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STOGKS COLLAPSE THOUSANLS SUFFER + DESPITE WARNING "rantic Day on Walk Street © Blow to Small Buyers - - New York, June 12. -- Wall Street's hand-made bull market collapsed today with a detona- tion heard around the world. In the biggest.day's trading in the history of the Stock Exchange prices melted away with astonish- ing rapidity as speculators, big and little, dumped their holdings into the maelstrom of buying and selling, for what they would bring. Tosses ranged from mere frac- tions in inactive stocks to as much as 23 1-2 points in Stock Ex- change issues and to as much as 150 points in stocks dealt in over the counter. It was a day of tumultuous, ex- cite market happenings, character- ized by an evident effort on the part of the general public to get out of stocks at any price. Indi- vidual losses were staggering Hundreds of small traders were completely wiped out. It was one of the most hectic days the financial district has ever exper- fenced. Four factors were uppermost in bringing about what might be termed a financial debacle. They may be enumerated as follows: Convention Is Factor Disappointment in the financial district at the turn politics have taken in Kansas City, with the ev- ident elimination of President Coolidge and the substitution of Herbert Hoover as a candidate; determination of the Federal Re- serve and banking authorities to liquidate brokers' loans and a con- tinued tightness of money for speculation purposes, as evidene- ed by the withdrawal by banks of $15,000,000 additional from the call money market, The inability of thousands of small traders to answer calls for additional margins, which neces- sitated the sale of their stock at whatever price it would bring, A secondary collapse In the Giannini stocks, with a decline in Bancitaly of 37 points, and with accompanying weakness in the shares of all banking institution securities, The open market value sheared from leading stocks was tremen- dous, the total running into the milions of dollars as speculators scrambled to get out of a tight situation which has quickly eras- ed profits, and in many cases omelrist EYESIGHT SPECIALIST Author of The Eyes in Modern Life Optometry Feature Service Your Eyes and Health Eye Care and Eye Strain 1516 PHONE 1516 DISNEY BLOCK Opposite Post Office brought heavy losses to market operators. Sales on the Stock Exchange exceeded the 5,000,000 share mark for the first time im the history of the institution, and it was not until 4.51 o'clock that the final quotations were tapped out on the tickers of an extraor- dinary market that. had closed at 3 o'clock. The lateness of the ticker, too, established a new ree- ord. w Selling Was Compulsory The wave of liquidaion was net exactly a counterpart of that which swept the Stock Exchange on Monday, for that was violent, sharp and fiery. Today's selling was mainly of a compulsory sort, with an extra- ordinarily large number of one, two, three and four hundred share lots going over the board as the point of margin protection was exhausted. These sales were country-wide. They flowed into the Stock Exchange not alene from New York brokerage houses but on the vast wire system which has been built up from every nook and corner of the country. In the aggregate they represent- ed an impressive spectacle of fin- ancial distress, ! To just what extent each of the factors in today's decline were re- sponsible it would be difficult to judge. In the first place, consid- eration must be taken of the fact that the market has gone through a long period of sharply rising prices, which has had the effect of inflaming the public mind and brought "dabblers'" by the thou- sands into the stock market, In the latter stage of the bull market there was evident the piteous spectacle of indiscriminate buying by inexperienced purchasers. Tips of all kinds were broadcast through a thousand agencies, and this only served to further height- en the activity and market excite- ment. n addition, the market has been obliged to absorb a large portion of financing on the part of companies retiring senior se- curities by the issuance of com- mon stocks. Many Oauses Contribute These factors combined to build up an unhealthy and an unwieldy situation in the market. It be came "over-bought;" with securi- ty loans to brokers showing every indication of over-inflation, The signal for the decline, which now has extended over a full eight-day period, was evident when money hegan to tighten and when political = uncertainties were brought to the fore. It was actu- ally "touched off" when a legion of speculators in the Giannini stocks on the Pacific Coast and in New York, found their operations cramped through the lack of new loanable funds with which to push their favorite stocks higher, The crash in these issues--which have been outstanding features of a broad bull market--weakened con- fidence in other directions and two days of violent reaction among the most drastic in the history of the stock exchange have occurred, Fall Was Expected , The day's decline was not un- expected in view of the tremen- dous number of margin calls which went out of the financial district. on. Monday night, hut it CHIROPRACTIC D. E, Steckley, Chiropractor and Drug- less Therapist, will be in the office, 146 Simcoe street north, every afternoon and Monday, Wednesday and Friday evenings, Forenoons by appointment, Residential calls made in town and surrounding district, Consultation is free at office, Phone 224, } CHEVROL ET OWNERS ---- Factory flat rate pairs, however \ Enjoy the Certainty of Guaranteed Repair Work Get our prices first-- Then Decide The leadership of our Service is based on merit, Prompt, efficient and courteous, See for yourself, prices on all re- large or small. ROLLL/ TRU-BLOOD _ faulty conditions in ' THE OSHAWA DAILY. TIMES, WEDNESDAY, JUNE 13, 1928 had been anticipated that the support. trading, as a matter of fact, was rather quiet and without fireworks, and was to the accompaniment of support buying in such 1 issues as United States Steel common, Ra- dio, General Motors and others. However, the market as a whole did mot perk up as the result of these demonstrations. Bancitaly, on the Curb, had opened 7 points down, to 140, and this heightened the nervousness of market observ- ers. By the noon hour the selling was in full swing, and by 1 o'clock stocks were sliding down with a velocity which reflected forced selling, fresh bear selling of the weak spots, and a thor- oughly demoralized market. The avalanche of stocks offered for sale brought scenes of pandemoni- um on the floor of the Stock Exe change. Selling orders greatly outnum- bered buying orders, and brokers fairly fought about the "posts of popular stocks to get their exe- cutions. In the brokerage offices the scenes were vastly different from a fortnight ago, Then the brok- erage rooms were warm and cheerul places, with jokes from one to another and with much laughter and mirth apparent. To- ay they were grim and serious- faced men and women, who watched the tickers and saw their newly gained riches flowing out of their hands as the little wheel recorded, : This selling was by no means confined to the stock exchanges of the country. It was persistent in the over the counter market, and, while vastly different conditions obtain on the exchanges and most stocks are held outright, never- theless there was a general with. drawal of bids, and prices in New York bank shares, + which have been driven up to extravagant heights in this wave of specula- tive enthusiasm, were darstically lower, > Even the commodities did not escape the shudder of apprehen- glon which ran through the mar- kets, Wheat sold at its lowest figure since March 28, and cotton was raggedly lower, So many speculators are engag- ed in both the stock and commod- ity markets that a drastic fluctua- tion in one is hound to have ef- fect on the other, Today recorded the first 5,000,- 000-share session in the history of the New York Stock Exchange. The record was 5,198,600 shares, prices of which were down $2 to nearly $30 in a reac- tion equalling in intensity the dis- astrous break of March, 1926, The ticker was 1 hour and 54 minutes late in recording the final quota- tion, the longest delay on record. The decline has marked down the aggregate quoted value of all securities listed on the New York Stock Exchange by billions of dol- lars. General Motors alone show- ed a loss of more than $550,000, 000 in market value from the high mark of the year. Radio Corporation dropped from an early high of $196.50 to $166.50; Wright Aeronautical from $159 to $142; Curtiss Aero- plane from $105 to $90; Greene Cananea Copper from $107.75 to $90; American International Cor- poration from $102.75 to $90.50; Houston Oil from $136 to $124.12 1-2, and Rossia Insurance from $176 to $160, but moderate recoy- eries were made in a few cases. ---- THAW IN PARIS TIRED AND ANNOYED Troubles With England Are Over and He Will For. get Them Paris, June 12.--A little tired and a little annoyed, Harry K. Thaw reached Paris at noon Suns day after passing the night at Evreux. He motored down the boulevards for the first time in 23 years and declared that his one serious desire was to be left alone. "My troubles with England are over, I am going to forget the affair as soon as possible. Paris will do just as well." Thaw declared that he cared for no more interviews and refused to say whether or not he would visit Vienna later, PARLEYS ARE HELD TO DISCUSS MERGER New York, Juen 12.--Conversa- tions have taken place between re- presentatives of the Studebaker Corporation and the Pierce-Arrow Motor Car Company looking to a possible merger of the two compa- pies, it was learned today. No agreement has been reached, and it is not yet certain that the com- panies will be able to come to terms. Negotiations were begun some days ago and continued today. If an understanding is reached the two companies will be consolidated through am exchange of stock, it is eK; outstanding 1,875,000 shares of no- par common stock of an authorized issue of 2,500,000 shares, and $7,- 425,000 of $7 cumujative $100 par preferred stock of an autherized issue of $15,000,000. The common, which will figure n the exchange, closed today at 65. BUSINESS EYE (Chicago Daily News) He--"Will you love me when [I am old?" She--"How do [I know what market would receive organized | Morning pected. The Studebaker Corporation has | England evidently intends to make Singapore one of the greatest naval bases in the world, A huge dry- dock is now on the way from Eng- he [land to this island, and is due in PARTY HOME FROM PACIFIC CRUISE (Continued From Page 3) to Melbourne, which is also an at- tractive city, and more residential in character than is Sydney. After a short sojourn in Melbourne the party returned north, and toox Dutch liner from Sydney up the coast, calling at Brisbane, thence farther up the coast and to Soura- baya, on the island of Java. Dur- ing the greater part of this 15- day voyage, the ship sailed inside the Great Barrier Reef of Austra- lia, one eof the most wonderful pieces of nature's handiwork. Tt consists of a series of coral is- lands, which glisten in the sun, and carry, here and there, stretches of vegqtation that show up most beau- tifully against the southern sea. The' islands lie from ten to fifty miles from the actual coast of Australia, and effectively prevent damage to vessels from (he some- times severe storms of the semi tropical climate. Having very beautiful weather, and a smooth sea all during the fifteen days of the trip, this proved a most inter. esting voyage for the party, Before reaching Java, the party spent a day at Maccassar, on the is- land of Celebes, a very beautiful and quite tropical dot on the Pa- cific. Then, after two days sail, the ship arrived at Java, Mr. Cowan found Java one of the most beautiful and interesting countries in his Al- though the island is only 6256 miles long by 150 miles in width, it sup- ports a population of forty millions. This seems very hard to realize as a possibility, until one has an ap the that he has ever visited thousands of miles of travel, portunity of ascertaining wealth of its natural resources, Java is probably one of the most if not the most earth and is intensively cultivated The land is tilled even to the tops of the mountains, and in this way a variety of agricultural proaucrs that require tropical or sub-tropi- eli- mate, are raised according to the which they are grown. The chief products are rice, Sugar cane, coffee and tea, of which large quantities are exported yearly. The cal, or even somewhat cooler height at island is one of the Dutch East Indies, and has been held by Hol- 200 proved good eolonists, and the home gov= her possession for The Dutch have land years. in ernment derives a large Income from the resources of Jaya. The roads are well huilt, and are all macadamized or paved with as- phalt, which makes motoring in this country a very pleasant perience. ; ; Being situated in close proximity to the equator, Java has an tremely hot climate the year round particularly along the coast. Bot the party found that, on getting further inland apd on higher es vations, the heat was pot nearly as intense as at the seaports, and that they could be quite comfortable it strenuous exertion was not at- tempted. ; From Java, Mr. Cowan and his companions continued their eruise to Singapore, which has latterly come into considerable prominence on account of the naval activity which has been going on there ---- fertile spots on eX~ ex- November of this year. This wi be able to accommodate the largest ships, and when installed will add another important link to the chain of empire. Singapore and Malaya, a neighboring island, are both under British control and are busy and important outposts of British trade and commerce. They are covered with great rubber plan- tations, and their chief export is this commodity, After a short stay in Singapore, the party sailed for Hong Kong, the trip occupying five days. Hong Kong is also a British stronghold, and is powerfully guarded and for- tified. It is separated from the coast of China by a narrow strait. During their stay in Hong Kong, the party took a short eruise up the Chinese coast to Canton, the trip taking one night. Canton has loomed largely recently in the af- fairs of China as the headquarters for the rise of the first revelu- tion. It has of late also been the scene of terrible, times, and one never knows when trouble will break out again, The attitude to the British has very much improv- ed within the past six months, however, and trade with Hong Kong is now getting back to normal proportions. After the return to Hong Kong, the four Canadians sailed for Shanghai, on the "Empress of Rus- sia.' On this run the ship was protected by a detachment of the Scottish Guards which were sta- tioned at Hong Kong. This pre- caution. was necessary on account of the piracy which has been ram- pant between these two ports. The pirates do not attack the ship in the romantic fashion of the bold days of yore but come on hoard as part of the crew, or as stewards, or passengers. Suddenly they rush the ship and get control of the bridge and engine room, and if successful take the vessel to one of their lairs along the coast, where it is scuttled and sunk. This voyage of the *"®mpress of Russia" was made without trouble, however. The party found Shang- hai in a more or less normal con- dition after their trouble of about a year ago and many of the Brit. ish troops have been withdrawn, After leaving Shanghai, the steam- er touched at Nagasaki, ¥obhe and Yokahoma, in Japan. The two latter cities ghow a con- giderable rejuvenation from the ef- fects of the earthfuake, compared with conditions there on the ocea- sion of Mr. Cowan's trip three years ago. There is still ample evidence, however, of the terrible destrue- tion wrought on that occasion, ' After jeaving Yokohoma, the last port of call in "the Land of the Rising Sun," the next destination was Vancouver, where the party arrived after a nine days' sail, on Sunday, May 27. Mr. Cowan expresses the opin- jon that it was very remarkable that no bad weather was experi- enced during any of the sixty days in which the party sailed on vari- ous oceans and seas, mostly with- in the tropics, where sudden storms are sometimes frequent, Throughout the whole of the five months' journey, no one of the four in the party, became a victim of the malady whieh commonly at- tacks travellers on the deep seas; a record in Mr, Cowan's experi- ence. Mr. Cowan and his companions arrived in Oshawa Saturday, and he is once more taking up his work in the local industry of which he is chief executive. Both he and Mrs. Cowan are heing welcomed to the city after thelr months of absence. T0 ATTEMPT NEW ENDURANCE MARK Fliers Preparing Bellanca Monoplane Roma at New eT CII n Disney-Cott AMBULANCE 87 Celina St. Phone 1082 © York Roosevelt Field, L.T., June 12.-- Preparations are being quietly made for an attempt to establish a new world's duration record with the Bellanca Monoplane Roma be- fore she sets out on her traps-At- HARDWOOD FLOORS op yr B. W. HAYNES 161 King St. W. EE -- lantic flight to Rome. It was learned Sunday. Cesare Sabelli and his associates who are working with him in the preparations for the flight to Rome have made no announcement of the plan to break the record recently get in Italy by Captajn Arturo Fer- rarin until the plane actually takes off on the attempt it is understood. Office Phone 481, Res. 18012 FARMER'S WIFE GETS STRENATR T0 DO HER WORK soup income will be LRORLY ee The large Sunday crowd which came to this field to watch the fly- ing activities and to inspect the Roma beheld the unusual spectacle of a large ship flying apparently without any landing wheels. ; As the ship came in low across the field and seemed about to land concernful surprise and shouting came from the crowd which had not been apprised that this was the first test flight of the tranms-Atlan- tic plane with its retractable land- ing gear drawn up in flight. The device which is now on Bellanca planes is similar in principle to that of a bird drawing up its legs when flying. Roger Q. Williams. who was at the controls during the test flight, said that by drawing the wheels up, from six to ten miles was added to the normal speed of the plane. Lieutenant Alford J. Williams, who flew here from Washington on Saturday put on a thrilling acre- batic show for the benefit of the | large crowd before he left om his return flight to the capital Sunday afternoon. IT WOULD REACH HIM Dick: "If I mailed a letter ad- dressed to the dumbest man in Chi- cago. I wonder whom they'd de- liver it to" Oswald (innocently) "They'd pro- bablx xetuce it fo the sender." BR ~ ANOTHER MERGER OF AUTO FIRMS Studebaker and Pierce-Arrow to Amalgamate Soon New York, June 12.--Following the recent completion of plans to merge the Chrysler and Dodge companies into a new company, it was learned today that negotiations are in progress for consolidating the Studebaker Corporation and Pierce Arrow Motor Car Company. This latest proposed merger will make a fourth great automobile manufacturing organization. It will have assets of approximately $160,- 000,000. That will compare with $245,000,000 for the Chrysler- Dodge combination, $742,256,101 for the Ford Motor Company, and $1,098,477,576 for the General Motors Corporation, Revelation of the proposed mer- ger of the Studebaker and Plerce- Arrow companies came with the news that A. R Erskine, president of the Studebaker Company, and M. E. Forbes, president and gen- eral manager of the Pierce-Arrow Company, were here conferring with bankers on the plan. Simul- taneously it was reported that negotiations between the Pierce- Arrow and the Jordan Motor com- panies are definitely off. The advantages of this latest proposed consolidation of automo- bile manufacturing companies, it was pointed out tday, would be mutual, y The deal, it is believed, will be financed through an exchange of stock, Possibly also a public offer- ing will be made as in the case of .the Chrysler-Dodge merger, The Studebaker Corporation has 625.- ps eictie FELTS $2% These felts are of the finest quality that can be bought. They are wool felts from Lancashire, England--made up on our own blocks in our own workrooms. The styles featured are the large flop brim. close fitting hats and off the face shapes. The colors include white, yellow, beige, blue, mauve, green, pink and black. Regular $2 $3.98 and $4.98. Special ............. aria hike 98 000 shares of unissued no par value common shares in its trea- sury and $5,575,000 of preferred stock. It has outstanding 1,875. 000 shares of common stock and $7,425,000 preferred. Preferred has a par value of $100 a share. The company has no funded debt. The Pierce Arrow Motor Car Company has a funded debt of $3,349,200 and a floating debt of $1,646,442. Tt has authorized and outstanding $10,000,000 cumulative preferred 8 per cent. stock and has issued 328,750 shares of no par value stock out of authorized is- sue of 500,000 shares commen, No stock of an authorized issue of 7 per cent, second preferred stock has been made. 12 Simcoe St. N. Phone 1300 A Felt Bros. 1 he LEADING JEWELERS Established 1886 12 Simcoe St. South | Sport Frocks and Ensembles $5.50 up The ensemble idea--femininity! Our sports fashions interpret these new movements in the mode with pronounced success in this new group of summer sports models in our sports section. silk, Flat Crepe Celanese are the smartest sport materials. collection, most reasonably priced. All materials guaranteed to be washable. THE FAIR Simcoe St. S. Fugi Silk, Double Fugl A stunning Phone 1173