Evening Star Newspaper, May 1, 1921, Page 40

'REPORTS VARY, f I BUT GIVE HOPE FOR INDUSTRIAL IMPROVEMENT Position of Great B ritain and Europe Is WEEK IN MARKET Much Better—Sterling Higher—Look |Erratic Price Movement, But for LOWCI‘ RBSC rve Rates Here. BY STUART P. WEST. EW YORK, April 30.—Further in- =dications both here and abroad of the sing of the credit straf, varying, in the main favorable: testimony regarding the domestic trade sitma~ tion and evidences of an improving investment demand, were the three main features this week in the fman- cial markets. That i3ank of England should have reduced its minimum discourt rate to 6. per cent after having kept | itat 7 for more than a year threw in- | teresting light upon what are regard- ed in banking circles as main con— siderations jus This action w apparent failure man reparations the great Brit mained unsettled. it followed aimos the publication of crnment budget fo! nd, by a significant AUCTION SALES FUTTRE DAYS . Tuesday, May 3. 10:30 A.M. Livery ness, horses, earriazos, runabouis. St Vernon St T TADAM A. WESCTILER, AUCTIONEEE. Trustees’ Sale of Unusually De- sirable Improved Real Es- tate, Being a Portion of the Hotel Gordon, Containing ‘Thirty-five Rooms and a ! Three-story Brick Dwelling, Nine Rooms and Bath, Nos. 918 and 920 Sixteenth Street Northwest. By virtue of a certain deeee. passed fin equity caose No. 24579, o April 12, 1920, and duly affirmed by the Court of Appeals of the District uf Columbia, the undersigued trustecs Will offer for sule at public avetion. in front of the premiscsa on WEDNESDAY, THE ELEVENTH DAY OF MAY, 1921. AT POUR ©CLOCK P.M.. all that certain picee or parcel of land and premises, situate and Iytng fn the «ity of Washington, in the Distriet of Colgm- bis. and known and distinguished as and being i of lot cimbered five in T. Drury, rge W. Biggs and others’ subdivision of syuare numbered ome hundred and eighty-ive | (%), as per plat recorded in Liber B. in| folio 210, of the records of the office of fl. surveyor of the District of Columbia, ti- said part of said Jot nombered five (5) being | described by metes and bounds as follows: Beginning for the same at the sontheast corne of ‘said lot and running thence north along the West line of 16th st west forty-eight (45) feet and four and one-haif (41.) inches. thence west ece hundred and six (106) feei and six (6) inches fo the west line of said lot. thence | south along the wuet live of said 1ot forts- | | ken, despite the e upon Ger- taken while W ocoal strike still re- On the other hand immediately upon the British gov- the coming year. it coincidence, eight (49) feet anl four and onehalf (4ly) inches 1o the southwest corner of said lot a ni thence east along the south line of said lot one bundred and six (106) feet and six (6) ] inches to the place of beginning. improved as abfre; Jo e oficred frst as a whole and then By !«m Of sale: One-ihird of the purehase money 6 be paid in cash, the balance in two ‘equal installments, payable in one and two ears, represented by the promissory notes of e Darchaser, with interest at G per contnn per annum, Ne semi-annually, from day of sale. sécured by dved of trust upon the sold, or all cash, at the purchaser's A deposit of $500 on each parcel, or whole, regatred of the purchaser A conveyazcing, recor: mps Dotatial fees at the purchaser. Terms fo be complied (60) from day of sale ereatter as fitle company reports otherwise the trastees reserve the | hm&-‘g-q At Ge risk any [ purchaser, after five days' advectisement of such ressle in some “published in the e HOBRRT L ANEILL, Westory Bldg., Trustee. JAMES W MeNEILL, - Attorney. ‘Trustees, Woodward Bldg. 2T MOVING. PACKING & STORAGR | by th Let Us Move It General Transfer and Storage Clesu. dry, private rooms. i baoting from all station %&Cflling & Shipping | ssburben Jomg distance bauliag. Office, 168 V wt_ nw. . Plose N_o10s torage -LITTLEFIELD, ALVORD & CO. e N.W. LIGHT AND HEAVY P RY MOTOR truck, ROBERT FRANZ, 530 25th st Phooe West 2521 my1 The Big 4 Transfer Co., Inc., 1125 14th St. N.W. P..l!‘ -I.II H)?‘ Specialists in Long-Distance Moving PHONE PEANK. 70/ GHT CALL M. 7073, The Central Transfer Co,, 1331 H ST. N.W 4 : 2 SAVE MONE 3343 TIME !VUR'( I CAL AND S LONG-DISTANCE MOVING. 5, m.fl.l::lr'l:\ SHIPPING. Yong-distance v 500 s AND F N.W.— WINTER BUILDING STORAGE H B0.000 wy. Tt i 500 Kroms Expert Packers, Craters & Shippers Oity, Subur v 1 e Moving Tel N wsid M Ve ! DRY FERNIITRE and planos | Con SEPARATE ROOMS, $1 ot Local and Long D stan MOVI By Careful W Rates Hes te Phone FPACKING BY EXPE 104 7400 Y SUNITED STATES® STORAGE CO. jreproof Warehouses ESTIMATES ooV ense e 'PHONES #2iiesi3s 16 6% © “We Are Moving” PRANR-24 To please you is our aim. Iocal and Long Distance Hauling. All K. R, stations. Fur- siture and Ereight Stonug. ”j'aco-bs Transfer Co., Inc. 111-113 Florida Ave. N.E. Officn: Garags. B s N, 8501 i penses and taxes. | side. jthe market had Fackisg. Baip- | e came at the same time as the detailed figures for March of the American foreign trade. Britain o Have Surpl The budget figures estimated that Great Britain in the twelve months | beginnimg April 1, would have an exess of receipts over expenditures sufficient to retire a billion dollars’ worth of war debt. \ The foreign trade-statement showed that Europe bought from the United States less than $200,000,000 worth of Eoods in March, against $242,000,000 in February and $466,000,000 in March, 1920. At the same time Europe sold to us in March goods worth $77.000,- 000, as compared with $55,000,000 in February, and $125.000,000 in March a year ago. In March, 1920. our net bill against Europe was $310,000.000, | BEainst Great Britain it was $161,000,- 000. In March. 1921, we were owed on balance only $123,000,000 by rope, as a whole, and only $51,000,000 by Great Britain. Why Exchange Rose. With these proofs of economic sav- ing and recuperation to support it, the action of the English bank was no surprise. With the so-called in- visible items in the international bal- ance sheet—ocean freights, interest, tourist expenditures—reckoned on. it is very certain that Great Britain had a credit in its March dealings with the United States, while it probably would be found that Europe generally came out about even. Under _these circumstances and with some $225.000,000 gold imports into this country since the first of th T there is no mystery about the rise in the exchanges. The only wonder is that it has not gone faster and further, especially in the case of sterling. It will be said, of course, that Fu- rope has improved its credit position at the expense of our export trade, and this is true. But it is of infinitely more importance for us in the long run that Europe should save and get back on its feet financially than that our exports should have to pass through the same sort of deflation that has been going on during the last six months in industry at home. Look for Lower Rates. That the Federal Reserve Board will be influenced by the lowering of tne English bank rate is commonly in- ferred. At the same time the reduc- tion in open market discounts on commercial bills to 7 per cent in the New York district, and the advance in the federal reserves ratio to 55 per nt—hizhest since August, 1918—are two very influential happenings. The federal reserve system has now undone all the excesses of the post- wier period. It is in a stronger po- sition than it was beforc the armi- So far it is concerned defi tion Whgther or not official discount complete. rates? ar reduced for the country generally, it scems virtually certain that they will come down very soon in New York. and in the other sec- tions where the risc in the ratio of reserves to deposit and note liabili- ties has been particularly rapid. Favorable Railway Statement The most important contribution to the trade news of the week was the railway statements for March. While results were very uneven there was an astonishing change for the better as compared with January and February. The Pennsylvania was a notable “example. During the first two months of the year it failed by $2,400,000 to earn its operating ex- In March, it had a balance of $6.400,000 on the credit A similar reversal occurred in the earnings of representative roads in the west and south. The figures have proved first, that March saw the turn in the traffic movement, and second, that operating deficits have, as a rule, beén converted into surpluses e wholesale cutting down of working forces. Yet, even these changes, great as they are, are not enough unless they are to be fol- lowed by a general wage reduction. The March results showed the rail- way industry on the road to recovery, but to restore a reasonable measure lof prosperity gross traffic must pick up a great deal more than it has. By common consent this cannot be done without a reduction in frelght ratei and the carriers cannot stand a lower irate scale unless compensated by a lower wage scale. The Investment Situation. It was generally agreed that the $230.000.000 joint Northern Pacific- {Great Northern refunding loan Would be the crucial test of the investment situation. ¥ndicate distributions had been greatly overdone at the start of the year. It was a question whether 1 time between the middle of February and the end of April to work out of its congested state This week's big transaction has {given the necessary proof that the in- < stment demand has caught up with the suppis been a ve of new securities. 1t has y salutary influence in the - p RAG! continue its good flects for some b aanviaeD oAND Vi S P BAN time. The only qualification s that MARYLAND AND VIRGINIA 6T BAN-| the o new o { PADDED MOTOR VANS FOR LOSGDIS | shied any. 1t was n a year ago 1 e e ererionced Snen: siiames $i'of{ that the Pennsylvania brought out 1 : ECTIOUT STORAGE . ANT) | ten-year bonds on @ T per cent basis t Tine Phons {Northern Pacific and Great Northern H ihave sold their securities on a 6% per ! " MODERN FIREPROOF STORAGE | (071 basis. but the borrowing GEST VANS ON THE ROAD | 'N¢ mones for fifteen vears, not for LAR ~< |ten. That the market was not pr ez Y | pared for the Hill road refunding plan on such terms was indicated by the vrompt disappearance of t pre- miums—which _at one time ran 1 as 4 and per cent—on the new railway Securities brought out with- In the last twelve months, (Copyright tuart PW | WEEKLY COTTON LETTER. NEW YORK. April 20 —Notwith- standing the many conflicting in- i fluences that have nily surround- cotton market, 1 ictuations rparatively narrow month of April the s moved within a « cent. and during the weel ending Fridiy nisht the range has been twen S The husiness on the ex has reached the stagnation the daity volume b excredingly all, neither the public nor the Sioval element sce any incen- f: Such 4 S5 un- rla conditions is un- I i more than 1 the Nery near future a Wity may be expected, as m clors are now dev which es<ty will compel attor tion, pe affa where . reparatic ¢ hand. The n i1 aceept terins offer 1S 1o alterns Then we ¢ bullish four daticn ot for the next crop. Private orts that are now | bemg published confirm the views have frequently expressed, that the sereage will he ma show a reduction of anproximately fuction in the use of fertilizer HOMEON & MeKINNON. i —— COTTONSEED OIL ACTIVE. NEW YORK, Avril 30, Cottonseed off was fairty active, with pr shade under hedge selling b retiners and realizing by pit longs Closing bids were 2 to 8 points | et fower; sales, 14,300 barrels Add [ tional May tenders of 3,400 barrels | v put out. but were well taken care of Prime crude, 5.10a3 prime_summer vellow, spot, 7.00a7.50 May Tuly, 7.39: Septem 7.9 4 e ———— b 1t is gust 100 vears since parasols came into general use in the United States. ywere not bond market already and is likely to! Trend Mainly Toward Higher Levels. NEW YORK. April 30.—Conspicuous features of an unusually broad and active week in the securities market | comprised the quarterly report of the | United States Steel Corporation, re- duction of the Pennsylvania Raiiroad dividend, Northern Pacific-Great Northern underwriting and the lower discount rate of the Bank of Eng- land. These diverse developments found ifrequent expression in the very er- ratic movement of prices, although the trend of the more speculative is- sues -was mainly toward higher levels, some noteworthy gains bring established. Steel Earnings Disappointing. Making due allowance for recog- nized industrial-conditions, the United States Steel earnings proved disap- pointing. On the other hand, the course of Pennsylvania stock for some weeks seemed to foreshadow a cut, but the cffect on sentiment was none the less adverse. The success of the Chicago, Burling- ton and Quincy refunding plan was generally accepted as a foregone con- clusion, because of the attractive | terms which mpanied the offering and also because the project as a whole involved only a nominal cash transfer. Efforts to convert the reduced Brit- ish bank rate into a bull argument were abandoned when it became known that only once before in a period of some sixty-odd yvears had such a nominal cut from the maxi-{ mum quotation been made Slight Flurry in Money. The local money market experienced a slight flurry, call loans rising to 7 per cent In anticipation of heavy May disbursements. Borrowers re- ceived assurrances, however, that time funds extending well beyond the midyear may soon be obtainable at concessions from existing rates With British and French exchange at their most favorable quotations in many months, it was evident that international bankers regardsd the latest German payment proposals as in the nature of a basis for further negotiations. The steady inflow of £0ld to this country engaged the at- tention of economists to the exclusion of almost all other topics ABOUT THIRD OF COTTON CROP PLEDGED IN LOANS NEW OQRLEANS, Aprili 30.—Al- though dptton men and bankers throughout the south were convinced [that at least 60 per cent of the cot- [ton crop was being held as collateral for loans. answers to questionnaires sent out by the Federal International Banking Company indicate that little more than one-third of the crop has {been used as collateral, it was an- nounced today. " A total of 1,230 questionnaires were sent out by the banking company. Of these 351 answered all the ques- tions asked and 203 answered only in part. From the answers obtained the following data was compiled hy the banking officials and made public here today. Approximately 582,368 bales of cot- ton are specifically pledged for money advanced. Owners of 61700 bales re- ported they were unwilling to sell their holdings for the present prices. Owners of 127.538 bales declared their willingness (o borrow up to 50 ‘per cent of the market value. while about two-thirds of those replying to the questionnaires reported they | interested in borrowing money on their cotton. NEW.YORK BANK STATEMENT NEW YORK. April 30.—The actual! condition of clearing houge banks and trust companies fot the week shows a deficit in reserves of §3.455,360, due | € a decrease of $13,045.680 from last | week. < The statement foflows: » Loans, discounts, etc., $1,739,365,000; increase, $1,311,000. Cash in own vaults, members Fed- eral Reserve Bank, $78.886.000; crease, $563,000. i Reserve in Federal Reserve Bank of | i member banks, $471,319,000; decrease. 1$8.831,000. Reserve in own vaults, state banks and trust _companies, $9,490,000; in- crease, $135,000. Reserve in depositaries, state banks and trust companies, $5,841.000; de- crease. $28,000. Net demand deposits, $3.717,394,000; increase, $32.003.000; United States {deposits, deducted, $103,716,000. i Time deposits, $248,788,000; increase, | $4.070,000. Circulation, 1$251.000. | “Aggregate reserve, $489.650,000. | Deficit_in erve,, $3.455,360; jerease. $13,045.680. | | Summary of state banks and trust !companies in greater New York, not included in clearing house statement: | Loans, discounts, ete., $609,751,000; $31.560,00 increase, de- lincreasé, 32.744.70 A | Gold, $£501.200; increase. $5,100. | Currency and_bank notes, $17.3 1400; increase, $515,700. Deposits with — Federal Re iBank, New VYork, $51,264,500; in- jcrease, 600. Total deposits, $645,318,000; increase, | 91.557.800. 2 tal deposits, eliminating amounts {due from reserve depositaries and {other banks and trust companies in {New York city and United States d $397.275400; increase, $4, vault, $26,297,900. Cash in’ vault, | Banks: Cash in | TR;DE CONDITIONS. i [ A more optimistic sentiment per- ! the reports of business condi- tions during the last week. Trade made o better showing in April than in March, but was not equal to w it was year ago. More optimism pervades the steel industry and the | output of shoes, coal, oil, automobile « tires has increased. " Railway car and earnings reports show improve- [ment. but the industrial production is at about half speed and more failures | lave been announced. Apparel, sea- | |sonal hardware and seeds are among the period’s hest sellers, and silk hos- | iery has had a brisk week. The mail | order business has ma forward but is not up to its figures of vear. The food index number is iy lower. Bradstreet reports the following outiook “While the volume of trade is little different from last week in most see- tions ns being noted over March, | {but decreases still recorded as com- | parcd with April last year at most | ‘eenters, ana colicetions still drag. the | industr pace scems somewhat bet- | {1er and an undeniably more optimis- feeling ig voiced in most reports. In faet, the developments of the | ki mainly on the favor- ter include a con- of reports that spring trade has turned out botier than earlier ex- | peeted and a om fident run of | (predictions as Uy (a1l trade,’ | G. Dun & s this sum- [mary: ; i e business situation has lost of its irregularity, Lut the Lopeful phases attaining nore promi- | nence. Constructive forces are begin- | ning to exert somewhat greater in- tiuence, and the reduction in the Bank of England’s discount raic on Thurs day is significant her illustrat- | ing the trend tew csing in inter- | | national mon “While existing we ] lit- | cteinties re- ! un {main n cause for hesitation snd cau- | Ition is everywhere being practiced, | general sentiment becomes more con- lndvnl as symptoms of improvement in conditions multipi —_— Chicago has one cold storage plant which will accommodate 21,000 tons of meat, de- | I land Rio 1,000 for N GEORGIA CROP OUTLOOK- [PUBLICITY A PRECAUTIONARY SIGNAL TO BUSINESS MEN Would Disseminate Information of Condi- tions—Bankers’ Dinner—Arthur Rey- Heaviest for Corn, But Smallest Cotton, Is Report. ATLANTA, April 30.—The heaviest corn crop in the history of Georgia and the smallest cotton since 1895 are indicated for the current sea- son in returns to the co-operative crop reporting service, it was an- nounced here late yesterday. The service, which is a combination of the federal bureau of crop esti- mates and the state department of agriculture, announced that prospects are for a crop of 1,000,000 bales of cotton against a fen-year pre-war average for this state of 2,017,000 bales, and for a corn crop of 915,000,~ 000 bushels against a ten-year pre- war average of 52,535.000 bushels. If present prices are maintained, it was said, Georgia's corn for the first time would bring more money than its cotton. FOR LOWER DISCOUNT. ATLANTA, April 30.—Discussion of the discount rates on commercial paper was taken up at a meeting of board of directors of the Atlanta F eral Reserve Bank here today, and was understood lutions adopted asking the Federal Board at Washington to reduce the rate in this district from 7 to 6 per jcent. No official statement was made, however. as to a recommendation taken pending action in Weshington BALTIMORE PRODUCE. BALTIMORI, Md, April 30 (Spe- cinl).—There is a fair inquiry for de- sirable i of scasonable native and nearby vegetables, such as asparagus, radish, lettuce and sprirg onions. but kale, ‘spinach and rhubarb are in libe receipt and comparatively cheap. Noo 1 will bring $3 to $1.20 a dozen and No. shes find ready s 100 bunches, onions, 40 to 60 cents per 100, . well headed lettuce in demand at $Li0 and 32 per hushel The demand for old potatoes is Limited and the market, under liberal receipts, is easy at 90 ts to 31 per 100 pounds, but Mctormicks will bring only 5 cents to 85 cents, with No. 2 stock of all sections neglected at'40 and 50 cents, as the demand is now switching to new potatoes, which cheapening in cost. Under light :Coipls the market for sweets and yams is a shade firmer. Demand is best, Nowever, for choice stock in hampers, as most barrels arriving are showing mother stock and have to be a d. No. 1 stock of both will bring $1.25 to $1.65 per hamper, with No. 2 neglected at 50 cents and $1 Eastern shore Maryland and Vir- trewberries are in good de- at to 33': cents per with some of the extra fancy, berries bringing 55 cents. A movement is noted for fancy grades of eating apples, and the market is firmer, with receipts run- ning moderate and lieht supplies on hand. No. 1 stock will bring $4.5 $7 a barrel and No. 2. $2.50 to $4 Loose, unpacked apples also are in fair demand and have advanced to $1.50 to $2 per 100 pounds as to qual- ity and condition. The general egg situation is rather more quiet, as the cold storage opera- $1.80 to ginia mand quart, large Rood tors are pretty well filled up and no particular life to the consumption de- mands, which are scarcely broad c}luur;h to absorb the daily receipts The market closed casy with values showing a decline, 21 cents a dozen being top price for strictly frosh, nearby stock Receipts of spring chickens aver- aging around one and one-half pounds each and winter chickens weighing two and one-half pounds and unde continue light and under a good de- mand i young chickens continuing firm at 60 cents to 70 cents a pound for the former and 50 cents to 55 cents for White leghorn and sprin ng one pound snd less, sell 0 cents to 55 cents. Old hens are bringing cents 1o 32 cents the market is the latter. - - at still 30 but the tendency of downward. Demand for ducks only fair at 25 cents to 30 cents. Pigeons and guinea fowl in Tight supply and market steady under a good demand. LIVE STOCX MARKETS, BALTIMORE. April 30 (Special).— The general live cattle market is firm under a steady movement for top-grade stock with no surplus of this sort in the daily receipts at wharf and stockyards. ~Spring lambs easier, due to heavy receipts of fall mbs, but fat stock finds ready sale n weighing 35 Ibs. and up. Quotations at Light today wharf: cattle—First quality, per lb., medium, per 1b.., 6 to Bulls, as to quality, per ib, 4 to 6. ws, 45 to quality, per 1b, 5 to 7. Thin steers. per lb, 4 to 5. Oxen, as to quality, per Ib., 4 to 6. . Milk cows, choice 1o fan per head, 60.00 to 50. common o fair, per head, 30.00 street to 50.00. Calves—Veul, choice, per Ib., 101 ordinary to medium, per Ib., 7 to heavy, smooth, fat, per head 15.00 to ; rough per head, 10.00 to 12.0 common, thin, per head, 6.00 to %.00. hecp—No. 1, per 1b., 5 to old per 1b., 4 to 5: common, per to 3. Lambs, fall, choice, per Ib., 9 to 10; fair to good, per ib. 7 to £; common, thin, 5 to 6: spring, 35 to 40 1bs. per Ih., 13 to 11, Hogs—Straight, per b, 8 1o 81 sows, as to quality, per ib., 6 to stags and boars, per Jb., 4 to 5; liv Pigs. as to size and quality, per Ib., 12 to 18; shoats, per Ib, 10 to 15. CHICAGO, April 30 (United States bureau of markets).—Cattle—Receipts, 1000 head; compared with week ago, beef steers. 15 1o 25 lower; butcher she stock and bulle, 25 to 50 lower; calve 50 to 75 higher: stockers and feeders, steady 1o 10 lower; top beef sicers th week, 5.75 ceipts, moxtly steady to’ 10 To day's” average Arances; £50; bulk, 8.00a8.50: pigs, 25 to desirable pigs. mostly 7.2537.50. Sheep—Receipts, 3,000 he: today practically all to pa compared with wee ago. * 10 25 higher, some medium sheep and yearlings n yesters top, 0 lower; receipts < direct: YORK, April 30.—Cattle—Re- 560 head: no tradin; ipts. 365 head; dull. Com- mon 1o fair veals, $.00a10.50; no culls or alve and lambs — Receipts, 2,02 1: steady. Unshorn ewes, sheep, 5.0047.00: clipped. do.. 4.0026.00; unshorn ! 8.50212.25; clipped, do., 7.00a spring 14.75. Hogs—Receipts, 50 head; firm. NEW YORK COFFEE MARKET. NEW YORK, April 30.—The market for coffee futures wa ¥ quict to- day. two lots of hands during tne entire morning Priccs, however. made a steadier showing and were bid up toward the close without finding selicrs after the carly business in July at 5.92. That delivery closed at 595 hid, with the general marKet showing a net vance of 6 1o 8 points. Closing bi May., 5.60: July, 595 September, 6 ctober, 6.55; December, 6.5%; Janu- {ary, 6.69; March, 7.1%. ot coffee quict. Rio e antos s, S%adl. There were ve few offers from Brizil wel d to be offer an credits. Brazilian 9.000: Jundiahy int toria_cf 4 X.000 for N w York OUTLOOK FOR WHEAT. CHICAGO, April 30-—According to the Modern Milicr, “No change in winter wheat conditions for the week 15 noted. Prospects are still favor- able for a large production, although probably not as great indicated a month ago. damage to wheat in portions of the southwest, including sections of the heavy producing arcas in central Kansas. Ka 180 has some dry spots where wh iS Lot progress- ing rapidly, althouzh there is an abundance ‘of moisture over the belt. Complaints of hizh winds come from the far southwes. iarly sown spring wheat s coming up nicely and seed- ing 18 mostly completed in northern @ectiona” for this class of poultry the | July changing ' Cold weather did some | v BY L A. FLEMING. Merbert Hoover, Secretary of Com- merce. is a friend of publicity. He advoeates the widest publicity re- garding business conditions, that would tend to ward off such a debacle as devel | oped in the closing months of 1920 in the | semi-panicky condition in which indus- | trial corporations and retailers the coun- {try over found themscives, in the| i practical of the buying I movement, coming practically out of i | suspension a clear sky and totaily unexpe The manufacturers did not antici- {pate the development of the 1 | strike against the prevailing high | prices, and consequently were loaded up | with high-priced stocks. to their great | loss, to the wiping out of much of [ their reserves and to the turning of great pro ty into serious dullness | and the loss of cmployment by tens of | thousands of workers. The jobbers did not scnse this movement uitil cancellations of con-| tracts by the hundreds told the sto of the spread of the great | strike and the retailers. to [ prepared for it. canceled orde { i made frantic efforts to reduce inven- eductions in selling | tories by partial not con- prices, which buyers would sider. ceretary Hoover believes that | hands on the pulse of commerce, it be the hands of trained observe fami with condition. and com- paring observations the country may del these conditions fievelop through thereof, eminated broadiy. aid in checking or remedying matter before it ches the astrous stige If a manufacturer knew t busi- ness was slacking very generally all over he would slow down on produc- tion, the jobher wauld not be so anx- ious’ for ortlers, fearing cancellations, {an awful club in the hands of mer- chants and one that should not be uscd save in emergency. In the 1920 cataclysm the merchants’ shelves were stocked simply because they codld then get the goods, as agdinst the desperate efforts for even partial stocks the vear before. They will not be caught again for many a day. as they have learned | their lesson--in the midst of pros- keep a weather eye out for ad- ty. re is no better warning to the navigator than the experiences of the past plus the latest weather re- ports. storm signals. etc. Full publicity is always better than paucity of reports, even if they are not of the character we would like. perit Full publicity of the prevailing conditions the country over would have greatly reduced the inventories, the “frozen” credi other features that later contributed to_depression. Much of the worst of industrial de- pression came when the drop in the prices of grain, etc, cut down the great buying power of the farm- er and the planter and made it next to impossible for this class of producers to make any curtail -in their banking obligations. Full publicity may not prevent troubl but it will certainly help some to know the conditions existing and to reduce materially the full ef- fect of expected developments when they mategialize. ! Publicity is desired {There should be a law forcing cor- porate publicity above all things. {1t is criminal for corporations to sail !close to or near the rocks and their Shareholders confidently hold on to their securities, while the captain and his mates throw their holdings over on their fellow shareholders, | {Who are thus made to carry the bag with its contents or lack of (‘ulllefll!A Mr. Arthur Reynolds’ Address. The dinner of the District Bamkers' Association at the New Willard last Tuesday night will long Lold the dis- tinction of being one of the greatest functions of its kind. It could have happened in no other city than Wash- |ington. The in all things. guests included the President and Vice President of the United! States, four members of the cabinet. Senators and representatives, justices and judges, the controller of the cur- rency, over 515 of the active govern- mental and business men of the na- | tion’s capital. The guests'cheered to i declaration by the President that “business should not be hampered by red tape.” and that he “wanted asso- ciated with the administration, not theories but successful men.” And business, very generally cheered up and encouraged. progressed a little L echo the further to recov for these state- | ments. | All the speeches were excellent, | the talk of Arthur Reynolds, ident of the Continental-Com- cial National Pank of Chicago—a business story of conditions as they were and are, by a banker to bank- | ers — was §0 thoroughly under- standable, so plainly set forth, such a concise and matter-of-fact state- ment. that it was listened to word by word from the start to the finish, and no auditor paid closer attention | than did the President of the United ! | States. Mr. Reynolds prefaced his addre: with statement that the midd west “has all the troubles that are— profiteering and extravagance, high prices, high wages. falling prices and a buvers' strike; big inventories and | big losses, big crops and shrinking | values. We have a housing shortage and Jandlords and tenants in a death struggle.” | Despite all these, he declared, “w [are mneither cishcartened” nor dis [ couraged. We believe in ourselves, in ind_in our countr four government We know that we will work our w again out of difliculties and come to prosperity. “War is a destroyer, not a cr and the supposed wealth that overnight is a fictitious w A Credit Machine. {gician. out of nothinz, any more than {a stéel mill can integrate rails out lof air. The steel mill must have ore {and business must buy and sell to te the credit on which a bank ction. The bank vitalizes the | which husiness creates—that it distributes funds, based on mises 1o pay, to those industries| localities Which are not only in t need bui are socially the more necessary. Lankers realize and | must_continue to ept_their moral jobligation to further business stabi ity. Always in the fulfillment of th {high duty the hanker must take ac- count of the reserve position. This_distribution of cr most difficult and hazardou bankers have to perform. It ealis for {the soundest judgment. the widest; lgrasp of business conditions, the keenest insizht into human nature and character and complete fearless- iness if it is to be conscientio and | capably performed. Doe: take courage? I'll say it does. “In the siiuztion that bankers en- countered a year azo all the qualities 1 have mentioned were not too many. In the situation as it has continued, with variations, there has been demand for ilities the bankers have. In with the urgent necessities of tuation they have been forced at 5 to expand loans (o cusiomers be- vhat under stable conditions wonld rded aus good judgment. 'The sud- nd radical decline of values, be- ginning about last October, left many concern: terials and manufactured goods, Ing great losses in inventories, ¥ instances from 25 (0 40 per cent and even more. This largely increased the ratio of liabilities to quick assets, and, consequently, reduced the ability of redit 1 ipro and Rreate is the the with large stocks of raw ma- caus- | the nolds Praises Reserve System. business to pay its bank loans as they came du e. Burning Midnight Oil ““The public can have but little knowl- edge of the.call that has been made | upon the mental and physical resources of the banker in planning ways and | means to save the business interests of the country. There have been meetings of committees of bankers to outline plans for the extension of old lines of credit and for the advancement of new loans | have been ch to keep consolidat nelud cha been sustained concerns goiny s, reductions of a ing the bankers feasible. rged with the g. There complete re- ts. and by all con- Scheme cheme has been proposed before a method of refinancing could be would be “Those found manage- ment of banks have burned midnight il port custome ficers, frequen: the the e ing rs of xpert tiy b over every the prol class cen called blems of Their of- and accountants have away regular duties to help work out problems of customers. from “Under normal conditions at certain seasons of the scattere this is placed a conce in this w ARgT d all rs o made with rnow vear count over the cou f commercial e very large = up of small small banks. hich has had Whenev. v hanks intry are paper. in Much of amounis r paper out has experienced difficuity. a unity of interest demands action on par fect thi take in the tive in to force The up 1 <. of the thes: P ountry his problems] hard ones for him to handle. er abl. honds With th product oura; and exp. ducing modities. “Ther: serve ged and o seve s la rice 1 rm banks been compelled in ma to customer in the cen: ttered ne resources, rases The note holders. would have To ef- ters have v instances to ites, thus ing the strain and drain uporn liquid » alterna- been ment and compel failure, banker, They oo, expand to bu g0 increase p drop in pric eavily nced great dificulty in in their com- ers to sell have been loans to has had very He wis en- overnment | roduction expanded Can Compel Payment. Continuing, e is banks Mr. Reynolds said no doubt that the re- can compel liquidation and there is no doubt they But s0. tion should of th the dig the policy. the res, have used the s process are cretion of the men controlling system. lack of understandi. A stud erve th peed with whic! quest should do h liquida- come and the harshness ns to test There is apparent some vy of the con banks shows r resources hold the situation in hand. that they will hen quick insure | through “L believe that no ment w. a the il ceforth b and saf, period t many country bankers do the idea They have been taught th. system “When one is without money serv that ng of the present ditions of that they freely to 1 believe used to journey e of readjustment. | h undue be imposed on count privilege. curtail he redis- But the farmers and not grasp contraction is necessary. 3 3 at the re- is a friend in need. he is sure he is in need; he cannot al- ways see that. a refusal him under such friendly one turnover a year. tion—too strong pressu act. The farmer Force re—al circumstances d liquida- | arms him. Great care must, therefore, be taken It puts the system to a new test. applied must b well as logically. “The federal 1continue to-be an important factor— one of the most financia reserve importan conduct and also business activities. self to be a svstem sou: and practically w. nd in orkable. It psychologically as system will t—in our in _our It has proved it- principle Hands O Reserve System. “I would look upon any suggestion to tinker with its structure or make | serious modifications in its form with doubt and misgivings. into operation | merous suggestions for {many of them have been unsound, there have Since it came been nu- its chanme; some have been wild and some vicious. It has been as much good luck as good judgment that has prevented the adoption” of some tions; have made other er than real eligible for rediscount. obligations se. commercial f of these sugges- ! for instance, one which would cured by paper up at intervals others which would imp: ternal longing al commer, cred ey cial that it struggle or destroy the strict commer- icial character of eligible paper. hose who would end the farmers’ look with 1 s at the reserve system's | capacity for expanding credits. Those | who would improve housing condi- | tions have the same hunger. { who think 3 | terious process by which iment can is th there make “everybody rich ¥s at work n its integrity as a co-operative banking schem Those one mys- e govern- are the re- serve system is to be guarded with as much care and as much jealous las the Con Sometimes, it stitution its 1. seems to me. it must be guarded most its friends. “But the reserve system, as a_com- against mercial form of ban! of control Are poles gpart. king scheme, and men. Thy and its administration, X As (o adminisia- i tion, the question is not so much one method as of { of the system should be indicated by policies considerations of common weal. “Its officers—both of reserve board and reserve banks—should be chosen with an eye ness, for goo because d. to “It has been a wonderful twemty vears of peace-time business, we could not have learned the capaci thoroughly a ties of we have the system so learned them in years just passed. the lim. their particular fit- it is an instrument of | tremendous power for ill as well as test, 1In the "five “We know that we can expand our | credits under it to liquid resources and beyond: we know it of our now that we can contract our credits 1 think, the weak. consequ “The created ent But the rewards. m in Syt charged with We must have competent, who “Now, a commercia nk, as 1|far-sighted, experienced men o e it, is # credit machine, But]can undertake such work without se- condelve i ds it macting | Vere ‘financial sacrifices and without It daes not creats it. like a ma-}jooking forward to subsequent and Must Stand Alone. feder: te mobilize al re erve system the banking re- was serves of the country ahd to permit expansion and as business required. shed and stabl contraction It s0 well as a_matter of principle it it 5 me eve o should be ther government dej disasspciated of credit is so well proved that ems to from partment. It should have the widest possible range for its activities. unhampered | by any political influence. It can work with government without be- ing dominated by government. Pub- lic opinion will safeguard the admin- istration of the system. which must be placed beyond suspicion of bureau- cratic of pa A n nomic method: ernalist a banker 1 the fullest possible forces. nd bevond Wpulses. the play am a firm believer play of eco- Guardians of Yellow Metal. Passing system and from the federal its workings, 1 reserve Mr. Rey- nolds assured the bankers that we should consi der ourselves the cus- todians of the great gold resources of the cou nent owners—‘even at some present profit safety. ntry, We rather than th to insu should hold it e perma- the cost of re future in trust for the work of rebuilding the mon- etary tires, a that must stems of some other coun- proce: sooner or later. be faced He voiced the sentiment of many bankers when he declared: “We shall commit a very grave opening of new error if we allow this newly received gold to percolate into our financial [, The sale of stock. comma and commercial structure to a-point | ferred, where it will be dificult and perhaps | Glasser & Co.. ene Sron of farm ' all. the country banker | found his loans very h A RANGE OF MARKET AVERAGES. The following chart shows graphically the action of forty repre- sentative stocks @dealt in on the New York Stock Exchange. The perfod covered is the past month, up to an Friday, April 2 The activity of the market AP lower section of the chart d including the close of the market indicates the relative RIL 15 16 13 19 20 21 22 23 25 9, 27 2899 172 456 78 911 11314 T & 3 [ ] USTRIALS ——— oy o 2 F) ) et 3 R ——SCALE _FOR IND! o ———$IVYH ¥O04 21VIS MILLION SHARES (Copyright. 1921, High 1920 ...109.88, January 3 ..18537) November 3 ow 1920 66.75. December 21 67.83, February 11 | Industrials . Raile : Industrials . | Rails . | Twenty Rallrond Com: © M & St Panl Del & Hudson Erie timore & Ohio Lebigh anadian Pucific day i Ap | Ap BB RS 67.86 s Thursd: Friday April 13, | April 15 18 merce. Touched on Taxes. The speaker did not recommend any plan of taxation., admitting he had Lo lend tp | none to suggest, but he did recall the 5 only | 105 of some part of every deposit a8 only | withdrawn for tax payment and the | steady decrease in deposits follow- ing Treasury certificate issues. He urged against taking as our standard of guidance. the trade experiences of the war, “when our government was providing credit facilities for our foreign customers and every question was subordinate to that of saving civilization.” i Near the close of his address. Mr. Reynolds, turning to the President, sai “It is to vou and your administra- tion (gentlemen of the administra- | tion. it is to you) that we look for | guidance, for sympathy and for the assistance that the government can and should render. I am happy to be able to state to you that in our business, with connections reaching into every state in the Union, and enjoying relations with many thousands of business and financial institutions, we are daily receiving expressions of satisfaction in the manner in which you have set ahout to solve the nation's problems. “We look to you with confidence and assurance that you will lead us out of these difficulties on to the There came ! high road of a new prosperity. a prosperity more solid and enduring. To maintain the high standards of [ living to which the American people have been raised requires the whole- hearted co-operation of the govern- ment and the people and a frank recognition of employer and worker of each others rights and duties General Business Conditions. “The general situation as to trade and industry has shown some further improvement during the past month, although the fundamental difficulty, which is the disruption of the price level between raw products and man- ufactured goods, is yet far from over- come,” sa the May circular of the National City Bank of New York. “According to government reports, the level of the principal farm prod- ucts declined 5.6 per cent in March, whereas the normal movement in !March is upward, and over the last {ten vears has averaged 3.4 per cent. “On April 1 the index fizure of farm products was 58.3 per cent lower than a vear ago, 48.6 per_cent lower than two years ago and 27.6 per cent lower than the average on April 1 of the past ten vears. ucts., such as lumber and the metals, {as yet have made no recovery. whilc. on the other hand. manufactured products, especia]ly’ at retail, freizht charges and personal services ge erally have made no corresponding decline. “Naturally tures has fallen off, has declined and there amount of unemployment. the sale of manufac- railway traffic is a large A descrip- Lunder it with safety. however great ! tion of the situation is enough fo ex- the pain may be. i its administration can be no better.{raw materials represent the purch than the men i plain it for agricultural productsand ing power of about one-half the pop- ulation. “Nevertheless, there is bound to be mcre doing in the spring than in mid- winter, and the industries are roing much 'better than they iwere three months ago. The automobile industry naturally is stimulated by spring and good weather. and has come back strong. The tire industry has revived, and one of the biggest tire companies. the Goodyear, Wi difficulties as a result of the sudden falling of business in the face of big inventories, has been successfully re- financed and started on its way. The jtire indust an important factor in the cotton-spinning industry. and !{he mills that are getting busy again on tire materials are no longer com- peting upon other cotton fabrics. Other outdoor activities are having similar stimulating effects. “The building industry is the one that should show the greatest im- provement, as there is an undoubted shortage of houses everywhere. but building operations are held in check by the excessive costs. Wages are high in the building trades, and ma- terials are high because of the wage costs in them and the high cost of transportation. which in turn is due to the wage advances to railway em- ployes. Bradstreet’s report of build- ing permits issued in 155 cities in March showed an aggregate of $118.- 130,947, as against $145,923.799 in March, 1920. Tven this does not signify that ali of the work is going forward at once.” Piggly Wiggly Corporation. At a dinner of parties largely in- terested in the Piggly Wiggly Corpo- ration, held at Franklin Square Hotcl on Friday evening, plans were out- lined for the expansion of the busi-, ness of the corporation through the | ctores in various sections of the country. i on_and pre- | intrusted 1o Charles investment bankers of was disastrous later to part with it, in the INew York and Washington. 3 K € Southern Ches & Ohio Iilinois Central | Daily Movement of { Industrials. Rails Kelday usessiny 7041 Satnrday |10 Other primary prod- | h was in financial | SIIVHS NONUN by W. F. Meyer.) | fligh 1921 to Date Industrials......... 86, April 26 [ R ieiiiis-....77.56, January 1§ Low 1921 te Date March 11 86, April 14 Industrials. Rails. Twenty Industrial Common Stocks Used Are: Am Can Am: Sugar Central Leatl Iron & Steel U 8 Steel Am Car&Fary AmTel&Tel Comn Products Studebaker Utah Copper Am Locomo Anaconda Gen Eleetric Texas Company Westinghouse Am Smelting Baldwin Loco Goodrich U'S Rubber Western Unioa Stocks Uwed Are: Northern Pacitic mon Reading 3 Southern Pacifie Norfolk & Western Southern Rwy unsylvania Cnion Pacific Valley Averages: Industrists. Rails. Saturd; 70.31 Monday 88 April Tuesday 933 i | April 20, Wednesday 60 27 [ Aprit 210 Thursday .. 80.54 April Friday . .89 April 23, Saturday T1.30 April 25, Monday 33 April 26, Tuesday . 7143 April 27, Wednesday 70.54 April 2% Thursday. 71.26 Aprir'29, Friday ... nx { LIBERTY BONDS AT A GLANCE. 1920, Mnturity 1921, Close High. Low. date High. Low. Yesterday. Yield. Liberty 315 ............10040 8930 6-15-47 9350 8820 8872 421 i Liberty Ist4s....... 9348 8300 6-15-47 8850 8524 *87.30 486 Liberty 2d 4s..... 9290 8140 11-15-42 8810 8534 °87.1 498 Liberty Ist 4%s.. 9400 8400 6-15-47 8870 8540 8744 513 { Liberty 2d 4%is... 9284 81.10 11-15-42 8840 8530 8720 5.25 { Liberty 3d 445 95.00 8560 9-15-28 91.14 8800 9044 586 | Liberty 4th 414s.. 9300 8200 10-15-38 8860 8574 87.32 538 Victory 334s ..... 9940 9460 5-20-23 9772 9580 9768 492 | Victory 434s ..... 99.40 9470 5-20-23 97.76 9586 .!9&70 593 realignment of international com- IMAY CUT PASSENGER RATE Reduction Forecast on Pennsylva- nia From Baltimore West. Special Dispatch to The Sta BALTIMORE, April 30.—Reduced pas- | senger rates from Baitimore to the west |on the Pennsyivania railroad, the first since the government took over the car- riers for war purposes, probably will go into effect about June 1. The fact that the traveling public is to enjoy a lower passenger fare was announced by notice that the Pennsylvania railroad was planning to restore its pre-war basis of passenger rates to the west out of Wash- ington in order to meet the present rate in_effect on the Baltimore and Ohio railroad. The Baltimore and Ohio is the short line to Pittsburgh, its rate from Wash- ington being about $1 less than the Pennsy rate. This differential in favor of the Baltimore and Ohio was main- tained all through the federal control, since the National Raiiroad Administra- tion always favored the handling of pas- senger traffic over the short line, when 1t was possible to do it TITLE TO LAND CLEARED. Court Satisfied That Adverse Claim ‘Was Unfounded. Justice Stafford of the District Su- preme Court has signed a decree Te- moving the cloud on the title 10 {premises 1524 Tth street northwest, | caused by a deed from Louise A. Knox and her sister, Elizabeth M. Knox of Lynn, Mass. who claimed to be daughters of Mrs. Lizzie Knox of this city, who died in October. 1919. The testimony offered by the American Security and Trust Company and Jed Gittings, trustees under the will ‘of Mrs. Knox, satisfied the court that she left no children. Attorneys oehling, | Peelle & Ogilby appeared for the tru tees. REAL LEADERS OF . W. W. HAVE JUMPED THEIR BAIL CHICAGO, April 30.—The real lead- n the group of Industrial Work- ers i ers of the World convicted of ant government war-time conspiracies have jumped their bonds and mow are believed to be furthering revolution- ary ideas, federal officials said toda. after a seven men who were to report to the | Leavenworth, Kan.. penitentiary fol- lowing refusal of the United States Supreme Court to review their cases. BILL HAYWOOD LOCATED. I. W. W. Leader, Now in Moscow, ! Will Return to U. S. | cHICAGO, April 30.—The first word | from “Biz Bill" Haywood, Industrial Worker of the World leader, now in ! Rus: reached Otto Christensen, his ; ¥ A wireless message datod April 35 from Christiania, said that Haywood had arrived i _Moscow and was attending a conference of trade industrial unions and the third internationale. The message also added that Hay- | wood wouls return to the United | States after the conference and it was | expected that he would immediately ! give himself up to serve his term at | Feavenworth for violation of the espionage law NEW YORK DRY GOODS. NEW YORK, April 30—Dry goods were steady, with a moderate de- [ mand for print cloths. Fruit of the |ioom. 4-1 bleached muslins were | priced at 16 cents as of Monday, May 2. silk goods were firm, with raw silk showing easy spots. Tweeds showed up more strongly for wom- en's wear. A more general demand spread _through the knit goods mar- ket. Burlaps were flat. ALLEGED ROBBERS JAILED. SELLVILLE, Ky. April 30.— Thomason and a man named Smith, alleged robbers of the G. W. Davidson & Company Bank at Au- burn, Logan county, Tuesday, are in jail ~ here in default of $25,000 hond. The men refuse to discuss the hold-up or to reveal the hiding place of about $11.000, all that remains to be recovered of the $113,000 loot. The pture of the men has stirred this little town such as nothing else since the James boy in 1868. il today. final check-up of the forty-* E robbed & bank here) ¢