Evening star., 1938-05-22
New German.Czech Crisis
and Domestic Outlook
Curb Trading.
MOVE AGAINST COURT
ALSO AROUSES FEARS
Steels Lead Decline and Other
Industrial Groups Follow.
Utilities Lose Gains.
BY FREDERICK GARDNER,
A,,oc,.fea praec min pntal Writer

BY FREDERICK GARDNER,
Associated Press Financial Writer.
NEW YORK, May 2l.-Dribbline
declines throughout most Of the week
were further stressed in today's brie1
stock market session when leading is
sues stepped down fractions to more
than points.
The market had a few favorable
news items to bolster it, including the
action Of the Senate Appropriations
Subcommittee barring the use OF
Federal funds for municipal power
plants in competition with private
corporations. There also was the
friendly gesture Of S. E. c. Chairman
Douglas at last nights dinner by Stock
Exchange members.
But these apparently provided In
sufficient stimulation to offset gloomy
developments elsewhere. Among the
latter was the latest German Czech
lare-up which again threatened Euro
pean peace. On top Of this, signs OF
business recovery were scant and the
latest administration move to upset q
Supreme Court decision aroused fears
in the financial sector that the court
reorganization bill might be resur-
rected.
Steels Take Lead.
Steels led the days downturn, with
other industrial groups following
Utilities. up for time. ended slightly
under water. Rails held declines to
fractions.
For the two-hour proceedings the
Associated Press average Of so issues
was of 5 OF a point at 389, making
the net drop for the week IL points.
Volume amounted to 286.070 shares.
Transfers for the six days totaled
2,426,670 shares, the smallest weekly
turnover in more than three years.
Prominent in the days losing di-
vision were U. s. Steel at 42N. Beth
lehem 44la, Chrysler AIS, General
Motors 28A, U. 8. Rubber 26. Sears
Roebuck 54ls. J. I. Case 747s. Douglas
Aircraft Ass. Kennecott 307s, West
inghouse 1874. Du Pont s81s. Allied
Chemical 146, Johns Manville 66a
and Allis Chalmers AIS.
Market Easily Shaken.
While the extreme lethargy Of share
dealings during the week indicated to
analysts that important holdings were
still intact, the fact that the market
was easily shaken down on small Of
ferings provided little cheer for spec
ulative forces.
Principally handicapping rallylng
was the weeks slump in
commodities to new lows since 1884.
Demand for bonds also dried up and,
with the exception Of United States
Government securities and high grade
corporate loans. the trend here was
toward lower levels.
Those who expected the Pennsyl-
vania primaries, which registered de-
feat of the c. I. O.-sponsored candi-
dates, to bring strong fresh buying in
stocks were disappointed. On Wednes-
day, the day following the vote, gains
were meager.
Interpreted as highly constructive
was the tentative agreement for the
sale of the National Power & Light
Co.'s Tennessee subsidiary to the T.
v. A. and city of Knoxville. The
apathetic response made by utility
stocks to this turn Of affairs. which
indicated to some another step toward
\ permanent truce between the power
and the Government, did
much to cool the buying urge in other
departments.
A more than seasonal upturn in
freight loadings for the preceding
week left the rails Indifferent. Wan
ing hopes for Federal aid for the car
riers at this session Of Congress was
) prime handicap, along with unioA
resistance to the proposed wage cut.