Evening star. [volume] (Washington, D.C.) 1854-1972, 1932-05-28
STOCKS IRREGULAR
AFTER EARLY DIP
Partial Recovery Occurs Fol.
lowing Markets Descent
to New Lows.
BY GEORGE T. HUGHES.

Special Dispatch to The Star
NEW YORK, May 28.-Selling IN
fluenced by the cut in the General
Electric dividend. by the additional Diff
ficulties that have arisen in Washing
ton over an agreement on unemploy-
ment relief and by the unsatisfactory
reports from retail trade carried the
stock market down into new low ground
on the opening transactions today, but
at this point resistance was encountered,
partial rally ensued and thereafter
the price movement was irregular.
1t was reassuring that, in the face
OF all the unfavorable news, liquidation
should be as small as it was. There
were some fairly large blocks changing
hands at the start, but in the later
dealings there was no particular pres
sure anywhere and such recessions as
occurred were on lots of 200 or 200
Snares. 1t all testified to a thoroughly
Hquidated condition.
The early weakness affected princi-
pally the public utilities, which were in
nuenced perhaps by the Cities Service
situation; the electrical stocks, where
OF course yesterdays news about Cen
eral Electric was the factor. and the
store stocks. General Electric opened
on 10,000-share block at 9. off a
point, and at the low est at which the
present shares have ever sold. Westing-
mouse Electric made a new low in syul-
pathy, but regained the loss. General
Electric rallied fractionally.
In the utilities American Telephone
dropped below 81 for the first time and
was IN supply on every rally. New lows
we're made by Consolidated Gas. Public
Service of New jersey and United Gas
Improvement, all of them coming back
more or less. Food and tobacco stocks
were weak. as they have been for some
time. United Aircraft had a sinking
spell.
The depressing influence in the mer-
chandlSlng shares was the sales sta
tlstlcs given in the June monthly re-
view of business by the Federal Reserve
agent at New York. Declines from the
same period year ago were reported
by all organizations except the candy
stores. The result was new lows for
Drug, Inc; Safeway Stores, American
Stores and j. c. PenneT, among others.
Sears Roebuck dipped under SIS share
for the first time
Ihere were, however. industrials
which made surprisingly good resistance.
Under this head came American Can,
Allied Chemical, United States Steel
common and Air Reduction. Eastman
Kodak received good support. Oil shares
were down fractionally. but not really
weak. All things considered. it was a
quiet market
The feature in the railway list was a
break in Atchison through the
mark. Preferred stocks. as usual, were
liquidated only at concessions. regard
less OF investment rating or yield. In a
number of instances wide spreads be-
tween the bid and offered prices were
quoted on the tape before buyers and
sellers came together.
Exchange rates indicated that for
eigners were still doubtful about the
dollar. or at least willing to speculate
on It's depreciation. Pronounced strength
IN sterling was said to be due to buying
by japanese interests exchanging dollars
Tor the pound. French francs we're
strong and guilders were higher.