Evening star. [volume] (Washington, D.C.) 1854-1972, 1929-09-04
STOCKS IRREGULAR
IN HEAVY SELLING
Uncertainty Over Credit Out
look Proves UnsettIing
Factor in Market.
BY STANLEY w. PRENOSIL.
Associated Press Financial Editor


NEW YORK, September 4.-Extreme
nervousness characterized trading in
today's stock market, which ran into
storm of selling in the morning and
then rallied brickIy after midday. Early
declines, ranging from l to 10 points
in the active issues, were substantially
cut down, and a sprinkling of spe-
cialties marked up to 81 points TO
new high records.
Disturbing Credit Status.
Credit conditions and prospects were
the disturbing factor. Call money re-
newed unchanged at per cent, but
hopes that the return flow of Labor
day funds would cause reduction in
the rate began to look more dubious as
the session wore on. Wall Street is still
uneasy over the possibility of a higher
Bank OF England discount rate tomor-
row, and the possibility of further action
by Federal Reserve authorities to re-
strict the flow Of credit into speculative
channels. Fears are also entertained in
some quarters that the nid-month
credit pinch will be unusually severe,
and that the terms of the new Govern
ment financing will provide little incen-
tive to bullish enthusiasm.
Meanwhile trade and business news
continues generally favorable. Iron Age
reports that August pig iron production
was the largest on record for that
month, but calls attention to a further
taper1ng in pig iron and steel output in
the f1rst part of September, although
the rate OF operations shows little
change. Sears Roebuck reported an
increase OF PIP per cent in August
sales over the same month last year.
Opening Is Irregular.
Further profit taking developed at the
opening and prices were again irregular,
Radio Corporation common opened with
a block OF 1000 shares at 100, up IL.
and Initial gains of a point or more
were recorded by Andes Copper, North
american and American Type Foundries.
General Electric dropped 2 points and
initial declines of point or more were
registered by International Telephone,
United States Freight, MONTGOMERY
Ward and Gillette Safety Razor.
Neither the bulls nor the bears"
had much of an advantage in the earIv
trading. although some of the declines
were larger than the gains In view
OF the fact that the market has passed
through an uninterrupted advance OF
nearly three weeks, several of the large
commission houses urged profit taking
and extreme caution in the making of
new commitments.
American Machine & Foundry broke
nearly 9 points in the first half hour of
trading. Westinghouse Electric and
Stone & Webster extended their early
declines to 3 points each and Johns
Manville, Peoples Gas and GOODYEAR
Rubber lost 2 points, or more. Among
the many issues to sell point or SO
lower were American Can, Underwood
Elliott Fisher, International Harvester
and United Aircraft. Early gains in the
copper group were well maintained.
Pools resumed activities in a few
specialties in which favorable develop
ments are believed to be pending,
Western Diaries B, Best & Co. and Otis
Elevator were pushed into new high
ground.
Early Advances.
American & Foreign Power, which
was weak yesterday, rallied nearly 3
points. United States Steel common,
American Sugar Refining, Sears Roe
buck and Corn Products advanced a
point or so. Buying of the rails was
rather selective in character Reading
and Erie were the early leaders, each
moving into new high ground
Foreign exchanges opened firm, with
sterling cables quoted a shade higher
at 81 "a 13-16