New Britain herald., 1930-01-02
BULElSH MARKET
 TURNS ID SLUMP
Rally Short Lived, as Issues
 Drop 2 to s t-2 Points

New York, Jan. LPD -~ The
 York stoci, exchange today vas
 greeted with brisk rally. uut 1t
 proved to b, short lived as a rc- re"al ol selling pressure against the merchandising, public utility issues, and high priced speCialties. turned the general course Of prices down.
 ward around midday. Scores of early gains Of 1 to nearly points
 were cut down, or wiped out. and many o1 them were converted into
 declines running from 10 6l.
 points.
 News Decidedly Bcarish
 A further sharp falling of in
 freight car traffic, appointment of
 equity receiIerS to~ the Submarine
 Boat Corp, the passing Of the Amer ican cigar dividend and the revrla-
 tion oi large losses by investment
 trusts during the October November
 break. all contributed to the bear
 lSh stock market sentiment.
 The earlN rally was based on thg
 belief that the completion Of the
 heavy liquidation for tax loss purpos-
 cs had strengthened the technical position of the market. which also
 was expected 10 benefit from the dis tribution Of more than $i.0O0.000.O .OUn
 in dividends and interest this month The early investment demand was disap ppointing however. and pools. ,N-hjTl, hol I expectation Of attracting q large out side following, were compelled to curtaii operations or run the risk or dissipatins all of their buying power. Care Urged By Houses
 Commission houses continued 10 urge their customers 10 exercise careful discrimination in the making Of new commitments.
 Optimistic year-end statements by
 Secretaries Mellon and Lamont and 9 number of banking. business and
 railroad executives were not ro- Ce ivcd with the same enthusiasm 2S
 ilr years past. Except for the rather
 general belief that security prices probably would be better in the last half of the year than the first half. few brokerage houses yentuled any prophecies as to the trend of the market during the next few months. Among the bearish factors stressed were: The JOSS Of general buying
 power as a result Of the recent crash in stock prices; the curtailment in freight traffic and general industrial productions the loss of gold; uncor- tainties over the tariff; prospects or
 onsresSiora al investigation of the
 federal reserve and securities speCu- lation; increased unemployment: ad- ditional business casualties. and the forced liquidation of securities tied up as collateral for loans in banks. Call money renewed unchanged
 &t 6 per cent, with the demand ! light and indications that the rate would work lower within the next l day or two. short maturiticS in l bankers aCccptanCcs were cut ls Of l per cent The Bank of England made no change in it's discount rate | General Electric rallied ] 3-i 1 points to 249 IA and then broke to i 2f0. J. l. Case moved up 1 l-t to
 H03 and dropped 10 l94 l-@. Colum- bian Carbon advanced 2 S-i to 171 A and fell to TO and L. &. Steel common climbed @-4 10 l7% &-4. and tumbled 10 1GS $-4 Allied Chemical fell 6 1-2 points below Tuesdays close. Standard Gas .G Electric ,. and Sears RoebucN, l..
 H. Macy. and Simmons each,
 Among the many issues to lose points or more were American Telephone. American Can. Timkcn Roller Bearing and American ( Foreign Power.