New Britain herald., 1930-11-28
Rail Leaders Coast Downgrade With Brake Of In Today's Stock
 Market, Dragging Shares Along
Trading Unusually Light Prominent Industrials Resist Decline - Specu- lative Interest at Low Ebb.

New York. Nov. 2S Opl-The rail shares coasted downgrado with the brakes off in today's stock market dragging the rest Of the list after them.
 Trading was unusually light, how ever and most Of the prominent in dustrial shares resisted the decline after getting down q point or two. With only a day and a half between the holiday and the weekend spec ulative interest vas al low cbb.
 Missouri Pacific dropped points to 25. the lowest price in years, then recovered moderately. Illinois Central slid down 4 points to new low for the past 90 years. New York Central slipped back to the lowest since 1926.
 Such issues as New Haven. Nor folk and Western, Union Pacific, Southern Railway and Atchison lost 2 to ,. Industrials and utilities los
 ing ? to included L. s. Steel. American Can. American Telephone, Westinghouse Electric, Royal Dutch, Eastman Dupont, Loews, Goodyear, North American Consolidated Gas, Case and Allied Chemical, These shares, in the main, held well above the lows of Nov. 10.
 News Cheerful
 Business news appearing over the holiday seemed a shade more cheer full, but the market was evidently not impressed with it. Building con tracts awarded during the third week Of the month were substan- tially higher than during either 0, the first two weeks. The recent de- cline in electric power consumption was checked. the volume for the week showing a gain Of 1-5 of one per cent from the previous week. October railway operating income reports continued to show improve ment over September, with an az gregate decline of less than D per cent from the like month a year ago. as compared to September's drop of about 50 per cent from that month in 1929.
 Publication fo statement by Charles C. Paulding, vice president of the New York Central, describing the present predicament of the rail- roads as fully as serious as that which faced them in 1920, and de- manding sweeping revision Of the transportation act, appeared 10 have provided impetus to the decline of the carrier issues, although Wall street has been inclined to regard the determined stand being taken by rail executives for a Tightening of their burdens, as encouraging. Mr. Paulding's assertion that the present difficulties of the carriers are due. to fundamental changes in trans portation, rather than the tempor- ary effects of the business deprcs- sion, tended to dissipate any cheer which might have been extracted from the October earnings reports, nevertheless.
 Decline Unsettling
 The recent decline in railroad DOnQS mas been an unScllIlng QeNel- opment. In the case of Illinois Cen tral, however. the feat that earnings would fall below the New York state legal requirement on bonds for saw ings banks appeared unduly pessi- mistic, as the management estimat- ed final quarter net at about s450,- 900 over the like period Of last year, which would lift the years earnings above the minimum requirement. In the case of Missouri Pacific, net for the common stock, after regular pre- ferred dividends. aggregated S3.G4 for the first ten months. The sit nation is obscured, however by the large accumulation of unpaid divi- dcnds on the preferred.
 Call money was apreciably tighter but this was regarded as more en- couraging than otherwise. as it pre- indicated an increasing dc mand for funds for the holiday trade. Loans held officially at per cent, and no concessions were avail able in the outside market, where funds have recently gone begging at one per cont