New Britain herald., 1930-06-05
Decline Speculation Proves Most Effective Professional Trend In
 Stock Market After Experiment
Veteran Traders Seek a Foothold On Upward or Downward Trend and Discover List Yields Readily-Business News Pessimistic.

New York, June (P - Profess sional traders continued their exper- imentai efforts 10 send prices one | way or the other in today's stock market. and found speculation for the decline the more effective. Bear selling "as in substantial volume for a time, and losses of two points or more were common among the pi- votAl shares.
 extraordinarily abundant credit ana the possibility Of g reduction in the New York federal reserv. re- discount rate, were interpreted un- favorably. in sharp contrast to the construction placed upon similar de- velopments in March
 Acceptance Rates Cut
 Bankers acceptance rates were cut to 2 l-4-2 Is per cent for the shorter naturitles, the lowest in six years, These rates are far out of line with the rediscount rate Of 5 per cent and would seem to suggest a downward revision. The Bank of England made no change in it's 8 per cent rate. however. and re- duction Of the New York rate to level lower than that of London would be q departure from recent policy
 While the reductions in bankers acceptance rates were undoubtedly in expectation Of the tenn porarv in. fluences toward cheap money Of the quarterly treasury financing during the next fortnight, they apparently have been encouraged by the reserve authorities, in view of the reduction of the reserve buying rate on Tues day. The bearishly inclined stated that such drastic slashine Of money rates would seem to indicate that bankers believe business IS ln need Of an extraordinarly strong tonic, and that flotation Of the reparstions loan may require considerable arti- ticial assistance, TheiNew York fed sral reserve rate is. now as low as it has been since the re.erre system Was irausurated. In the over the counter market bank stocks sasged.
 Added 10 the rather unsettlns changes In the money market corporate news was none too pleas ing Goodyear cut 1t. tire prices about 5 per cent, emphasizing the doHnrsrd novefnent Of commodity prices and GeneralsElectric declared only the regular dividend, falling to order an extra as was done at this time in zach Of the three preceding years, Stocks were sold in occasion al blocks of 5000 to 10000 shares, initiating large seal. bear opera tlons. but the market renamed professional traders affair. Call money held officially at } per cent. but va. available in good supply at 2 1-2 in the outside market Short CT maturity time money was quoted 2%. to. 5.
 Some Of the high priced shares broke sharply such issues ss Au- burn. Case, Westinshous. Electric. ESstnsn Kodak Wilmington and ColUmbian cafbon losing five to more than 10 points [. $. Steel sagEed about three points to | new l6* for the movement. and such lssuesias Radio. General Electric. Sears Roebuck, Public Service Of \. J, American Water Works and GonsolidStAd Gas los' two points or me:e, Glidden dropped to a new 1e5o low,lrsfteting writing of of in- ventory losses. TIRE MARKET AT 2:15-S:NO P. M.
 Total sales to 2:10 p. m.-i,s ,s9s,- 900 shares.