The Washington times., 1930-06-07
BIG TRADERS
LEAVING
STREET
Mart Vulnerable to Bear
Raids, Expert Believes,
Citing Low Price Trend
By THE SPECTATOR

By THE SPECTATOR
This is likely to be an impor-
tant day in the stock market. l
expect the trading volume to
establish a new 1880 record for
dullneSs.
Most of the important opera
tors left the city last night to
spend the weekend away from
the market. 1t is unlikely that
their representatives will take
extended positions on either the
long or short side today
Unquestionably, the market is
in a position Vulnerable, to bear
ish operations. despite the adage
to the effect that it is foolhardy
to sell a dull market. Neverthe-
less, most stocks are selling at
very low levels. and such prices
do not invite short selling. On
the other hand, there is no in
centiVe for buying, and when
there is no buying, the market
can move in only one direction,
and that is downward. There is
always the possibility, however.
that the bankers may come to
the rescue if the list seems to be
slipping too far.
It seemed yesterday that prices
were low enough, with Steel COM
mon selling within IA points Of
it's low for the year. What the
banking interests may do is
problematical, but my guess is
that they will adopt a hands
off" policy until the reparationS
loan is marketed.
The German bonds may be
offered early next week. Nearly
every one in the street hopes so,
for it is apparent that no progress
can be made in the stock market
until the powers that be have
accomplished their objective.
Stock Exchange Joke
Returning from the Stock
Exchange floor after one of the
dullest days witnessed this year.
one of the specialists remarked
that the floor had been prac-
tically empty all day.
If this continues" he said,
I'm going to apply for a roller
skating concession on the floor.
Reduction of the New York
rediscount rate is expected to
occur Immediately after offering
of the reparations bond is5ut.
Houston Oil
Houston Oil was the strongest
feature of yesterdays trading sell
ing UP ITO, a new high for the
movement. It's strength was an
other indication of the power OF
Danforth, the Boston speculator,
who was touted during the No
vember break as the greatest bear
of them all. I understand that
Danforth has covered all his
short commitments and is op-
Grating in only a few stocks,
including Commercial Solvents
and Penick and Ford. The last
named issue has acted we'll OF
late, but Commercial Solvents has
failed to get anywhere even in
rising markets.
One house pointed out that
Gillette Safety Razor might easily
do better as soon as there is a
decision in the suit brought by
the company's largest competitor.
Simmons
Simmons Company touched a
new 1880 low following the report
that May sales of the concern and
it's subsidiaries for 1880 were 8.9
per cent less than in May, 1929.
With this report out of the way,
it is felt that Simmons should do
better. The stock was we'll
bought week or more ago and it
is rumored that new group has
become interested in the stock. |
Presumably, the Chicago interests
who ran the stock up in SenSa-
tional manner last year are out of |
the picture.
While the drop of ia per cent !
in Woodwork sales for May is at
tributed to the fact that the COM
pany conducted a special ''fiftieth
anniversary sale last year, it is
pointed out that sales for the !
first: first five month have shown a
Borden
Borden continued to receive the
best of support, due to the fact
that it is one of the outstanding
food stocks and also to the effect
of the hot weather. Borden is a
1arnn dicftih11tnr nf inn n.nnr -.