The Indianapolis times. [volume] (Indianapolis [Ind.]) 1922-1965, 1932-06-18
BY ELMER G. WALLER
United Press Financial Editor

NEW YORK, June ia drop OF
2 cents a bushel in wheat, carrying
the July position to a new low at
40 cents bushel brought increased
selling into the stock market late
today and the list was forced down
TO 3 points.
According to preliminary calcula-
tons, the Dow, Jones 81 Co. indus
trial average stood at 4756, off 2.78;
rail average at 1882, off 1.39, and
the utility average at 1911, off LA.
Sales totaled 100000 shares, COM
pared with 100000 shares Thursday
Aggregate market value of ten
leading stocks was SAIL 49,, 098
against s4,333,078,331 Thursday, a
decline of 1921, $685. 1888.
Auburn Automobile, which re-
Gently had a sensational rise at the
expense of a short interest forced
to cover on what appeared to be
pool manipulation, dropped sharp
". Late in the day it was at So
off 87s points. Thursday the issue
sold as high as 77b.
Steel Shares Weaken
Steel common declined more than
2 points, being around the Is level.
Allied Chemical lost points also,
preferred 6, being nearly 3, and the
preferred 6, being influenced by the
drop in wheat. American Can,
Consolidated Gas, Eastman Kodak,
American Telephone and Atchison
lost points Or more each Union
Pacific was down 3 points.
During the early trading, the
market moved narrowly. Several
attempts were made to rally prices,
but none brought in any buying
volume. Reactionary tendencies
broke out in the early afternoon
and gathered momentum as the
price of wheat broke further.
Selling in wheat was coming from
many sources. The principal rea-
son advanced for this unloading was
report of larger than expected
yields where crops are being har-
vested in the southwest.
Other commodity markets sold
off with wheat. Cotton dipped after
early firmness, and sugar, after
twelve days of rise, also joined the
downturn.
Bonds Turn Irregular
Bonds turned irregular. German
issues were strong most of the day
on expectation of favorable develop
ments at the Lausanne conference.
The first days business session at
Lausanne brought out nothing to
warrant this belief, and, in fact,
no tangible progress was noted, this
being a factor in the stock market
dizziness and price decline along
with wheat
Business. news was mixed. Trade
reviews found some irergularity
after pickup last week. Cigaret
output for May dropped sharply as
did cigar, tobacco and snuff produc-
ton. The tobacco shares reacted
on the latter item.
The weekly federal reserve re-
port presented favorable array of
items. A loss of $70,000000 in none
tary gold was reported, bringing the
total gold stock on hand in the
country to $1,000 100000, a new low
since Dec. 9, 932. This was offset
by gain in credit of $71,912,000.
Brokers' Loans Rise
The credit gain was accounted
for by purchase of $47,640,000 in
United States government Securi-
ties and an increase of $29, 944, 900 in
bill holdings. The last two items to-
tai S77,584,0 900, from which must be
deducted $5,672,000 decrease in
member bank borrowings.
The New York Federal Reserve
bank reported sharp increase ir
loans and investments, being con-
sidered the most favorable item II
the reserve report. Circulation Of
currency increased 100000, a sea-
sonal rise, compared with rise o.
S33.000,000 in the corresponding
week of 1881. Brokers loans rost
$29, 100000. a change which might
indicate greater outside interest il
the stock market.