Evening star. [volume] (Washington, D.C.) 1854-1972, 1929-09-28
FURTHER SELLING
DEPRESSES STOCKS
Short Covering Near Close
Cancels Many Early Losses
in Morning.
BY STANLEY w. PRENOSIL,


NEW YORK, September 28-The
stock market encountered further large
scale selling into tOdays two-hour ses-
sion. but short covering before the close
turned prices of many stocks abruptly
upward and moro than Cancelled many
OF the days losses. Bullish operations
IN few specialties were revived. The
market presented rather ragged APP
pearance at the close, however.
There was practically nothing in the
days news to influence the market and
the selling appeared to be III a con-
siderable measure the closing out of
marginal accounts weakened in yester-
days severe break. Trading was in
large volume for a Saturday session.
with total sales Of approximately D.
100000 shares.
Market sentiment still appeared con-
siderably shaken by the huge and per-
brokers' loans Commission house adj
vices TO customers we're generally
gloomy regarding the technical position
Of the market. Yesterdays money rates
carried over the week end. but neyt
week prospects for credit remain un-
certain. Normally there should be
some easing Of the situation after the
month end settlements, but the increas-
ing Fall demands and the higher Lon
Don discount rate may result in further
flrmneSS.
Liquidation at Opening.
Large-Scale liquidation again made
its appearance at the opening. United
Gas Improvement opened with a block
of $4,000 shares at 51l2. off 2 points.
Underwood Elliott Fisher and Simmons
also opened , points lower. Commercial
Investment Trust and Thinker Roller
dT0nnOCi
Steel and Coty each point. Some sup
port appeared in few issues, however,
American Telephone and Columbia
Graphophone opening a point or 50
higher
There is nothing in the overnight
news to cast any new light on the I'M
certain credit situation, and market
sentiment was obviously still shaken BY
the huge increase in brokers' loans.
The weekend business and trade re-
views were somewhat reassuring. show
ing retail and wholesale trade moving
at rapid pace, but still pointing to
some falteTing in the steel and automo-
bile industries
Support in leading stocks was soon
withdrawn. and before the end of the
first half hour of trading practically
the entire list turned downward. The
decline. however. was more orderly
y J
soon lost its gain and showed a net loss
of a couple Of points.
Momentary strength was shown b.
such issues as American Can. u S. In
dustrial Alcohol and General Electric,
the last-named selling up 81, points,
then dropping 4 A few Of the utilities
were firm, Southern California Edison
reaching a new peak ar %. and Pa
cif1c Lighting, Electric Power & Ligh;
and Louisville Gas selling up a point
or two.
Motors Under Pressure.
Renewed weakness in U. S. Steel was
Disappointing, the issue selling down
nearly points to a new low for the
movement at 222l4. Motors were again
under pressure, General Motors sag
ging more than a point to a new 1929
low at &C.,. Auburn Auto dropped IS
points. Columbian Carbon. American
& Foreign Power. Columbia Gas &,
Electric, North American. Macy and
Johns Manville lost from 81 ? to about
points
Foreign exchanges opened steady.
with sterling cables at 4.85 5-16, up l32.