New Britain herald., 1930-06-17
Stock List Develops Resistance
To Persistent Flood Of Selling
And Receivers Some Lost Ground
No Panic of Short Cover
ing, So Experts Conclude
Decline Real Liquidation
of Impaired Accounts
and Not Professional
Manipulation.

Nev York. June II Up - The
stock market finally offered resist
ance TO selling pressure today. and
made moderate recovery IN spots, as
large supporting orders attributed to
important financial sources appear
I'd for pivotal shares.
There was no panic Of short COW
hring or violent rebound of prices,
however. tending to confirm the
opinion expressed in brokerage cir
cles yesterday that the selling repre-
sAnted real liquidation OF long hold
lngs of stock rather than bearish
tactics OF professional operators.
Losses Held Down
Naturally, the sharp break OF yes
terday brought huge volume of ne
cessltous liquidation at the opening,
but losses in most important shares
we're held to a range Of about ! 10
points and we're more than re-
gained as trading progressed. BY
midday, long list Of important
stocks showed substantial gains over
yesterdays final levels.
Opinion in both brokerage and
banking circles remained uncertain
and rather gloomy. Some commits
SION houses advised their customers
to use rallies TO hquldate their hold
ings, while others suggested that in
vAstment purchases might be made
on scale down.
Fears which have developed In
some quarters that the expected
autumn recovery OF business may be
as disappointing as was the spring
upturn we're generally regarded IN
important banking circles as IN
duly pesslmlstlc, but leading bank
ers declined to offer public comment,
recalling how far afeld went some
of the predictions OF few months
ago.
The commodity price situation re-
manned one of the most unsettllng
factors. 4 better tone in cotton
and wheat encouraged bankers to
support the stock market, but cop
per prices we're again shaded by
some custom smelters to II ga
cents pound. the lowest since 1924
Pennsylvania crude oil prices were
cut to Is cents a barrel
Chrysler Optimistic
Walter Chrysler issued rather
optimistic statement on his COM
pany's May operations, saying out
put had been increased IL per
cent over April without increasing
dealers stocks. General Motors
May sales to consumers were an
nounced at 1851 units, as reduced
from 142 ,004 IN April.
It was felt IN banking circles that
much OF the recent selling might
have represented the liquidation Of
frozen bank loans against stock COL
lateral. While such situations were
generally cleaned up in New York
some time ago, there has been a
feeling that some interior banks
might still have much house clean
ing Of that nature TO DO.
There was some nervous removal
Of funds from the call loan market
by out Of town banks. as there was
yesterday, but call money remained
p!euJ!Iul dI IL per cent.
Several shares recorded new lows
II the initial trading American
Telephone selling off %. TO 2062.
but this gain was more than record
ed. Shares showing gains OF TO
points by early afternoon included
l s. Steel. General Electric, Johns
ManvlIle, United Aircraft, American
Can, Westinghouse Electric. Balti-
more and Ohio and Union Pacific.
During the morning. Coca Cola, Co.
lumbar Carbon and Eastman ko-
dak. lost about points, and
among the lightly traded erratc
issues. American Machine AMI
Foundry dropped g. and Jersey
Central IS