Evening Star Newspaper, February 1, 1930, Page 14

FINANCIAL. - OUTLOOK IN STOCKS DECLARED BULLISH New York Economist Says Weight of Opinion Is on Buying Side. @pecial Dispatch to The Star. NEW YORK, February 1.—Justifica- tion exists at this time for making more liberal commitments in recommended common stocks, declares Gage P. Wright, New York economist. “It is obvious,” says Mr. Wright, “that the recent improvement in gen- eral business conditions and the change for the better in investment sentiment has perplexed to a certain extent some authorities. And we ‘ontinue to find a few advocates of such policies ar using the present advance in prices as an advantageous level for eliminating issues having doubtful outlooks (to which policy we subscribe), the preser- vation of liquid capital as a first con- sideration and the expectation that stock prices yet will have a decline of substantial proportions. In fact, an occasional analyst believes that the market's current action is not due to any favorable, fundamental developt ment, but rather its technical position; in other words, the betterment in the steel industry is largely seasonal perhaps merely a flash in the pan. Bullish Opinion. 5 “Approachi the investment ouf look from tlhxg“nthet hand, we observe many definitely more bullish expres- sions of opinion that the stock market is displaying additional evidence that a period of broad accumulation of good common stocks is under way and that | | | ~Prev. 1930.— High. Low. 17 1;6 Nat Stock and Dividend Rate. 1 Lead pf B (6).. | Pwr & Lt (1). Sales— Add 00. Hi 2008 1 75 ‘evada Copper (3) 551 40 Newton Steel (3) 181% 167 N Y Central (8) 93% North Am(b10% s North Am pf (3). 88 Oll Well Sup pf (7).. 50 13% Oliver Farm Equip. . 31% Olivr Fr Eqev pt(3). 70 Olivr Fr Eq pf A(6).. 30% Otis Stee] (214)..... 521 Owens Il Glass(n4). 52% PacificGas& E (2).. 72 Pacific Lighting (3). 1 Pacific Oll stubs. ... 150 Pacific Tel & T (7).. 135% 116'% Pacific T & T pf (6). 17% 01 10 39 5 80s 108 15% Packard Motor (1).. 342 50% m Pete B. 3 4% handle P&R. ... 48% Paramount-F-L (3). 22 21 Park Utal cese 17% Parmelee Trans 1% 2% Pathe Exchange. 5 Pathe Exchange A. 614 Peerless Motor Car. 26% Penick & Ford (1) 63% Penney (JC) (2%).. 614 Penn D! 235 30% Penn Dixie 79% 72% Pennsylvania RR(4) 251 230 People's Gas Chi (8). 160 150 Pere Marquette (18). 98 94% Pere Marq pr pf (5). 200s 43% 38% Phelps Dodge (3)... 2 4 this absorption is dth: forerunner of a substantial price advance. “Although no sweeping change has occurred in the investment situation to warrant immediate completion of a full portfolio of equity issues, much evidence prevails that the amount of stock for sale underbalances the absorptive power of the buying demand. Banks holding the gollateral behind ‘slow’ loans are belie to be making progress in the forced liquidation process involved without causing more than normal re- sistance to an upward trend in stock pfl"fihhemm. ‘we observe that many authorities express the belief that the worst of the current recession in busi- ness probably is passed, and that we may now expect gradual improvement in many lines. Of particular signifi- cance in substantiation le this ‘vle' is the recent upturn in employment; espe- clally heelulg unemployment usually in- crejses in January. Potential Buying Power. “It is believed that there exists con- siderable potential buying from in- vestors who sold stocks late in Decem- ber for the purpose of registering taxa- tion losses. The law requires a lapse of 30 days before repurchase, which period is now practically completed. “Although it is conceded that general business still is unsettled in many re- spects and patience may have to be mw n ve as & whole, the purchasing or holding of a well diversified list of equities in a Eromive. xbusizies. teceives sruple s ive rece! ample au- thoritative justification at this time. “Our weighted average or authorities’ opinions is in a bullish position on rec- ommended stocks for the long pull.” NEW YORK BANKER OPPOSES BRANCHES Hanover Bank Official Against “Revolutionary Movements” and Absentee Control. George W. Davison, president of Cen- tral Hanover Bank & Trust Co.“New ry _movements” Am banking. He maintains that American banking can continue to serve our busi- mess just as it has in the past, “not by absentee control, not by superorgani- zation, not by piling power on power.” “Correspondent banking involves no concentration, no shifting of control,” says Mr. Davison, writing in the current issue of Printers Ink Monthly. “The independent bank remains independent, operated by its own directors and offi- cers and owned by its own stockholders. ‘The smaller bank’s correspondent banks in the large cities are correspondents of their own choosing. Between the smaller bank and its larger correspondents there has grown up, through the years, a bond of confidence and co-operation. “Let the larger banks extend and im- prove the service they render to their smaller correspondents. Let the larger banks unite in group consideration of the many ways in which they can be helpful. I know that they will find the smaller banks highly receptive. I know, for instance, that they will find a ma- jority of them in favor of correspond- ent-bank conventions—conventions in ‘which each of the larger banks can call its correspondents together for the study of mutual problems.” BUSINESS WA.S QUICK TO CUT PRODUCTION ‘The employment gains made in Jan- uary are significant in their month of January usually shows a sizable de- cline from December, says the latest business review of the Brookmire Eco- nomic Service, which adds: “Informa- tion of the Labor Department indicates that employment showed a recovery of 3.4 per cent from December 30 to Jan- | 3¢ uary 6. The recovery in iron and steel for the same period amounted to 11.1 per cent, automobile tires were up 14.7 per cent and automobiles 3.6 per cent. Reports further state that employement in auto plants made a gain of 3.5 per cent for the week ending January 13. ‘These gains are significant in t) month of January usually shows able decline from December. reductions in pay rolls reported for No- vember and December indicate that manufacturers over the country made quick adjustments in anticipation of a faling off in demand for their products.” LISTING VALUES IN&REASEl, DURING FIRST MONTH By the Associated Press. NEW YORK, February 1.—There was A large increase in listing value of se- curities admitted to trading on the New York Stock Exchange last month over both the previous month and January, 1929. New and additional listings ag- gregated $2,113,141,303, while the De- 15% 11% Phila& Read C&1I.. 11% 8% Philip Morris (1).... 35 31% Phillips Petrm (n2). 1% 1 PlerceOil.. 50% 45 Pirelll Co A (2.88)... 110 103 Pittsburgh Coal pf.. 18% 17% Pittsbgh Screw 1.40.. 33% 27% Poor & Co (B) (2) 17% sed Steel Car..., 52 Pressed St1 Cpf (7).. 52% Proc & Gamble (2).. 23 81% Public Serv, NJ 3.40. 137 824 Pullman Corp (4).... 7 6 Punta Alegre Sugar 1 22% Pure Ofl(1%) . 37 34% Radlo Corp......... 1386 68 Radlo pf B (5) s 19 Radio-Keith-Orph A. 368 33 Raybestos Man 2.60. 170 21 Reading (4).... 47 Reading 1st pf (2) 17 47% Reading 2d pf (2)... 44% Real Silk (5)... 25% Rem Rand (50¢) . 10% Reo Motor Car (.80) 41 133% 1 50% 55% 52% 34% . 12% . 72% Repub Ir & Steel (4). 27% Rever Cop & Bra 4 Reynolds Spring.... 72% Reynolds Tob A (3). 18% Rlo Grande Of1 (2).. Ine (2.20).... Dutch (a3.20). Rutland pf... 1228 111% Safeway Stores(es). 96! Safeway pf (6)..... 1 55% 48% St Joseph Lead (13). 110% 107% St L-San Fran (8)... 98% 92 St L-San Fran pf(8). 65 59% St L Southwestern. .. 88 87 St L Southwn pf (5). 31% 24% Savage Arms (2).... 13% 4% Schulte Retall Strs. . 11 9% Seaboard Air Line... 821 Sears Roebuck (32%) 9% Second Natl Inv..... 58% Sec Natl Inv pf (5). . 214 Seneca Copper. 7% Servel Inc.......... 224 Sharon Steel H (2).. 36% Shattuck(FG)(t1%). 21% Shell Union (1.40). .. 103 Shell Un Ofl pf (5%) 85 SimmonsCo (g3).... 23% Sinclair Con Of) (2).. 109 Sinclair Ofl pf (3) 1003 12% 65 3% 9% 28% AT% 23% 04% 94% 25% 1 561 Southern Cal Ed (2). 119% Southern Pacific (§) Spang-Chalfnt pf(6§) 13% Sparks Withngtn(1). 21 Spencer Kelg (1.60). 21% Spicer Mfg. .. 39% Spicer Mfg pf (3). 35% Splegel-May-St (3).. 28 2614 Stand Brands (1%). 119% 109% Stand Gas & El (3%) 65% 64% StandG&Epf (4).. 61% 59% Stand O of Cal (2%). Markets at a Glance NEW YORK, February 1 (#).—Stocks firm; communications es SOAr. Bonds steady; American Telephone convertible 4158 rise more than 5 points. Curb strong; Electric Bond & Share advances nearly 3 points. Foreign ex- changes mixed; French franc and Ar- gentine peso at new 1930 lows. Cot ton firm; trade buying. Sugar steady: good spot market, Coffee easy; lower Brazilian market. NEW YORK COTTON. NEW YORK, PFebruary 1 (Special).— In sympathy with the stock and grain prices improved nearly $2 a bale from low levels of the week, ending 12 to 15 points over Priday’s close. There was less Southern selling and distress liquidation while mills fixed nections bought and shorts covered gen- er.;lfiy“ Spots were advanced 15 points to 16.50. Low. 1623 1648 1673 1691 1703 PARIS BOURSE PRICES. PARIS, February 1 (#).—Prices were firm on the Bourse today. Three per cent rentes, 89 francs 65 centimes. Five per cent loan, 102 francs 55 centimes. Exchange on London, 123 francs 98 centimes. The dollar was quoted at 25 francs 48, centimes. TREASURY CERTIFICATES. (Reportec by J. & W. Seligman & Co.) Mar’ 15 1932 Bept 15, 1982 Dec. 15. 1932 SHORT-TERM SECURITIES. (Reported by J & W .lll-llé‘. "ofi’!l Allis-Chalmers Co. 55 1937. Alumingm Co. o el ‘American Tel & Baltimore & Ohlo 4 Batavian Pe Califc cember total was' $1,768,112,009, and | Senady January a year ago, $1,428,097,781. The reverse was shown on New York Curb Exchange. Securities granted full list- ing privileges on the curb last month amounted to $77,764,934, compared with $231,457,549 in the previous month and $337,250,490 in January, 1929. HE SR “BIG FOUR” MERGER. NEW YORK, February 1 (#).—The | Pure of the “Big Four” and. the 1 Railroads, subsidiaries Michigan Central of the New York Central, into a of P v NEW YBB (Continued From Page 13.) 27 119% 65 61% markets, cotton steadied today and | prices, Houses with continental con- ¢! 2 [tarding buying activity, THE . EVENING STAR, WASHINGTON —Prev 1930.~ High. Low. Prev. 2 igh. Low. Close. Close. 16 116 116 116 371 36% 3T 37K 89 87 89 85y 40 40 397 30% 30 304 55 55 180% 180% 1384 137% 305 265 113% 112 4% 14% 397% Stewart Sto) Telauto Tex: Timken 1351 164 52% 5 S1%, 2% Utd Ga: United Pip cacqgaaaacaa nnnunwann payments b s in_stock. § Py 0 regula & Payable SO Te 5 in cash or stoc] m Plus 6%% in stock. of stockholders. Stock and Dividend Rate. Stand Ol N J (12).. Stand OII N Y (1.60). Starratt (L S) Co(2) Sterling Sec A Sterling Sec pf(1.20) Sterling Sec cv pf(3) -War (h3th). Tobacco Products. .. Tobacco Products A. Transcontinental Oil Transue & W (1).... Truax Traer (1.60).. % Truscon Stl (g1.20).. Twin City R T pf(7). Und-Ell-Fisher (5).. Union Carbide (2.60) Union Oil of Cal (32) Union Pacific (10)... Utd Alrcraft& Trans Utd Afrcraft&T pf 3. Utd Biscuit (1.60)... Utd Carbox (2 Utd Cigar Stor Utd Corporation Utd Corp pf (3). Udt Stores p U S Express. U S & Foreign Secur. U S Freight (3)...... S Ind Alcohol (17). Leather. : Leather A. . Leather pr pf (7) Pipe & Fdry (2). Plus 2% in stock. K STOCK EXCHANGE by Private Wire Direct to The Star Office. Sales— Prev. Add 00. High. Low. Close. Close. 160 65% 64% 64% 654 31 4 Webster (2) Studebaker (15) Submarine Boat Sun Ol (11 Sun Oil pf (6. Superior Ofl Superior Si Symington (A). Cp (11.26)..0 Tenn Cop & Ch (1)... ‘Texas Corp (3). Tex Gulf Sul (4).... TexPC&O (b10%). Pac Land Tr.. The Fair (2.40) Thompson J R (3.60) ‘Tide Water Asso 60c. Timken Det Ax t80c n Roller (3) e FIoL 1 1= PP 2o @ & Imp(1.20) 1st pf (1.20) Smelt Ref (3%). Smelt Ref pf 314 . U S Steel (7). U S Steel pf (7). Univ Plct 18t pf( % Univ Pipe & Rad Utll Pwr&Lt A (e2). sco Sales Corp Vanadium (t4)...... Vick Chemical (2%). Virginia-Car Chem. . Virginia-Car 6% pf.. Va El & Pwr pf (6) Vulcan Detinnin; Wabash..... i Waldorf Systm (1%) Walworth Co (2) Ward Baking A Ward Baking B..... Warner Bros Plc (4). 14, War Bros P pf (2.20) Warner-Quinlan (2). Warren Bros (19)... Warren Fy&Pipe(2). Webster-Eisenlohr. . Wess Ofl & Snow (2) Wess O & Sn pf (4).. i West Penn El pf (6). West Penn El pf (7). West Penn Pw pf (7) Western Maryland. . Western Union (8) Westngh Ald Brk(2). Westinghse E&M (5) Westhse E&M pf (5) Weston El Ins (1)... White Eagle Oil (2).. White Motors (2). ... White Rock M S (4) White Sewing Mach. White Sw Mch pf (4) Wilcox Oil & Gas.... Wileox Rich (A) 2%. Wileox Rich, B (2).. Willys-Over (1.20) Wilson & Co. . Wilson & Co pf. Woolworth (2.40). Worthington Pump.. Worth Pump A (7) Wright Aero (2). Yale & Towne (15) Yellow Truck & C. Yellow Truck pf. RIGHTS Am R Mills. .June 15 Col Carbon. ErieRR... Dividend rates as given in the above table are the annual ased on the latest Unit of trading less than 1 5 'ayable in scrip. EXPIRE 1 cash ations. a Pl d Payable when earned. 10% " in stock. gPlus 6% in Plus 8% in stock. k Plus 3% in stock. n'Plus 5% in stock. b Sublect to approvai quarterly or half yearly de: 00 shares. f Partly b Payable in stocl stock, NATION’S INDUSTRIAL ACTIVITY PICKING UP Employment Gains and Rapid Up-| swing in Steel Production Stim- ulate Country’s Trade. Special Dispatch g The Star. NEW YORK, February 1.—Drama- tized by the blow-in of several blast furnaces for the first time in months, business throughout the country is | warming up from the bottom and some- what earlier or faster than was ex- | pected, says the Business Week in its |report covering the week ending Feb- ruary 1. Steel production has expanded with surpris rapidity under the stimulus hlex of automobile makers, who think the fharket is good and are increasing schedules preparing to try it out. Gov- ernment reports are positive that em- ployment has increased generally since the first of the year, which is not only gratifying, but remarkable. Weakness in commodity prices, with the collapse of price-pegging plans, however, is re- and freight traffic and general trade are about as active as they were during the painful early weeks of 1928, when model A was being born. The market is clelrlylgllnln[ ground | against the steady liquidation of bank | security loans and investments and the banks are thus getting more elbow room in which to handle increasing Spring business credit needs. But for all ex- c:&t the most liquid loans money is st tight and the need for lower re- discount rates continues. It is doubt- ful whether present signs of business recovery can be fully realized or long sustained without more reserve bank aid than has so far been forthcoming. Steady reduction of member bank in- debtedness and falling bank rates abroad bring this nearer. CUT IN COPPER OUTPUT. NEW YORK, February 1 (#).—A 40 per cent reduction in copper production, to begin February 9, at its Morenci ,_has been announced by the -Dodge Corporation. The cut effected partly by the inaugura- tion of the five-day week. Production at this smelter has been at the rate of about 5,100,000 pounds of copper monthly. % FOREIGN EXCHANGE. (Quotations furnished by W. Nominal gol e 3 . erown Warsaw. zloty . 1,700,000, mate. Special Dispatch to The BALTIMORE, Md. ry 1. Poultry, alive—Turkeys, pound, 30a34; old toms, 20a22; Spring chickens, 29a 33; Leghorns, 22a25; old roosters, 17a 18; ducks, 16a26; old hens, 20a29; Leg- horns, 23a25; geese, 18a28; guinea fowls, tlgel. 4|0|':0; wm. pair, 52.b Eggs—Receipts, 1, cases; nearby firsts, % pullets, 32; hennery, ; culls and dirty Butter—Good and fancy creamery, pound, 34a40; ladles, 31a32; _store packed, 20; rolls, 25a28; process, 34a35. Vegetable Prices. Potatoes, white, 100-pound sacks, 2.25a 3.00; sweet potatoes, barrel, 2.00a3.00; yams, barrel, 2.00a3.00; beets, crate, 3.5024.00; beans, hamper, 1.50a2.50; cabbage, hamper, 1.00a1.25; carrots, 100, 3.00a4.00; caulifiower, crate, 1.50a2.50; celery, crate, 1.50a3.00; lettuce, crate, 2.25a5.00; kale, barrel, 1.50a1.75; onions, 100 pounds, 1.50a1.75; peppers, crate, 3.0085.00; as, bushel, 1.50a2.25; parsnips, basket, 60a80; spinach, bushel, 1.25a2.00; squash, bushel, 2.00a2.50; tomatoes, crate, 2.5026.50; turmips, hamper, 40a50; apples, bushel, 60a2.75; cranberries, box, 5.0085.50; grapefruit, box, 3.50a4.50; oranges, box, 2.10a4.75; tangerines, box, 1.25a3.50; strawberries, quart, 60a65. . BANK CLEARINGS. Bank clearings this week at all lead- ing cities in the United Sf , as re- ported to Dun’s Review, amount to $9,~ 680,402,000 and are 23.6 per cent smaller than those of a year ago. At New York City, clea of $6,555,000,- 000 show a decline of 26.9 per cent, while the aggregate for the principal centers outside of New York of $3,125,- 402,000 is 15.6 per cent below last year’s. There is now a smaller volume of bank settlements at each of the larger cities than there was at this time last year, as well as at most of these centers, in comparison with the figures for the corresponding week of 1928. Clearings for the week, as reported to R. G. Dun & Co, and average daily bank clearings for the year date, are compared herewith: WK, Jan. 30. 1930. Per cent. Boston . 448,000,000 c. 8. Philadelphia Baltimore Pittsburgh Bufialo . Detroit . Cleveland Cincinnati St. Louls. £ 71 FRERRwRTRRRRRERERTRaay Total ali Europeans in South Africa number according . |advanced as a year ago. *Isteel industry is not representative of | % | ness still show the adverse influence of 4 | Still on in cotton and woolen lines, and i |are rather slack. The weather has con- 5 | but, prices are more spotty. +| clogged highways, muddy country Toads to a recent esti- BUSINESS REVIEWS | REPORT RECOVERY Progress in January Exceeds Earlier Expectations—Re- tail Trade Irregular. Special Dispatch to The Star. NEW YORK, February 1.—Although further progress has been made toward emergence from the slump late in 1929, trade and industry are affected by the | the irregularity of January weather and are still to be classed as spotty, accord- ing the the weekly business reviews. While improvement in activity and sentiment has become more distinct and there is definite expansion beyond the low levels of December, operations are not so active nor is buying so well R. G. Dun & Co.’s weekly review says, in part: “With recognition of the fact that a broad recovery from a recession of major proportions would not be likely to come otherwise than slowly and unevenly, results in January have been encouraging and in certain re- spects more favorable than was antici- pated. The decisive revival in the great the situation generally, yet is clearly ! evidences a betterment in some other manufacturing branches, including au- tomobile production, and is obviously a promising augury. That upturn, which has been more rapid than was com-| monly looked for, implies a larger en- gagement of workers in different lines, and the trend of employment is being watched closely as an indication of the probable public buying power. “The statistical barometers of busi- the late speculative upheaval, but the higher totals of ‘ailures, the smaller | railroad freight traffic, the decreased bank clearings and other similar rec- ords reflect phases which should be modified with the extension of the present process of recuperation. “The status of retail trade, which is naturally governed mainly by the purchasing ability and disposition of consumers, reveals many irregularities, but in numerous cases sizable reductions have been made in dealers’ stocks through offerings of attractively priced merchandise. . “Depression in major farm products this week contrasted with the stronger undertone in the stock market. Both wheat and cotton fell sharply in price, the former to a new low level for the season and the latter to a point not previously touched in several years.” Btrldstreet's State of Trade says in part: The weather in recent weeks has been decidedly against building and building materials, and curtailment is in jewelry, glass and tile making. Fur- niture trade reports are mixed, some manufacturers being active, while others tinued to help the coal trade, as a whole, “Excessively cold weather, snow- and high water are tioned obstacles bing trade in westward. “The automobile manufacturing trade, like iron and steel, is adding to its em ployes, well below a year ago' flowing tide of operations. Shoe manu- facturers have expanded operations, and machine tool makers, especially of elec- trically driven lines, all note more do- ing. Clothing and dress manufacturers in some, not all, citles are active, as are makers of bathing suits and some types of hosiery. There is talk of a strike of clothing workers at New York City.” still frequently men- to wholesale and job- the central valleys and Washington Ticker BY CLINTON COFFIN, Assoclated Press Financial Writer. Has the newly created Federal Farm Board got enough to do under the pres- ent law directing it to advance co- operative marketing and stabilize prices for farm products, or should it be re- quired as well to assume control of a large part of the farm, mortgage busi- ness of the country? The issue has been put up to Congress by Senator Brookhart of Iowa, in the form of a simple measure to endow the new farm board with mortgage lending authority, and to transfer to it complete the 14-year-old land bank system which has been operated heretofore by the Treasury Department. Senate hearings this week gave the first opportunity for the airing of conflicting arguments over the merits of the proposal. Paul Bestor, Federal Land Bank com- missioner, estimated that the 12 regional banks of the Government’s farm loan system had about $1,200,000,000 loaned on farm mortgages, and explained its method of raising funds for the pur- g(o!u through the sale of tax exempt nds. He placed the total of all farm mortgages in force in the country at the round figure of $9,000,000,000. “Now, why hasn't the Federal system got a larger part of this business?” Senator Brookhart demanded. “It was expected when it was created that half of all the farm mortgage lending in the country would be taken over by the land banks. Instead, it is holding only a small fraction of the total of farm mortgages. That seems to me reason why its management should be con- ferred upon the new Farm Board, so that the whole business of Federal aid to agriculture could be dealt with in one place.” Commissioner Bestor, however, while declaring himself unwilling to take a partisan position on the question, said the Federal Land Bank system had “‘probably forced down the interest rates on all farm mortgages” by its operation, even though it had loaned only a frac- tion of money obtained on such instru- ments. He suggested that the new Farm Board was doling out short-time loans on agricultural crops, while the Land Bank system was providing long- term advances. He also gave the opin- fon that the present Land Bank board had plenty to do, that it had a good system of marketing bonds and pro- viding funds for mortgages, and that it ought not to be disturbed. Through it in 1929 American farmers had ob- tained $80,000,000, he said, at an aver- age of 5.22 per cent interest, and during 1930, with better opportunities in pros- pect for bond selling, it might render even better service. Senator Brookhart, unconvinced, promised to bring in evidence showing that the Land Bank system last year st and Joseph I. Weller £ Was! 61/2% .I;OTES. ‘ Secured by First Mortgages Safe—Conservative 42 Years' Experience in finsancing homes and in the sale of these se- curities. Make your savings and surplus funds work for you at the highest inter- est rate con ent with absol safety. Wm. H. Saunders Co. Inc. REALTORS Dist. 1015+ sk |l CAPPER FARM PRIZE ROUSES INTEREST THROUGHOUT NATION By the Associated Press. TOPEKA, Kans., February 1.—A gold medal and $5,000 await the winner of ! the first annual Capper award for dis- inguished service to American agricul- ure. ores of nominations already have beescn lrelslfl! for the award, which has been established by Senator Arthur Capper of Kansas. The first winner is expected to be announced by the award committee next December. “My objective,” Senator Capper said in explaining his offer, “is to provide a concrete expression of gratitude to some of the people who make contributions of national importance to American agri- culture and to assist in stimulating pub- lic appreciation of unusually fine serv- ice to our basic industry.” Henry Ford and Thomas A. Edison are two industrial leaders who have been nominated for the first award. Others include Senator Charles L. McNary, Oregon, and Representative Gilbert N. Haugen, Iowa, co-authors of “farm relief legislation”; Gray Silver of West Virginia, first represent#tive in ti 0 Washington of the American Farm Bu- | reau Federation, who was credited with forming the first “farm bloc” in Con- gress; Sam H. Thompson, president of the Farm Bureau Federation, and Sen- ator William E. Borah. Frank O. Lowden, former governor of Illinois, has been nominated, but he has been declared ineligible because of his membership on the award commitiee. Senator Capper also has been suggested for his own award. Members of the award committee: Dr. F. D. El“lm{l,cpor“ealdent of Kansas State Agricultural lege. Dr. John H. Finley, editor of the New York Times. Cayl R. Gray, president of the Union Pacific system. FINANCIAL. BUSINESS SITUATION AS BOSTON SEES IT t Outstanding Factors in ‘!rgnnt Financial World Are Summed Up Briefly. Special Dispatch to The Star. BOSTON, February 1.—As of Febru; 1, the United Business Service l{!’f Boston analyzes the outstanding factors in the business and financial situation as follows: Favorable Factors. Steel—Output and demand continue to expand, but improvement is not spectacular. Railroad equlrment—ordeu and in- quiries are still coming in in large volume, especially for locomotives. Security loans—By Pederal Reserve member banks show sharp reductions for the third successive week. Automobile—Output again increases, but producers watching buying senti- | ment very closely. Unfavorable Factors. | . Building—Contracts, although show- ing improvement, are still under the u:;e Hm} of 1929. uying—In industrial sections has been curtailed as a result of sharply reduced employment. le—At wholesale and retafl has been considerably retarded by abnor- mally severe Winter weather, Summary and Forecast. A higher degree of activity in the steel, automobile, automobile acces- and chemical industries has made industrial considerably brighter than last month. Industrial employment, although low compared with a year ago, is increasing. The current favo! e trend will probably SENATOR CAPPER. James T. Jardine, director of the ?‘;e[nn Agricultural Experimental Sta- n. Mr. Lowden. H. A. Morgan, president of the Uni- versity of Tennessee. Walter T. Swingle, plant physiologist of the United States Department of Ag- riculture. rejected -rpllutlom for farm loans on a wholesale le., “Why, the Omaha Regional Bank has only outstanding $100,000,000 of farm loans,” he declared, “though the valu- |in ation of farm land within the district it is supposed to serve is about $7,000,- 000,000. That is a_mighty small sum to have advanced. I can't see why the system wouldn't be strengthened by ;nlk&n( the Farm Board responsible or it.” It is rather general opinion in rail- road circles that the recession in freight traffic volume experienced during the last half of January over most of the country can be attributed to severe weather rather than to cessation of business activity. Car loadings of revenue freight have failed to meet advance estimates for several weeks of the month just concluded, but the ex- pert observers consider that a tem- porary damming back of freight move- ment rather than a permanent halting explains the situation. “Extreme cold through the Middle and Northwest, and low temperatures through the Southwest, together with heavy snow falls over the Central por- tion of the continent are in my judge- ment the chief causes for a decline in rail traffic at this period,” H. G. Tay- lor, who manages co-operation be- tween shippers and carriers in trafc estimates for the American Railway Association, said. “These adverse weather conditions _ unquestionably postpone shipments. But the run of estimates we can get as to industrial and agricultural prospects still justi- fles the expectation that 1930 will pro- vide railroads with freight business just about equal to that they had in 1929.” Treasury receipts from the income tax during January have amounted to Just above $27,000,000 and are about $6,000,000 less than they were during the same month last year. These are the first figures from Government ac- counting which give any ground for making estimates as to what sort of a loss in revenues may be anticipated from the combined effect of the stock market price collapse last Fall and the later decision of ess to cut 1 per cent off the income tax rate. If the January experience in the mat- ter of income tax collections proves to be the pattern for succeeding months of the calendar year, nat! receipts POWER- SWARTZELL. RHEEM anp HENSEY co, MORTGAGE BANKERS 727 IS STREET.N.W. WASHINGTON,O.C. L J be continued throughout February. A. & P. TO EXPAND. NEW YORK, Febru: 1 Al Great Atlantic & Plcla?’l’el“go. ;;25 Apmell to exdp-nd ?4 lrlzpem into Los ngeles and eventual them other Pacific Coast tlt{u w NO MORE METERS TO CLICK AWAY YOUR DIMES S page A-S from income taxation will cut down about 20 per cent. On that basis the Government may take in something less than $2,000,000,000 from income taxes 1930, against the $2,400,000,000 which it collected in 1929. No accurate estimates of the income tax situation will be possible before figures are published for March re- ceipts on that account, since the great bulk of payments are made on regular qQuarterly dates through the year. Nevertheless, those concerns and per- sons who have a special fiscal year governing their accounts pay on other dates, and the January returns from the income tax express in a limited way the experience of a special group as to accumulat of taxable profits and earnings last year. It is getting to be pretty obvious that stock market losses of 1929 are going to produce a very considerable writing down of income tax payments in 1930, whether the wrif dow;l'!:enchu the 20 per cent reduction foreshadowed by the Jan- uary figures or not. —_— Panama Canal tolls in 1929 exceeded those of the preceding year, First Mortgage Loans I Ariington and Alexandria, Virginia Comlw&llll Investment oy 508 15th St N.W. Phone Nationa) 2023 Mortgage Loaw Correspondent for The dential Insuramce Co. Columbia Building Association Pays 5% 20 Years’ Successful Business Without the Loss of a Dime oo $1 or More Will Start Your Thrift Account See Us When You Want a Real Estate Loan ot (Under Government Supervision) 716 11th St. N.W. Compounded Semi-Annually PANIC PANACEA MERICA reeled under the blow of the panic of 1893 . . . Capital and credit had been diverted from the normal courses of industry in an era of wild speculation . . . industrial development was halted, Then the giant figure of elec- tric power strode on the scene —through the Stanley tran former, power could be carried hundreds of miles . . . new lands, new resources were thrown open . . . the capital which had been fruitlessly placed in speculation returned to the country’s necessary de- velopment. And the Nation forged ahead! Today, after the minor “crash of °29,” investors are realizing more and more the wisdom of placing their savings in needed development—in necessary building projects in :he growing city of Washing- on. The 6 per cent First Mort- gage Notes on investigated Washington property offered through Swartzell, Rheem & Hensey Company are recog- nized as the soundest of secur- ities . . . Through the panic of ’93, through all the varying financial conditions since the founding of this Company in 1869, these Notes have always paid their steady, unfailing in- terest return. No matter what the condition of the financial market, of wise investors throughout the history of this country has never had a mo- ment’s worry about the security of their invest- ments or the continuity of their income—in 1929 as in 1893 their funds, placed in First Mort Notes based on property values, ve always yielded them a steady return.