FEARS OF 1929

Wanganui Chronicle, Volume 80, Issue 250, 21 October 1937, Page 7

FEARS OF 1929

WALL STREET UPSET STOCK PRICES FALL BEAR RAIDS BLAMED (By Telegraph—Press Association—Copyright) NEW YORK, Oct. 19. A recession of prices in the New York stock and share market, appaiI ently of catastrophic proportions, began to-day, causing widespread 'fears that the 1929 debacle may be repeating itself. Sales towards mid-day totalled 3,890,000 shares. If this rate of selling were main' tained to the end of the day it would have totalled 10,000,000. Selling pressure kept the tickers twenty minutes behind. Blocks of stocks totalling 3000 to 4000 were hurled into the markets, disorganising the machinery and communications of brokerage firms. In many cases offers without takers at any price resulted. In the forenoon, it was estimated that the losses ranged 13 points. Allied Chemical, 13 points; American Telephone and Telegraph, 9 points; Bethlehem Steel, 8i points. Washington has intimated that bear raids were responsible for a per* sistent effort to depress the market. Congressman A. J. Sabath has telegraphed to President Roosevelt, asking him for an investigation of “the Wall Street conspiracy.” BRITISH MARKET COMMODITIES AFFECTED INFLUENCE OF WALL STREET LONDON, Oct. 19. Following the overnight’ Wall Street weakness the earlier decline on the Stock Exchange was accelerated. The markets were nervous ana even commodities were affected, mines and oils being weak. British funds were quietly steady, except Consols. COMPLETE REVERSAL MARKET RECOVERS AT CLOSE STILL SOME UNEASINESS Received Oct. 20, 9.54 p.m. NEW YORK, Oct. 20. Just before closing the market demonstrated a complete reversal, the whole list recovering for net gains. Some issues registered as much as a four-point rise on the day’s proceedings. A total ot 1290 shares were traded.

The recovery is ascribed to large purchases by trust funds taking advantage of bargains. Despite the recovery the market remained uneasy The situation elsewhere did not evidence any great recovery. The kerb exchange showed that only 79 out of 737 issues traded made gains at the end of the day.

Chicago, San Francisco, Montreal and Toronto reported that all indices were the lowest since 1935. Bonds on the New York exchanges were even weaker than stocks, every classification losing ground.