Salt Lake Telegram | 1931-05-12 | Page 14 | Railroad Reports Pull Stocks Down

I RAiLROAD REPORTS PULL STOCKS DOV Trading Extremely Dull Briey Brie Briel y Rally Started by Covering Covering Cover Cover- ing in Case NEW YORK May 12 The W-The The financial markets were depressed Tuesday by the low state of railway railway rail rail- way earnings as mirrored In the quarterly statement of New York Central Trading In stocks was cx- cx dull and the market showed sins of rallying for br a time In the afternoon afternoon- as shorts covered in Case Earlier reports that Cases Case's dividend would be reduced was discredited dis- dis credited In Tuesdays Tuesday's brokerage gos gos- sip The list eased cased off again In Inthe the thc final dealings however and closing prices showed numerous de- de dines of o from 1 to more than 4 The days day's turnover was 1 shares More disappointing than the ac- ac Won of stocks was the performance of bonds where the Influence of cheap money was more than offset by the sag In railway securities and further liquidation of Argentine is Is- Is sues KAIL SHARES DROP In stocks the general level of tails wa was back to that of 1925 New Nework NewYork York ork Central dropped 4 to a new low since 1923 and and Union Pacific lost as much Miscellaneous Issues losing 1 to 2 lx points ints included United States Steel American Can Radio Fox New NewHaven Haven aven Southern Pacific Allied Chemical Eastman and Worthing- Worthing ton Auburn lost 9 Case however how how- ever eer gamed gained 3 and Chicago Northwestern North North- Northwestern western was firm on declaration of the regular dividend I New York Central first quarter report re- re port showed a deficit of after interest and charges the first time In years that this premier carrier has lias slipped into the red Advance estimates had been current for some time indicating that the road barely broke even but actual publication of the figuers was an sri excuse for selling SALES ENCOURAGING The General Motors April sales report report re- re port was encouraging showing domestic domestic do do- sales to consumers of cars or roughly more than factory sales to dealers The total t to domestic consumers was 34 per percent percent cent over March and only under April of last year Total sales to dealers including overseas and Canadian were cars above the total of April 1930 Advance figures fig fig- tires ures on last weeks week's crude oil outPUt output out out- put also were favorable Indicating a 2 reduction of barrels In av- av dally daily output the best cur cur- In some time The monthly copper statistics however were less showing small gains in stocks of both refined and blister metal in North America and South America The cheapening of money has failed to progress as rapidly as expected ex cx- when the rediscount was cut last week The New York clearing clearing clear clear- ing house committee failed to reduce the rates of interest paid on deposits de- de posits by New York banks as had been forecast and call money after renewing for the second day at 1 per cent rose to 11 1 1 Out of town lenders pay a fee of one half of 1 per cent for having their funds placed in ui call loans and therefore found it it- more profitable to leave their money noney on deposit with New York banks