Evening star. [volume] (Washington, D.C.) 1854-1972, 1929-02-08
STOCK PRICES DROP
in WAVE OF SELLING
Buying Falls OFF After Initial
SaIes-Market Tone
Is Weak.
BY GEORGE T. HUGHES.

special UlSpatcn 10 Inc star.
NEW YORK, February 8.-Further
sharp declines were recorded on the
Stock Exchange today. There had been
some improvement at the start, but 1t
was not maintained, and as the day
wore on prices began to sag. Money
renewed at per cent, was advanced
first to z, then to and finally in the
last hour to per cent, and then the
market broke.
For time the copper stocks were
well supported, but in the closing deal
ings they came down with the rest, as
good stocks were sacrificed to protect
impaired margins. The same could be
said of the rails. They were not pressed
for sale in such volume as the indus
trials. but they lost ground steadily.
United States Steel, General Motors,
General Electric, New York Central,
Baltimore & Ohio, Anaconda and other
standard issues broke into new low
ground on the reaction in the last half
hour.
AS the end drew near. volume in
creased. The advance in call money
had something to do with the fright
into which traders were thrown, but
more impressive was the continuous de-
clineS as recorded on the tape. The
fact that the market would be closed
tomorrow was also influential in bring
ing about liquidation.
Sentiment at the opening was much
more optimistic than it had been at
Yesterdays close. The report from the
floor before the gong rang today was
that the buyers were in the majority
and initial quotations showed that this
information was correct
JohnS-Manville and General Electric
OF fiHa ~ka Il
both increased the gain later on. Beth
lehem Steel was in demand some 2
points higher and there was improve
ment In most of the coppers.
Initial Gains Small.
None of the initial gains was very
large and there was nothing comparable
to the decline of the day before. Open
ing transactions were in much smaller
blocks and the turnover in the first
half hour was 400, against 1928, 600
shares yesterday.
The fact that volume fell off on the
rally was not considered a good sign.
on the other hand. judging from the
extreme weakness at the close yester-
day, any. rally at all was regarded as
encouraging.
The market f1oundered around for an
hour or two and then began to sag
again. q. S. Steel below 174 was lower
than at any time during the break.
The heaviness in Steel was much
commented upon. Johns Manville, one
Of the so-called speculative favorites,
which at one time was up more than
6 points, Cancelled all the gain before
noon and was selling at net decline.
General Electric came off from its ear
lier top. Westinghouse in similar FASH
ion reacted after the initial advance.
A few stocks were able to make
progress against the trend, but in gen.
eral the pools stood aside until the
situation should become clearer. Vana-
dunn was strong for time, UP points
at 116 and at new high So was
international Combustion, which made
General Motors was interesting be-
cause of the announcement after the
preceding close that the stock had been
placed on q So annual basis. It opened
at 81, down over a point and sold down
further. AS a rule motors were lower,
with special pressure directed against
Chrysler.
Money Renews Unchanged.
Money renewed at 6 per cent un-
changed. The banks called loans and
the tone was Arm, with indications of
higher rate. Sentiment In the Street
was much mixed. Discussion about the
Federal reserve was heated. There was
good deal of talk also about the de-
ciSion to close the exchange tomorrow.
Although the official explanation was
that the ravages of influenza in office
STATS had made closing imperative, the
coincidence Of the action with the
break in the market was not overlooked.