Evening Star Newspaper, June 21, 1931, Page 62

BOND PRIGESGA INACTIVE MARKE Railroad and Foreign Ohbliga- tions Prove Features at Short Session. BY ALEXANDER HENDERSON. Asgociated Press Financial Writer. NEW YORK, June 20.—The bond market staged a general advence to- day and trading more active than usual in a short session. b Strength was most aparent in rail- road and forelgn obligations. The movement in the former was simul- taneous with strength in carrier stocks and many of the best gains of the lat- ter were scored by German issues. St. Paul 5s of 2000 and Southern 4s of 1956 jumped more than 1 point each and were two of the most active issues of the whole list. The breadth of the upturn may be realized from the fact that such issues as Baltimore & Ohilo 4.8 of 1960, Chicago & North- western 4%s, New York, Chicago & St. Louis 4125 of 1978 and Pennsylvania general 4'>s were both active and higher. Declines were unusually few and small. The overnight news about the plans of the Federal Government to aid Ger- many proved a strong stimulant to German obligations, although the early trading in them was dull, and im- parted a better tone to the foreign group generally. The German B8lis jumped more than 2 points on a large turnover and Berlin City Electric 6'ss jumped more than 3 points. French Tlas were more active than usual and firm. ‘Other Europsan issues reached nigher levels, almost without exception, | Sao Paulo 75 of 1940 rose sharply on a few sales following the news of the arrangements for the payment of the July 1 interest and amortization charges. Other Brazilian bonds appre- clated also. A group of American bankers in- cluded among the creditors of the credit Canstalt of Vienna will discount bills for the Austrien treasury to the extent of $7,000,000, it was learned to- day. The entire operation in which bankers of other nations take part will aggregate $21,000,000. Loans of the United States Govern- Tish, ‘Eaw. Stock_and dividend. Hig 101 904 Abram & Straus bl a'¢s. 87'4 B7'% Alleghany Coev 105% 108 Am Asri Chem 7 102 98 Cl 933 Am Internation Am Natural G 6% L3 Armour & Co 448 Armour of Del 5% Atch T &S Fead) Austria B & O gold 4 B&Ocv 4k Balto & Ohi B&Ovref 53’95, B&Oretbs D 4 Balto & Ohto 6 Bolivia s ct Rordeaux Boston & Brazil Brazil 88'41. .. Broadwy & Tth Av “Brooklyn Manh 1st ian Natl 4 Can Nat July bs Canadian Natl ba Canadian Pacific Centra: Pacific 48 ¢ Central Pacific §s 196 Certain-teed 648 19 Chesapeake Corp 58 ‘47 ment continued quiet and steady. Public utility and industrial issues were not so active and strong as the rail and foreign obligations. Stoek privilege bonds appreciated in sym- pathy with the rise in stocks. INDUSTRIAL STOCK LIST IS DEPRESSED IN WEEK’S TRADING —(Continued From First Page. the country. This month's bank suspen- sions will ‘embrace the largest total of bank resources since last December. There are quite a few situations in real estate and in public utility and indus- trial securites that were never satsfac- torily moved out of the hands of under- writers into those of the public, which, sooner or later, must be “thawed out.” This has all been taken into aceount in the readjustment of prices of se- curities to incidents in the general de- flation outside the area of active con- tact. After nearly two years of shrink- ing values, the power of those who are borrowers to hang on and the re- luctance of those who lend to sustain commitments with an unsatisfactory " future brings about coilapse of greater or_less degree. It is not improbable that we have passed through tho'.mflbd of liquida- tion of those securi and eemmodi- ties that are actively traded in have a broad market. There are many signs leading to such a conclusion. Among them are the shrinking volume of afl;l;n of ?’Iflil;:lud mcumu. and commodities and the smaller age of decline in each mceeogl‘hr:m 5 'rh;’l is :.ho more important itiative in industry or in a lying campaign until it is confident that what it has in the form of capi- tal is no longer on the auction block. On the other hand, the strain where there are unmarketable assets may be- come more pronounced. The effect of this will be on a limited number com- pared with those in the security group. European Bank Troubles. It is this latter phase with which European banks have recently been dealing. Their troubles are in large part due to “frozen assets,” which eventually had to be “thawed out” and exposure made of questionable items in balance sheets. It might have been possible to postpone the difficulties in Austria had political and economie conditions been more serene. The in- terrelations of the institutions in Cen- tral Europe being as they are, the fear that paralyzed Vienna later struck at Berlin and Amsterdam. It was only as the courage of the German govern- ment has been displayed in this week's political and financial erisis that a respite has been obtained, after the re- discount rates of the central banks of Germany, Austria and Hungary had been advanced to 7 and 7'; per cent. There are such fundamental changes in prospect in the debt status of Ger- many that it is im| ible now to fore- cast events and their bearing on the American market for dollar bonds in the next few weeks, Evidently the sit- uation is one that compels the close attention of the leading statesmen of Europe, and it gives more distinction to the recent Chequers conference to know that the British premier and his foreign minister are to make a return visit to Berlin next month. The con- ference called at Geneva in July will undoubtedly take up questions of rep- arations and armaments. (Copyright, 1931) Bpecial Dispateh to The Star. BALTIMORE, Md. June 20.—The live poultry market has ruled easy the past week under liberal receipts and values on both Spring chickens and old hens show a decline of 2 cents a pound. Large Spring chickens, 2!, pounds and over, find ready sale, but Springers under 2 pounds are slow to move out ! and the majority of the receipts con- #ist of this sort. only leghorns over :!i‘ pounds are bflnl‘hf top quotations, and too many small chickens, which | are nct wanted, are being lhlg d, The | market closed today at 28 to 34 cents & pound for mixed, colored Springers and 24 to 26 for smaller, but Leghorn: 2| pounds and over, will not bring over 24 to 26, while smaller stcck is neg-' lected at 18 to 323. Recelpts of old hens have been, liberal the past week, and with the demand at the moment, limited the market is easy end lower at 17 to 21, for fowl weighing 3% pounds ‘and over, but horns are slow sale at 15 to 16, while all poor, thin fowl, as well as old roosters, are neglected at 12 to 14. Young ducks in moderate receipts, but ample for the demand which is limited at 18 to 22 for young ducks, 4 pounds and over, with smaller neglected at 15 and A7, while old ducks are not wanted at any price. Season for guinea fowl is over, but the market for pigeons holds steady at 20 to 25 for both ycung and old. Egg Prices. The general market continued unsettled, there ?z‘in an easy tone to the market with receipts running med- e ‘but ample for the demand, which ® onlyfalr and values show. s decline Ches & Oh gen 434592, Ches & Ohlo 4%8°93 A. Ches & Ohio 4% s B '95 ChiB&Q4%sB'17, Chi B & Qref 5s'71 Ch & East 111 gen 68 '51 Chi Great West 42’69 ChiMSLP&P6s'll Chi M St P & P adj bs Chicago&Nwn cv 4% s 49, Chi& N W 6%s'36, . Chicago Ry 37, yooeos 4 ChiR 1 & Pacref 4834 Chicago Reck Isl 4148’80 Chicago RI4%8 A. Chi Union Station 4 4s. .. Chi Union Station 6%4s. .. Chi & West Ind con 4s. .. Chi & West Ind 5%s'62.. Chile Republic 63 1960. Chile Copper 53 47 *hil 1 ! 109% Czechoslovakia 103% Del & Hudson § 100% Denmark § 104% Denmark 6s 101 Dutch East Ind! 844 Erle 1st con ¢ Erie gen )i French THs"¢1 nkirchen Min 6s '34. al Cab) i%;l 1947, . 3 105% Grand Trunk 110 Grand Trunk 95% Great North &3 107% Greut Norgen5%s 1081 Great North gen T 82 Greek 651968 74 Hudson & M 805 Inter Cement 6s *48 37 Inter Gt Nor ad) '65. 85 Inter Match b8 "47 75 Inter Mer Marin 62 Inter Paper 58 A 47 Int Tel&Tel ev 433 ‘39 101% jrish Free State 63’60, 92% ltaly 78"51. . 89 . 106% 106% Sesssa 10D 4 F THE SUNDAY STAR, WASI-iINGTON; ___—____”_——————_—A‘—#—————““_________—____—_—___—m—————__‘ —10 ¢ L Low,. @took snd dividend. 107% 102% Japanese 633 54 81% 73 102% 83 N h. Low. Clase. Oh 98% 98% — % 67 6§ 1 ZzZ72Z7222 sexsis” FEF FEF P Penn Penn Penn Penn N Y Tel 6s'41. N Y Wes & Bos d 48 Norfolk & W en 4 North Amer Ed 6 North Pacifie 35 2047 North Pacific 4s '97. North Pacific bs D 2047. North Pacifie r 1 6 Northern Sta Norway 5%» Ore Wash 1st 1 Orfent Dev 6% 4% +1% 62 + W 87 +1% Mo Pacifie 65 G. Missouri Pacifi Montana Powe! Nassau Elec 48 Nat Dairy Prod %8s A { Nat Radlator 6%s 1947, Netherlands 6s '3 1138 +1% 3 104% - 106 - 83% + 100 - 1033 68% 961, 101% 111 104 108% 9614 95% 108% Penn gen 4% Penna RR 4 Pittabgh&WVa ¢ %3 C'60 Poland 8s ‘50 Postal Tel & Cab §s '33. Queensland 6s 47, Queens] Reading ¢4s 97 Reming-Rand b Rhinelbe 7 Rh 10314 52 8514 20 991 98Y 05 104 064 1064 11 1034 — % | 10310 100 91 64% " Tl “ d 7541, St Louis 8 W con ¢ StPKCS Linedi4s Serbs Croa Sinelair Of} s'37 Sinelair Crude ON Sinclair Pips Lin Southwes Rell T 98 South 1014 + %, 991 South 87 -1/ 100 1815 ~ 1| 102% 76% — W | 88% % —-% 87 H1% 881 +1 99% Tenn Copper Texas Pacifl adj Toho Elec Pwr 73 '56. 4 Unlon Pacific st 48 47, Unlon Pacific 45 '68. Un Pacific ref 4 2008. United Drug 58 ‘63 Utd Kingdom 6 37 U S Rubber 18t & ref 5 Uruguay 6s 1960. . Utah Power & Light bs., Utilitles P & L 5%» "47... Vienna 6s 1952, Va Ry & Power 63 '3 Virginia Ry 1gt b8 Wabash 4348 1978.. Wabash st 6839, | o ref ¢ fle 448 Southern Pac 448 Southn Pae Ore 4 4= Southern Ry gen 43 Southern Ry 1st b Southern Ry gen 1084 1081 9 1057 22 921 53% 3814y 100% 106% 61 102 Wilson & Co 1st Yokohama Youngstown Steel 98% +114 NEW YORK STOCK EXC (Continued From Second 1081 — Page.) Stogk and dividend. 12 1 1124 120 150% 364 2% | 107% 119% of & cent a dozen. Shippers are advised not te hold their eggs, but to ship in single case lots if necessary, as there is shows signs held. t 16 cents a dozen, with g o A ing sold as current ul shipments be recel pota in light supply and ufifi; n&mz frm -:"ul to 190 per poun ungraded, trol.il not bring over 1.00 to 1. I ginia new potatoes in moderate receipts and the market holds steady at 2.00 to 2.25 per barrel for No. 1 stock, with No. 2's sel moétly 1.25 to 1.50. Receipts of native and nearby garden truck running liberal and prices on all decline, the market being easy in buyers' favor at the following qu Medium to High. 24% 18 18 % K High. Low. = Low. Close, Wy 2% 2 11 idend tes Brent, o, *Unit of tradn % l-uslt‘ukf‘ Paal % i N al ICEHII .‘:G‘If stoc) ERA R market for stock that pnmunyuno 'r;u H cabbage, 1.00, ham 100; rhul et undas oy & 1ae deman and and un & fair demant crnc:r‘:d on first quality stock with gl grades cull and draggy at inside prices. Beel cattle, first quiMity, pound, to common to medium, 4 to 6; Qulls, as quality, 3 to §; cows, choles & fancy, to 3; common 4@ fair, 2 to 3;-oxen, Stock and dividend. Weston Elee Inst (1 West Vaco Chlor Wextark Radio St Wheeling & L Erfe pf. White Motors (1). Willys-Overiand nd Wrizley Wm (4 Yale & Towne Yeilow Truck & Co % Zenith Radfo...... Zonite Prod Corp (1). sErFesF sEs02 Pl 4411404401 e 0% xT2% 21 22% T 1% 119% x19% 45 45 2% 2% I+ “ F8 FEF tPartly .l:r;iu‘fi‘:: 7 Bl 8% 1o stoek” & Bivs S in apius's] in ‘Breferred Sock’ e, less than 100 shi b, *elis 0% Phrihie S . Calves, veal, choice, to The; lAl'ld! rough, 6 estic, ; low spot ¢cmestic, 71a72; cob corn,3.25a 3.50, per barrel; oats—No. 2 white do- ‘mestic, 37; No. 3 white domestic, 36; rye ~nearby, 50a55. - PR RSN Many factories are to be opened in l Qopen) .| Gsle. D. C, JUNE 21, 1931—PART SIX, INVESTMENT TRUSTS FINANCIAL. INVESTMENT BOND PRICES HOL | STEADY DURING WEEK'S TRADING Spectal'Dimateh to The Star. NEW enera] ‘manifested the junior list that previous esti- mates as to the imminency of the re- covery in bonds will bave to be revised. Measured by the price averages the investment market ended the week just where, it started. Volume for this, the dull season of the year, was well main- tained owing chiefly to the still brisk demand for high-grade bonds. Junlor Rall List. Junior railroad bonds responded em- phatically early in the week to reports that the financial problems of the St. Louis-San_Francisco Railroad and the 8t. Louis Southwestern had been solved with the aid of bankers. The consoli- dated 4 per cent of the latter road made one of the most dramatic recov~ « |erles in the current market, advancing over 25 points from their recent low. But the response of other junior issues such 8s St. Paul bs, Erie 55 and Mis- - | sourl-Pacific 58 was not commensurate. This group of railroad bonds, selling on a yield basis ranging from 6.50 to over 9 per cent, does not reflect any hope of improvement in carrier earn- ings. Nor does it discount any antici- pation that the Interstate Commerce 4 |of the rallroads for a 15 per cent in- crease in freight rates. ;| However, some comfort was to be derived from the highly satisfactory price levels of prime corporation issues and the renewed activity in the new capital market. New bonds put out : |during the week amounted to $87.265,- 000. compared with only $7,184,000 last | week and $133,041,500 in the same week 3 0f 1930. Some new issues in prospect |are of a nature that could not com- mand a market a few weeks ago, and vestors ... vestors lence Tr Shr: r |turning more to second-grade issues. This was evidenced by sharp upturns 5 Bhr T U T . Onaw Invest in a few junior industrials, such as Monawk Invest M\X:lll‘! y:"‘l‘ Tru at e Becir change 7s and McKesson & Robbins »|5'; per cent debentures. be secured in the high-grade market was the general marking down of mu- | nicipal bonds and, to a lesser extent, of United States Governments. Plans for new financing of comm-onwealth Edi- son, reported to be considering a $100,- | 000,000 bond offering; of Public Service -+ | Electric & Gas, Cleveland Electric Il- ‘| luminating, New York Telephone, Pa- | cific Power & Light and ather corpora- ;| tions, shcw that bankers are evincing greater interest 3114 | funds back into ',\: | American banking | Petroleum Trad A omer'& Rail Trustee # H industry. groups have been | negotiating for a large issue of Danish * | dollar bonds. . German Bonds. On the other hand, preliminar; | earnings for June rail ave reversed' the {in carrier earnings had been checked. The Bureau of Labor's 1¢hol le price | index dropped t> another new low on | Priday. And both British and Amer! can import and export figures were far e from cheerful. Untjl some of these d | g:mln( factors are removed, little can 203, expected from the bond market. L‘ In regard to the foreign situation, it FOREIGN EXCHANGE. (Quotations furnished by W. B. Hibbs & Co ) Nominal gold Selling checc: oAy 6 17-32 19-32c c that France's obligations were several years ago. Those who have sold their | bonds and forced the Young plan 51ss | Germany is in for another ruinous de- preciation of her ourrency, that repudi: franc Athens, drachma adrid, pesets .. lenna. schilling udapest. 0 jw o) Money on Hand to Loan on ‘ First Deed of Trust 6% Interest Reasonable Commission and Prompt Replies to Applications JAMES F. SHEA 643 Indiana Ave: N.W. en. crown Stockhelm, erown . Pipe Order Placed. NEW YORK. June 20, (A — Youngstown Sheet & Tube 'Co. has obtained an order for 41,000 tons of | pipe. The company has banked a| blast furnace at the Campbell plant. | leaving one of four stacks melting that location. SECURITY SALESMEN The Washington office of an established in- vestment house will increase its force with two additional men, to devote their time to the dis- tribution of conservative ndicate issues— bonds and stocks—also leading fixed trusts having National and local advertising sup- port. The men whose services will be ac- cepted will have established clienteles, clear records and earning power in excess of $6,000. Satisfactory remuneration will be arranged. Replies will he treated confidentially, Our erganization has been informed of this adver- * tisement. -~ Address Box 267-S, Star Office. |IlllmlHlllllmllmlmmlmlullllllml|I||llmmlfllml|III||||N||||flmlll'lml|mll“lIlllllllllllmim"“l" Money Available for Mortgage Loans UR facilities for placing First Trust Loans— @ new or refinancing—are equal to any require- ment. Applications are invariably given care- ful consideration, accompanied by prompt action— in connection with apartment house, office build- ing, residential or business prop- 5 1/2 % erties—located in Washington or RANDALL H, HAGNER & COMPANY = nearby Maryland and Virginia— for 3, 5 or 10-year periods; and at 1321 Connecticut Ave. Y. E. BOOKER & COMPANY INVESTMENT BANKERS ANNOUNCE THE REMOVAL OF THEIR OFFICES TO THE AMERICAN SECURITY BUILDING 730 FIFTEENTH STREET WASHINGTON, D. C. price | and economic unsettlement, Commission will grant the application | be | dealers report that investors' funds nre1 Armoyr of Delaware 5';s, Pathe Ex- | in getting surplus | Several | | previously held view that the decline | tion of war debts and commercial loans fiumumulymnmur‘m Russia will, in any case, swamp Ger- many with her cheap goods. It is easy umuu?muorumw- enoug] y Prench bonds ;‘:’:‘ they were as low as Germans are today, but it is not easy to convince investors now that Germany's recovery will be as dramatic or as substantial. Yet the week saw European and Awmerican bankers hastening to the aid of the Reich. Ear-marked gold at New York was reduced over $75,000,00. Most_of this was for the account of the Relchsbank, which, in turn, shij 3 gl.v:n German exchang from its lowest covery in German dollar bonds as a t, and, 'h rerorua that the bank will meet its obligations in full ‘There was no important change in ican dollar bonds. Brasilians were firm rangements for paying debt service with ace and probably will remain’ de- ing previous estimates is expected to be 1931) Trade Trends the Bank of France, but the dollar ex- g0ld to Parls. These transactions ¢ Tt being improved steadil, & partial re- result. Then London el able to prevent the Amstell or, more probably, reopen with a vastly the SBouth American situation or any cause the Rio government and Sao London and New York bankers, Ar- pressed until the end of the fiscal year announced. By the Associated Press. change 3o obtained was turned over to attention to the powerful suj mark point and there has a helping hand to the Austsian Cred- itanstal bank, it was strengthened position. noteworthy fluctuations in South Amer- Paulo state concluded satisfactory ar- ntine issues seemed little inclined to in that country, when a deficit exceed- (Cepyright, Copper—There was viitually no in- | quiry for copper in the domestic mar- Afmother hint that buyers of bonds | re not attracted by the small yields | ket at the end of the week, and export sales were negligible, Prices remained unchanged, at 8 cents a pound, deliv- ered, for domestic shipment and 8.275 cents c.i.f, European base ports for ex- | | port. Electrical equipment—The onset of Summer finds activity still at a low €bb in the electrical equipment markets | of the country, Electrical World re- | poris. Changes in the past week were slight and irregular, word from" the various districts indicating somewhat better conditions in Coast and Middle West markets. Petroleum—The average price of crude petroleum 10 representative producing fields was unchanged last 716 11th is interesting to note that Germany's | bonds today are in the same position | | down to a 30-point discount argue that | E Pays 5% OPENING A L Columbia Building Association Under Government Supervision B IJ This Ad and Receive $1.00 Credit N Let Us Refinance Your Maturing Real Estate Loan No Commissions Charged 22 Years' Successful Business Without the Loss of a Dime ‘week from the ‘week, at 638 cents & barrel, according to Oil, Paint and Drug Reporter. The average com. pares with $1.465 a barrel a year ago. Gasoline at the refineries was cheaper last week, at 3.75 cents a gallon at four principal vefining centers, com- pared with 3.775 cents a gallon the meedln' week and 7.21 cents a gal- last year. Steel—Operations of steel mills in the Youngstown district next week will be advanced 1 per cent, to 41 per cent of capacity, Dow, es & Co. reports. Youngstown Sheet & Tube Co. will ad- vance activities 7 per cent, to 40 per cent. Republic Steel Corporation wiil advance 5 per cent, to 40. ‘.E’n F ”mv:rlh" doed of e JO“'II L w:‘i;‘ Blds.. b & F ’::‘ BETTER USED CARS If you are going to buy a Used Car, why not have the best? MOTT MOTORS, Inc. 1520 14th St. N.W. The Common-Sense Investment North American Trust Shares, the leading fixed trust, offer safety good return marketability growth in value KNAPP & Co., INC. INVESTMENT SECURITIES Shoreham Building Phome Mepropolitan 1522 | | Plesse send complete information. | i St. N.W. \Compounded Semi-Annually ) NEW_ACCOUNT YOU KNOW ‘That all great fortunes arise from ownership of successful business; That a depression is the ideal tigae to buy into such busi- nesses; But capital, you lack accumulated Thet Use THE PARCO PLAN (Not Partial Payment) It permits you to invest as little as $10 as often es you like in a composite group.of America’s best. All payments made to bank. Stocks Mar. 31. 1931 Air Reduction American Can American Gas & Eiectric American Tel. & Tel Bankers Trust Ce. of N.Y. orden Company oneolidaten Gas of N. Y. s Biscuit iry_Produets & Elec. rocter & e Eublic Ssrvice af N. J. Standard Ol of N. J. Union Carbide & n United Gas Imprevement United States Steal SIMPLE—SAFE—FLEXIBLE—PROFITABLE HOBSON & COMPANY, Inec. 223 Shoreham Bldg. Please send particulars about the Parco Plan. NO MONEY WORRY . You will sources of ries if you 6% FI eliminate one of the main everybody’s money wor- invest in our RST MORTGAGES Here the money is safely secured by Over a Third 4 erties. of a / Century Without a investment May e / from $250 conservatively estate, including new home prop- appraised real And it will earn 6% continuously and uninterruptedly from the time of to maturity. purchased in amounts up. B. FLSAUL GO National 2100 925 15th St. N.W.