win flow back
to the banks in the form Of de-
posts by those. who have received
It. Then there will be a harvest
OF security by the investment
houses. and perhaps new bull
move in the stock market.
Fridays flare-up in the high
priced market favorites did not jolt
the market as it would have done
under normal conditions. The bulls
made a sally against against the
bars and drove the high-priced
stocks up Is to Fl points, but the
bulk OF these new gains were
dropped before the end of the first
hour