Evening star. [volume] (Washington, D.C.) 1854-1972, 1931-10-05
DECLINE IN STOCK
PRICES RESUMES
Selling Orders From Abroad
Weigh Market DOWNFALL
Group Weakest.
BY GEORGE T. HUGHES.

BY GEORGE T. HUGHES.
Special Dispatch to The Star.
NEW YORK, October Still weigh
ed down by persistent liquidation, most
of which was said to come from abroad,
the Stock Market today broke TO new
lows for the major decline.
The market opened lower and con-
tinued its decline, with hardly an in
terval of rallying all through the morn
ing. Selling orders in volume were said
to be coming from Europe and from
Canada. although there was no 1ntor-
nation as to any fresh unfavoraole oe-
yelopments. The London stock market
was easier and sterling exchange was
off more than Z points in the hrst
hour.
Margins Impaired.
The weakness the market had dis
played in the last hour on SATURDAY
brought some selling from impaired
margin accounts at the opening To-Day.
While the speculative long position na4
been enormously reduced during che
mast two years, there were still lew
traders who had been holding on put
who were finally forced to nquldate.
This selling, added to the foreign oilei-
ings. was too much for market IN
which the buying side was SO pooiiS
represented. .hot oave
way the easiest, although all groups
wnre weak Only few of the carrier
issues held above their previous lows.
Southern Pacific, breaking at one Cune
a noint between sales, was on points
tom Saturdays final Atchison SOLD at
mar and Union Pacific only pony
above that mark. New YORK Centia t
sold at the lowest for the preSeI i
shares down points on the oayc bal
timore e. Ohio broke through ~ any
the stocks of the Northwestern i9ao 10
reacted sharply. CentraI Ral4Loao "a
Now Jersey. an inactive rail-, put one
which was down 80 points last week,
made a new low only points ABOVE
par. ,o,, ,,1eped
at 67Ib q fla point and at new low
nrice for the bear market. North Amer =.
ican at 81 was off y. Consolidated
Gas at 64I4 was down 13s. American
Telephone lost 1ls at l27ls Bsthle
hem Steel dropped ! point to 25ts ana
hit a new low price for the year. Co
lumbar Carbon at 35 had similar loss
Eastman Kodak at 80 was off point
and also at a new low for the year.
Fractional losses in General Electric
at 259s. National Dairy Products at
2I3a. A. M. Byers at 14ls, Air Reduc-
ton at Sc, Union Carbide at 29 car
ried these stocks to new minimum
quotations. Westinghouse Electrical at
4O3a declined "a to a new low mark.
Rail losses for the most part were
merely fractional. Canadian Pacific at
10, Union Pacific at los and Southern
Pacific at 40 established new record
prices on the down side. Standard OH
Of California at 29ls. off u. also was
at a new low. Standard Oil of New
Jersey opened at 90, off Is. General
Motors at % lost 10.
The market continued to meet liqui-
dation in volume after the opening and
the trend was downward most OF the
morning. The list. on the average,
dropped into new low ground for the
bear market.
New Low in Rails.
The railroads. which had held to
small declines at the start, gained
impetus on the downturn and there
were new lows in AtchiSon, Baltimore
& Ohio, Canadian Pacific, Illinois
Central, New York Central, New Haven,
Southern Pacific. Southern Railway.
Union Pacific and Northern Pacific.
Industrials were as heavy as the rails,
with net declines of l to 5 points.
United States Steel encountered some
measure of support around 81, of p
point from the opening and 1l2 points
on the day. Bids were close TO the
market for the most part, and the mar
ket did not have the appearance OF a
bad break at any time.
During the first half hour trading
amounted to soc, 1000 shares, against
100000 in the same period Saturday.
Call money renewed at 1i2 per cent.
Utilities and industrials made the
same discouraging showing. United
States Steel went to a new low since
war days with a loss of some points.
Eastman Kodak broke 5 points and such
highly rated investment issues as Amer
lean Can, Allied Chemical and General
Electric, all went into new low ground
before midday.
Needless to say, no regard was paid
to values or to yield even when the
dividend rate was unquestioned.
The list was beSprinkled with invest
ment bargains, but buyers held off be-
cause they could not be sure that prices
might not reach still more attractive
level. American Telephone & Tele-
graph is a good example. Selling I'M
der $125 today, the yield was over z
per cent. Even if the dividend should
be reduced to SO, of which there is no
probability. the return would still be
almost 6l2 per cent. Under the cir
cumStances nothing but the direst ne
cessity would justify real holders of
such stocks sacrificing their properties
a faripaS i1inO TO-DAY