Dow Dips 3.26 During ‘Triple-Witching Hour’

The stock market declined slightly Friday, drifting through an uneventful session marked by a “triple-witching hour.”

But the drop, however modest, capped off a week in which the Dow Jones industrial average posted its largest point loss in more than a year.

Dow Jones’s average of 30 blue chips slipped 3.26 to 2,524.64, extending its decline for the week to 84.10 points. That stood as its biggest weekly point decline since it fell a record 141.03 Sept. 8-12 of last year.

Volume on the New York Stock Exchange came to 188.07 million shares, against 150.71 million Thursday.

The triple-witching hour was the quarterly activity involving a group of expiring stock index futures, index options and options on individual stocks.

Dayton Hudson led the active list, up 5 1/8 at 58 on turnover of more than 5.4 million shares. On Thursday, Dart Group proposed a friendly takeover of the company for about $65 a share.

Retailers Tumble

The Gap Inc. tumbled 8 5/8 to 47 and the Limited Inc. lost 2 to 36. The two retailers, along with some others, ran into some selling after a conference Thursday on the retail-apparel industry sponsored by the brokerage firm of Smith Barney, Harris Upham & Co.

In the bond market, prices were little changed in dull trading as buyers remained on the sidelines.

The Treasury’s closely watched 30-year bond eased 5/32 point, or about $1.50 for every $1,000 in face value.

The federal funds rate, the interest on overnight loans between banks, was quoted at 7.13%, up from 7.06% Thursday.

Corporate and municipal issues were mostly unchanged.

In the secondary market for Treasury bonds, prices of short-term government issues were 1/32 point lower; intermediate maturities were 3/32 to 1/8 point lower, while 20-year issues were up 11/32 point.

Among tax-exempt municipal bonds, general obligations were unchanged while revenue fell point in light activity.