The Indianapolis times. [volume] (Indianapolis [Ind.]) 1922-1965, 1932-04-23
BY ELMER C. WALLER

NEW YORK, April 22.-Three
elements contributed to condition
today that brought further liquida-
ton in the stock marke.
These were: Disappointment over
retention of the per cent redis-
count rate by the New York federal
reserve board; a small rise in money
in circulation, indicating resumption
of boarding; continuation of the
senate investigation of short SELL
ing; poor business in all parts of the
country as reported by the weekly
reviews.
According to preliminary calcu-
lations, the Dow Jones g. Co. in
dustrial average stood at $3.50, of
3.12 points, rail average at 1854
of 1.81 points and the utility aver
age at 24.31, off 104 points.
Sales totaled 100000 shares COM
pared with 100000 shares Thurs
day.
Aggregate market value of ten
leading stocks was $4.846, 400, 674
against $5,O45, 1922 Thursday, a
Aecllne Oh SlS5, ,05o.
Demand Is Lacking
Selling was light, but steady, and
demand was lacking in some issues
Traders held aloof pending definite
results from Washington on such
items as the bonus, tax bill and
stock market investigation.
News was distinctly unfavorable
until near the close when Percy A.
Rockefeller, nephew of the oil king,
told the United Press, before testi-
flying in the senate market inquiry,
that he would be afraid to sell short
on the present market because a
rise would cruelty" short traders.
In the course of the days oper-
atoms, steel common and preferred
broke through their previous low
levels for the bear market as trad
ers sought to unload on fears of
dividend reductions. The same
reason brought liquidation into
American Can, American Telephone,
Standard of New Jersey, and Allied
Chemical and all made new lows for
several years.
Tobacco shares were weak with
the exception of Liggett g. Myers B.
r. j. Reynolds Tobacco B made a
new low for the year at 311a off IL
and American Tobacco B was down
nearly 2 points.
Production Shows Loss
Selling in this ordinarily stable
group was INDUCED by the March
report on internal revenue, showing
drop of 10 per cent in cigaret pro-
duction from March, 1881.
OF more Importance market
wise was weakness in the rails which
lost to Z points, heaviest losers be-
ing Delaware g. Hudson, Norfolk e.
Western, Union Pacific, New York
Central, Atchison g. Missouri Pacific
preferred.
Attention was directed to the
plight of the roads by q statement
by E. G. auckland, president of
the railroad credit corporation, in
which he said the corporation was
not counting on receiving more
than $5,000,000 a month on the in
creased freight rates and that the
amounts so received would be in
sufficient to meet demands of the
weak roads.
Traders had bid the market up
in the late traing Thursay, antici-
pating a reduction in the New York
Federal Reserve bank, rediscount
rate.
Utilities Driven Lower
This expectation was based on a
cut in the Bank of England rate
which was followed here by another
cut in the rates for bankers &C
ceptances. When the reduction here
was not effected many offered their
holdings and buyers were too scarce
to effect sales in many cases ex-
cept at wide concessions.
In the course of the day American
Telephone made a new low since
1921, and utilities generally we're
driven down. Woolworth made a
new low in its division and so did
Du Point Standard Oil of New Jer-
sey made a new low at 20, off "a
and closed at 20A.
Grains declined with wheat off
more than a cent bushel. Cotton
was down few points. Bonds were
steady to firm for a time, but they
joined the decline late in the day,