It's a mild 350 in a tri-five that spits black fluid out both exhaust pipes. No smoke. It seems to occur even at idle. Carb is a Holley. Possibly too much carb? Thanks for any ideas.
Sounds normal to me. The black stuff is carbon (soot), the liquid is water. These are normal products of combustion.
Like squirrel said it's normal and should quit when the engine gets up to operating temperature. If the inside of the exhaust is black and sotty it is probably running rich.
Change the jets to 2 numbers smaller and see if it cures that problem.... Also install a new set of plugs...
Have a look down the carb when it is idling, see if you see fuel dribbling in big drops. I had an Edelbrock that kept doing it, some stupid tiny air hole was blocked. I had reset float level a dozen times, cleaned the snot out of needle valves repeatedly, to no avail. Google eventually showed me the problem.
I would do a little more troubleshooting, before changing jets. There are a lot of possibilities that will make a carb run rich, under different conditions. Stock jetting is usually ok, but the float level, choke operation, idle mixture, and (as shown above) simple dirt, can cause problems.
Thermostat stuck open, engine is not getting up to temp so depending on your induction setup, sure , may be the reason it’s running rich. Change out the thermostat, I’d test it’s proper function first in a pot of hot water since there’s new junk parts being supplied these days. Then see if your still running rich