Evening star. [volume] (Washington, D.C.) 1854-1972, 1930-08-12
STOCKS IRREGULAR
IN QUIET MARKET
Prices Move in Narrow
Range-Crop Reports
Are Watched.
BY CLAUDE A. JAEGER,
Associated Press Financial Editor.

NEW YORK, August 12.-After d
period Of gloom over the Government
crop reports, the stock market took q
bullish tip from the weather man today
but was only moderately impressed
with It.
The United States crop reporting
boards estimate of deterioration Of the
corn crop since August / was not as
bad as expected, and forecasts of
showers and cooler weather over ex-
tensive areas was interpreted as i'm
proving the outlook for a seasonal up
swing in general business.
After selling of 2 to 8 points during
the morning, the market turned upward
around midday, and most pivotal shares
regained their losses. Rails, farm i'm
plements and mail order issues, how
ever, continued under pressure, and the
market turned extremely dull on the
rally. Warner Bros, recent weak fea-
ture, rallied points in short covering
and losses of 2 or 3 points in United
States Steel, American Telephone,
American Can, Westinghouse and Du-
pont were about recovered. Corn prod
ucts sold up moderately. International
Harvester, Sears Roebuck, Montgomery
Ward and Rock Island, however, lost 2
TO points, recording new low levels.
Union Pacific dropped 8.
The crop reports made after the close
Of the previous market were even less
favorable than anticipated. A deter1or-
alton Of nearly 600, 0oo, 600 bushels In
the corn crop from July to August !
exceeded most private estimates, but
the reporting boards estimate OF q
Furtner drop of 1o0, 000, 900 bushels since
August 1, appearing early this after
noon, was not as bad as washington
reports had led Wall Street to expect.
An inc ease in the estimate OF Winter
wheat, more than offsetting the de-
tertoration of the Spring crop, wa
viewed as anything but favorable for
the already excessive supply of the lead :
ing cash crop.
The days corporate news was meagre,
but the rumor crop was thriving. The
heavy short covering and brisk rally
in Warner Bros, which undouotediy
was an important influence in the mid
day rally, was based upon a report that
the company was to be reorganiZed by
one Of the leading Wall Street private
banking houses.
July sales reports continued gen.
orally to make unfavorable comparisons.
Kroger Grocery's report for the i've
weeks ended August 2 showed q drop
of nearly IL per cent from the like
period of last year, as compared to a
reduction of less than 6 per cent for
the entire first 80 weeks of the year.
Furthermore, the report showed 5,237
stores in operation, a drop of 238 from
last year. Simmons Co.'S sales tumbled
nearly 80 per cent in July, also more
than twice the decline for the t1rst
seven months.
The rail shares failed to follow the
midday rally, with the weekly carload
ings reports showing sharp declines, and
the prospect of q reduced movement
of crops, indicating further reduction
in earnings.
Important shares closed to more
than 10 points lower, after a rally dur
ing the middle Of the day which erased
much of the bearish response to the
crop reports during the morning. The
market grew increasingly weak during
the final transactions, and such issiies
as U. S. Steel, American Can, American
Telephone and Radio lost 2 to 3
points. International Harvester dropped
4 to a new low and Case dropped
more than IL. Eastman Kodak,
Auburn and Union Pacific lost about 8.
Mail-order and rail shares were also
heavy. The closing tone was weak.
Total sales Appropriated 1900, 900
shares.