The Waterbury Democrat., 1931-07-07
NV United Pressl

(By United Press)
The first reaction of world mar
kets to the Franco-American accord
on the Hoover moratorium plan was
to advance. This was followed by
a reaction at all centers.
Foreign markets generally retain
ed part of their gains, but American
stocks and commodities reacted to
levels under the previous close.
New York Stock Exchange stocks
| were down to more than points
as noon approached following early
gains of fractions to 2 points. Curb
| cities drifted down.
London stocks opened strong in
| excited trading but declined from
the highs. Selling came into the
Paris bourse near the close but fall
| ed to erase all of the early gains and
| the same was true at Berlin where
the close was firm.
Foreign cotton markets opened
| higher with Liverpool up to z
points; Alexandria up 6 to IS; Havre
up 6 to z and Bremen up II to Is.
The New York Cotton Exchange
opened Is to 81 points higher and
| by noon was showing net losses of 3
to 6 points.
Silk futures declined to a points;
sugar rose 1 to points and cotton
| oil rose 8 to II points.
The Liverpool cotton market clos
ed 2 points higher to 1 point lower
Local Stocks Drop
New York, July 7-UP)-Per-
sistent selling reduced stock market
values by $2,OOO,000,O00 to-day after
their rise of $5,000,000,000 on eX-
pectation of successful outcome of
| the Franco-American negotiations
on the Hoover moratorium plan.
The decline which brought prices
down l to points was considered
the normal aftermath Of the accept
| ance of the debt holiday plan by
France. The market. it was ex-
planned, had discounted the enforce
| ment of the plan with rise not
seen since the 1929 boom and,
therefore, was subject to realizing by
those with profits.
A large part of the rise which set
in ON June 20 was brought on by
short covering. This had a tendency
to weaken the technical position of
the list and make it vulnerable to
selling pressure which developed to-
| day in quantity.
Trading was the most active since
June 26 when volume for the full
s IS on Appropriated 100000
shares. Sales to 1880 p. m. to-day
totaled 100000 shares, against
100000 shares in the corresponding
period yesterday.
To-days decline up to 1880 was
the most severe of any this year.
The Dow-Jones Industrial average
lost ST. points to that time from
the previous close and at 147.09
| was the lowest since June "a. The
railroad average was at $3.50 off
2.2 and the utility average 1887 off
1.7S.
Steel Common broke below 100 to
SO IL where 1t was off IA points.
Allied Chemical sold down to 124
IA off "a; Vanadium 32 is off
3 IL; American Can 100 Ia off 3
Ia; Westinghouse Electric IS Ia
| off SIS; j. l. Case 80 ga off S Is;
General Motors 81 rs off Ia;
General Electric AZ "a off "a
and Du Pont 8S off 2.
Rails were forced down with the
industrials. New York Central broke
to 88 5-8 off Is; Union Pacific
| 165 off IL; Atchison 1853 Ia off
Ia; Baltimore & Ohio So off 2
2.32 and the utility average 59.S7 off
"a.
In the utility division Consolidated
Gas at 95 1-2 off rs; American &
Foreign Power "a rs off 3-8; In
ternational Telephone 80 ga off 2
Is and American Telephone 179 Ia
off "a.
Cotton sold off 50 a bale from the
highs and was off about 81 from
the previous close. Grains held
at out steady. German bonds sold
off after early firmness.
EARLY TRADING
New York. July 7.-UP)-Prices
| advanced fractions to more than a
point on the New York Stock Elk
change to-day and dealings were
over night followed successful con-
| clusion of the Franco American
| negotiations on the Hoover morato-
rum proposal. This was responsible
for rise on European markets at
all points. although the gains were
much smaller than those which fol-
| lowed the first announcement of the
| Hoover plan.
at iO4A up u on 5000 shares and
Electric rose to IS up IL: Consoli-
dated Gas 99% up N; Gold Dust
31A up M. Du Pont 91ls up 11s +;
IL; Kanne sna ssH up e A3 sm sn
Can 113 up Y; Auburn Auto 100 UP
2: American Telephone 1872 up IL
| and Electric Power and Light "A up
u The entire list Joined the advance.
The first sale Of Radio Corporation
was on a block Of 5000 shares at
PIN up "a and United Corporation
on a similar block opened at 25 up
VI.
Rails. coppers. oils. foods and mo-
| tor shares were firm Radio eth i.