Evening star., 1938-08-28
By FREDERICK GARDNER,


By FREDERICK GARDNER,
Associated Press Financial Writer.
NEW YORK, Aug. 27.-Stocks bog
ged down in today's market and lead
ers lost fractions to more than 2 points
at the worst.
A mild recovery however, got under
way near the close and about halveo
extreme declines
The latest sell-off was attributed,
among other things, to revival of
European war fears coincident with
the speech of Sir John Simon, chan
cellor of the British exchequer. warn
ing that il Germany starts a conflict
in Central Europe, Great Britain
might be compelled to fight and other
world powers possibly dragged in.
In addition. the British home fleet.
it was announced, had been ordered to
fighting stations in the north of
Scotland during the week the NaZi
party congress at Nuremburg opens.
On top of this were preparations for
large French Army maneuvers begin
ming next week
Nervous Holders Get Out
While Wall Street generally thought
the Simon address was more concilia-
tory than otherwise, with its plea for
peaceful settlement of the Czecho-
slovak controversy, nervous holders of
stocks quickly shelved commitments.
Turnover was more pronounced on the
first hours slide. although the ticker
tape was never pressed. Activity
dwindled when supporting bids made
their appearance.
Business news continued fairly en-
couraging. but many traders noted
the inability Of the market to push
through the midsummer recovery
peak after being within touching dis
tance Of this point several times in
the past few weeks. The thought was
expressed by some that more confirma-
ton OF brisk fall business upturn
was necessary to provide sfresh ad-
vancing fuel for the list.
The Associated Press average of so
stocks was off 0.4 of a point at 49l.
but on the week the composite showed
a net gain of as much. Transfers for
the two hours amounted to $50. 700
shares, compared with 245 $50 a week
ago.
Motors Lead Slide.
Motors led the initial slide. accom-
panied by steels. rubbers. mail orders
and a wide assortment of specialties
Amusements again contested the
trend. several emerging with modest
advances. Both steels and rubbers
came back well at the finish.
Prominent losers on the day in
cluded General Motors, Chrysler
United States Steel United States
Rubber. Montgomery Ward, Sears
Roebuck. American Telephone. West
ern Union, Kennecott, American Can,
Westinghouse. Union Carbide. Johns
Manville, Philip Morris and Union
Pacific
Bethlehem Steel was only off a
shade and improvement was retained
by Loew's, Pathe and du Pont.
A few curb shares managed small
gains, including Lake Shore and
Hecla, but most other changes were
downward. aluminium Co. dipped
nearly two and Gulf Oil more than
a point. Lesser. losers included Amer
ican Cyanamid B." Eagle Pitcher
and Sunray Oil Turnover of $4,000
shares, compared with $4,000 a week
ago.
The British pound and French franc
slipped in terms of the dollar. After
the close 1t was learned $lO,250, ,OOC
Of gold had been engaged at London
for shipment to New York, the largest
transfer for any day for any country
since April %, last year.
Ups and Downs in Stocks.
Stocks experienced series of up.
and downs during the week. A small
irop On Monday was followed by {
jump of IL points in the averag,
Tuesday, the best since August IL
There was no change in the composite
Wednesday and a minor advance
Thursday A fall of 0.3 Of point wa.
registered Friday.
Motors, steels and rubbers, although
slapped down today, came out vel
ahead on the week. The former wer
buoyed by continued optimism owe
the outlook for sales after Labor Day
Steels held much of their following
as buying of automotive material
was expected to give the mill operating
rate a good boost over the next sew
eral weeks. Rubber shares also re
flected automotive prospects, with
cheering estimates being made of ney
tire deliveries.
Amusements came to the fore II
the latter part of the week on pre-
dictions Of a big increase in theate
attendance with the release of new f1ln
features and the ending of the sum
mer dull season
Rails did little or nothing. although
last weeks freight loadings were III
more slightly than seasonally an
July carrier revenue statements indi
Gated considerable betterment due t
expanding traffic and reduced main
tenance charges.
An aid to sentiment also was seen il
growing electric power consumption
heavy demand for cotton goods AM
the narrowing of the year-to-year de
cline in department store and genera
retail sales.