Evening star., 1932-02-10
STOCKS IRREGULAR
AFTER EARLY LOSS
UnfavorabIe News on Busi-
ness Situation Proves De-
pressing Influence.
BY GEORGE T. HUGHES.

Special Dispatch to The Star.
NEW YORK, February 10.-Renewed
weakness and more new lows were fol-
lowed in today's stock market by an
irregular recovery. which seemed to in
dicate that support was being extended.
The market had more unfavorable
news with which to contend at the
ing the Treasury Department to the
effect that taxes must be increased
$455, 100000 more than had been first
estimated made a deep impression on
the Street. Next In Importance was the
weekly review OF the iron and steel
trade. presenting pessimistic outlook.
To quote the Iron Age: THE entire
picture Of the steel industry is one Of
inability to make progress against con-
ditions which restrict the purchase Of
material on almost every hand"
Many New Lows.
1t was not surprising that the early
dealings brought additional selling and
numerous new lows. Auburn Auto,
Notwithstanding its severe decline al
ready registered, broke almost points
before the drop was stayed. Railway
stocks were weak, with new lows for
Atchison, Chesapeake g. Ohio, Lacka-
wanna and Reading In the industrial
list General Electric, International
Business Machines. Lambert, Sears
Roebuck and Macy were among the
new lows, while Public Service of New
Jersey represented the utilities.
This phase lasted only about an
hour, when the market hardened, most
OF the leaders recovering their early
losses and few advancing on the
day. The conspicuously strong stock
was Union Pacific, directors of which
meet for dividend action Thursday. It
has been generally assumed that the
rate Will be reduced although the road
Is known to be In strong financial
position. The buying today, however,
would indicate belief that the cut.
If made, will not be as drastic as at
first expected
Other rails rallied but not as en-
phatically. New York Central made
the best showing. American Can
steadied around or above the preced-
Ing close and so did United States
Steel. which in the first hour made a
new low on the movement. Short COW
erlng came into du Pont Allied Chemi.
cal and other industrials.
Brokers declared that the buying on
the recent decline had been better than
the selling, meaning that 1t had come
from people of larger means and better
informed. 1t was admitted that the
business situation was discouragipg in
the extreme, but reliance was put upon
the organized efforts in Washington to
bring about industrial recovery.
Opening Prices Irregular.
The market started off irregularly
lower. Trading, however, was in small
volume.
Carloadings again showed a drop.
compared with the previous week and
the same week Of 1881, and the Steel
Trade Review had a pessimistic tone.
United States Steel opened at SO, of a
small fraction.
In the railroad stocks Atchison opened
at II, its lowest price since l908 Other
rails showing declines included Atlantic
Coast Line. Chesapeake Corporation,
Missouri-Pacific preferred, Pennsylvania
and Union Pacific.
In the mine group Kennecott at ga
was off a shade. Active industrials
such as Allied Chemical and Sears
Rcebuck, were lower.
Auburn was unchanged at s7A and
other motor shares also showed steady
trend. In the utility group American
Telephone was off fraction at 110A
and United Gas improvement was a
shade lower at 1875. Oil shares were
little changed.