Evening Star Newspaper, July 3, 1931, Page 11

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& s A—-I11 FEDERAL RESERVE CREDIT AIDS SEEN - Bank Believed to Have Adopt+ ed Policy of Buying Securities. BY JOHN L. COOLEY, Associated Press Financial Writer. | NEW YORK, July 3.—When the last Federal Reserve statement revealed a Jump of nearly $20,000,000 in Govern- ment security holdings, Wall Street's immediate concluslon was, “Now the 92 reserve is going at this credit-expan- Z;“ sion business in earnest.” 911 It was the fact of the gain rather A than its size that attracted attention. ¢ |Since last Summer there had been vir- e und 10z tually no change in the volume of United States. Government obligations . THE EVENING STAR, WASHINGTON, D. C, FRIDAY JULY 3, 1931. Cgww NEW YORK STOCK EXCHANGE | |ADVANGE IN BOND |Coxsx woc BONDS oo excnave] PRICES GONTINUES., UNITED STATES. Listéis3d2-4 FINANCIAL. COMMODITY PRIE | RECOVERY S VITAL| ™ —==m FINANCIAL. Ll High. Low. Close. 96% 95%° 96% 9% 95% 95% 8% T2% 2% 1% From Page 10.) ~Prev. 1931~ Stock and {Orn e High. Low. Dividends Rate. Sales— 21% 16% Telautograph (1.40), High. Low. Dividend Rate. Add 00. High. 18 Texas Corp (2)s... . 39% 2814 Penney (J C) (2.40). 9 3 291 Texas G Sulphur (3), Penn Railroad (3)... 50 % 43 71 Texas Pac Land Tr. Turn in Business Depends 0N 556 155 Feop aas Cni8)-o. 1 213 Texan P A ON, 10% 6 Petrolm Cp of Am(1) % % % TR 9% Thatcher Mfg (1.60). 4 Improvement in Raw |5 sgt BUACIERT V% o % W 10 B Thira Avemub.sirset Material Values. Sales, Inland Stl 4%s A'78 11 Inland Stl 4 ’81 15 Int Rap Tr .2 Int Rap Tr sta ':I. . (Bales are in $1.000.) Sales. Higl: Low. Close. 19 10217 10216 102 17 15 103 12 103 10 108 10 8 92 104 25 104 24 104 24 59 10118 10111 10111 110223 102 23 102 23 1 102 28 102 28 102 28 75 106 18 106 17 106 17 }55(: Expgcte& Agreement on Hoo- :f;: ver Debt Holiday Plan i Aids Seourities. 15% 4 5% 3;“ BY F. H. RICHARDSON. 8 Special Dispatch to The Star. 9%| NEW YORK, July 3.—Bonds moved 1074 1073 36'% | substantially higher today in trading i 3 9 1ggw 133 that was only moderately active. gg% Overnight news from abroad was con- 8 6348 '64. . 188 % 18 |strued favorably and the Berlin and 2., Jugosl Bank 78'57. 1 kg £ L 171% 168% London markets reflected an wlaony | A BN 1o Be a1 e s universally held opinion that the week ) oA Bty oo, 1 §$7% 12| end wil see Paris and Washington in Unit Biscuit (2) % 37%|agreement on the Hoover debt oliday Unit Carbon. . 16 |plan. 2 & b%| The political news, however, merely |’ served as a background for other fa-| .t b = vorable developments. The fact that ":"m L Imt M Cbd 58 ret’41. Int Maich 6347 1 : Int MM col tr 124 Philip Mor & Co (1).. 16 Third Nat Inv(mbse) ENURRRAN A 7 165 Phillips Petroleum. . " 15% Thompson (J R) (1), 55 33 Pierce Petroleum. .., 2 ‘. ‘Thompson Starrett. , 37 i ) Tide Water Asso Ofl. 80 ‘Tide Wat As pf (6).. 15% Pitts Screw&B(70c) ‘Timken Roller (3)... 27 Porto Ric. Am To(2) Transamerica (406) 8 PR Am Tob 8. 23% O Int T&T 4%s 5. s Bpecial Dispatch to The Star. Iat TET cv 4%8°39 NEW YORK, July 3—Business men who are puzziing over the significance of the stock market rise and whether it heralds a turn for the better in busi- ness should watch the commodity mar- kets, where the true story will be told. There can be no real business recov- ery until countries producing the raw materials of the world can operate at a profit. That is the significance of the Tise in commodity prices. If the rise holds, the world will quickly recover its Jost prosperity. Copper has advanced | 'g& 3 S to 9 cents. Most producers in the| °' 28, PullmahCorp (G9--- United States can operate at a profit| 13 gre pure O, when copper is at the 10-cent level. 10174 66% Pure Ol bt (8) Trieo Product bs- e Postal Tel&Cable pf. Prairie Oil & Gas. ... Prairie Pipe L (3)... Proct & Gamb (2.40) Pub SV N J (3.40)... PubSv N J pf (6). Pub §v N J pf (T). PubSv N Jpf (8)... 104% 103% Pub Sve G&E of(5).. 11- K 97 43% Unlon Carb & C 106% Un O1l of Cal (2) 79 © s Kan City Sou ‘War Debt Situation. American financial leaders are show- ing no anxiety over the war debt situ- ation. They say that while France is Jockeying for a position and trying to drive the best bargain possible, she will eventually have to concede to President Hoov 's wishes. No government. thes: business men say, would dare risk the dangers of again throwing the =world back into the ghaos it was in before Mr. Hoover made his postponement proposal. 2 It probably will be left to historians to tell the story of just how close the world was to a calamity even greater than the last war. Level-headed men know that the depression cannot be turned into prosperity overnight even it_the President’s proposal does go into effect, but fear will have been elimi- nated, and with hope and trust restored the world will right itseif. Fear caused the disaster and the elimination of fear will repair the damage. Billions of dollars have been in hiding in recent years because of world uncertainties, and when this money loses its timidity things will begin to happen in the business world. Debt Holiday Plan. ‘W. B. Storey, president of the Atchi son, Topeka & Santa Fe Railway, has suid that it was too early to predict the effect upon busines@in this coun- try of the proposed moratorium, but he admitted that the attitude of the people might change sufficiently later to cause & substantial increase in the volume of general business and in rail- road traffic. The Guaranty Trust Co. in its monthly survey issued yesterday, said that hopes have been revived for a recovery in_business, l‘ivraere doubt and fsm had prevailed. P A stimulant, to constructive ef- fort and thought,” the trust company says, “the debt holiday proposal may well mark the change in business atti- tude which precedes and helps vivify business.” Business in China. One hears only of wars and rav aging armies in China and never imag- | ines that country as a fertile spot for the growth of new business enter- prices. Yet China is building its first newsprint plant at Pichou, on the upper Sungari, in Huatien Prefecture. Kirwin Province. When the new mill is ready it will put out the first news- | print paper under Chinese management in China. | The mechinery for the plant will be crdered from America and negotiations | are already under way with an Ameri- can firm in Shanghai. The Northeast- e e etavten * HOOVER DEBT PLAN IS HELD MOVE FOR ECONOMIC PEACE! the Fall. It will begin with the manu- facture of newsprint at the rate of 2bout $4,000,000 a year. ~Operations will be jin charge of Mr. Chin-Kan. ; South Ameriacn Credits. ! 100% 244 Purity Bakerie: Ladio Corp. Radio Corp B (5). Radio-Keith-Orph A. Raybestos Man 2. Reading Ry (4). Real Silk Hoslery. .. 1teis (R) & Co 1st pf Remington-Rand. Keo Motor Car (40¢). Republic Steel . Republic Steel Reynolds Metal Reynolds Tob B (3). Rhine W El P(a2.14) Richfield VA, ... Rio Grande Oi1 Ritter Dent Mfg 1. 56% St Joseph Lead (1). St Louls & San Fran. St L-San Fran pt (6) St L Southwestern. . Savage Arms (2) Schulte Retail Stri Scott Paper ($1.40).. 108 Seaboard Air Line... % Seab Air Line pf ars Roebuck ( Seneca Copper Servel Inc. Sharp & Dobm Shattuck F G (t11%). Shell Unton 011 Shell Un Oll pt (5%) Stmmons Co. . Simms Petro 3 4 Sinclair Consol O1l. . Skelly O1 Sloss Sheffield St pf. South Port Rico Sug. South Cal Ed (2) South Pacific (8) Southern Rwy (m Southern Sparks Withing (1). Spicer M{g..... Splegel-May-Stern. . Stand Brands (1.20). Stand G& E (3%) Stand G & E pf (4) Stand G & El pf (7).. Stand Ofl Cal (hi2% ) Stand Oil of Kansas. Stand Oil N J « Stand Ol N ¥ (1.60). Starrett (LS) (12%) Steri Sec pf (1 Stewart Warne Stone & Webster (3). Studebaker (1.20)... Sun Ot (91). Superior Steel. . Snperior O11 201y 88% 647 ally 81 76% Unit G & Im (1.20).. 158 Unit G & Im pt (5).. Unit Paperboard. U S & For Secur, U S Freight U S Gypsum 4 US Hoftman... U S Indust Alcohol. S Realty & Imp(2) S Rubber... . S Rubber 1st pf... SP&F 1st (1.20). 4 U S Steel (7). 136' U S Steel pf (7). 60' U S Tobacco (4.40).. 33 Unit Stores A. . 28 Univ Leaf Tob (3) 191 Ut P&T. A (et2.15). 234 Vanadium Corp'n. 71% 38's Vulcan Det (4). Dividend rates as given in the above table this year—no regular rate. Wabash RR. Wabash RR Waldorf 8ys (1%)... Walworth Co Warner Bros Warner Bros pf 3.85. Warner Quinlan Warren Bros (2).... 1 Warren Fdy & P (2). 3 West Pa El pf (6)... 908 West Pa El pf (7)...1008 West Pa Pow pf (6). 10s Western Dairy B. Western Md........ Western Union (8).. Westing A B (2).... Westing EI&Mfg (4) 632 Westing E&M pf (4).200s Westvaco Cblor (2). White Motors (1). Wh 5 White Sewing Mach. Wilcox Oil & Gi Willys-Overland. Woolworth (2.40) Worthington Pump. Wrizlev (Wm) (4).. ale & Towne (2) 5% Yellow Truck. 1415 Vounes Sprine 11 Zomite Prod Corp (1) Sales of Stocks on New York Exchange. . 800,000 + 1,000,000 2:10 P.M. d on the latest quarterly or h ding less than 100 shares. able in scrip. §Plus 97 r rate. b Payable in stock., in stock. gPlus 6% in stock. h Plus 2% in special preferred stock. % Pius 3% 1n stock. n Plus 3% In stock. early dec! tPartly extra. 12:00 Noon 700,000 1,300,000 e the annual cash no important interruption in debt serv- ice took place at the half-year turn in the South American group, along with new assurance that Argentina, Brazil and Colombia have improved their financial positions, brought a broad up- turn in the South American group. Argentine 6s gained about 2 points to equal lheBh' %liev;:ms l’ll'lhld on !hehrle- covery. Bra: s gained more than b 4 points. Colomblan 6s were a point | AtCHSOY4%s 4., or more higher. Uruguyan 6s gained & | A: &1 ot 4802, .. it AtGulfbs’6d... ... At Ref deb 6337, .. Australia 4348 6 Austral 5 Austral Austria 7543, 106 B&O4s" 9845 Argentine 63 B Arm & Co 4%8'3 Arm Del 5% s 43 Atchis 45 1905-55. . Atchison gen 4s ‘95 The only exception was the Chilean sroup. The position of the Chile gov- ernment’s finanoes, pending the final disposition of the Cosach nitrate prop- erties, has been admittedly impaired, and while New York bankers have re- assured holders of Chile’s dollar bonds, . Chilean exchange has'had a weak tone.| B& O 4%8°33. 100y 2414 | Chile 6s were off over a point at one vy 243 | time today, though there were signs of a0z support on’ dips, 100% German Government 5',s gained 2 1005 points at the start. Dawes Repara- 0 8s°95 109 tlons 75 were fractionally higher. Ad- 4 7% vances of 2 to 4 points occurred in A0E% German Central Bank Descriptions, 0% German municipals, and industrials e such as United Steel Works 6'4s and o Siemens & Halske 6'3s and 7s. Other e Europeans were quiet but firm, H S In the domestic list junior railroad L issues advanced on a broad front and | net gains ranged from 1 to 4 points. New high levels for the recovery were made in Erle General Lien 4s, Erle s, Nickel Plate 4l3s, St. Paul 5s, Mis- souri-Pacific 55, Missouri-Pacific Gen- eral 4s, Southern Railway 4s, Southern Pacific 4135 of 1981, Rock Island con- vertible 415 and Chicago & North- western convertible 4%s. St. Lous-San Francisco prior lien 4s and General 4135 improved sharply on the road's traflc reports and increased traffic prospects. Industrials, too, were strong, United States Rubber 5s sold at 70 for the first time on the current recovery. War- ner Bros. Pictures 6s and other amuse- | ment_company bonds were higher. Oil | company issues, such as Shell Union |Bkiyn Un 1 5 1 Oil 5s, gained a point or more. Some | Buenos A 63’61 Pv. of the junior public utilities, among as'81 them International Telephone 4!3s and . 55 and Postal Telegraph 5s, had sub- stantial advances. 105% 98% Ban & Aroos Bk of Chile 6 Beth St rf 58 '42... Bolivia 75 ‘58 Bolivia 75 69 Bolivia Bordeaux 6s '3 Bost & Me 4% Bos & Me 63 ‘65 {Washington Stock Exchange SALES. | Washington Gas 6s in_stock. | Barber & Ross 6148 1 —$100 at 10514, 7—$2,000 at 80. m Pald | Washington Rwy. & Electric pfd.—25 at 9975, 10 at 9975, 10 at 190, 5 at 100. | or since November, 1929. 'The |of failures for June was the since September last. Meney for Fourth. | preparing for withdrawals by t lic to cel-brate the Fourth Banks all over the United States are District National Bank—10 at 199%. number | Peoples Drug Stores pfd.—10 at 101, 10 smallest| at 101 i Can Pac 4%s Can Pac 434360, .. Cent Pac 4549 Cent Pac 53 '60. . Cert-1d deb 5% Ches Corp 68 '47... C&O4%sB'9%. Chi & Alt 3s. . CB&Qgen 4s68.. AFTER CALL. Washington Gas 6s '33 “A" —$500 at 103. Columbia Sand and Gravel pfd.—10 at 90, 10 at 90, 10 at 90, 10 at 90, 10 at 90, 10 at 90, 10 at 30, 10 at 90, 10 at 90, 10 at 90. he pub- of July. Long 1sl db 63 '3 Loriilard 63 51 Lor/llard 5%s '37 Lorillard 7s'44.... L& Nuni4s'46 ... L & N 5s B 2003 L & N 1strf 5% La & Ark 5869 McKes & R 5%8 ‘50 Man S 1st 7% Manh R; Marseille 653 Midvale Sti 5836 Mllan 6%s ‘62 M &SL 1st rf 4339 M1l 2 Ry & L 63 "61. M SUP&SSM 65 '38.. MK&TIst4 MK&T4sB MK&T4%s"8... MK&Tal)bs'e7.. UKEToeinisa, ~ muaRARaa—® wamehs a Mo Pacbs A Mo Pac s F Mont Tr 1st 65 "41.. Mont Tram 58 Mor & Co 15t 4%4s. . Nassau Elec 48 '51.. Nat Dairy 6% s 4! N&T&MG6sB 54, NOT&M su.'s:". ge.. 9 Cen rf 4%s52013123 2013 & St L 4s°37. StL 4 %878, n"“"n;"nn« J9ac H E] - Edison 58 B 44 Ed 15t 6%8°41. 4 4 Nia Sh Md 5% [ Nord 6%s'50.. . Norf South 68 41 No Am Co55°61. 101% 985, 10413 & 105% held by the system; hence this sudden increase immediately became significant. ‘The reserve has three means of in- fluencing credit: By raising or lower- ing the rediscount rate, by buying" or |selling bankers’ aceeptances and by buying or selling Government securi- ties. When it buys, money is automat= ically released; when it sells, the result, of course, is reversed. For its easy- money program the system has, so far, relied on the first two methods. If it has now decided to use the third and most influential method, important re- actions may follow. > Money Market Operations. Neither by lowering the rediscount rate—which represents the interest charged member banks on_loans—nor by purchasing bankers’ acceptances is the system able to make money really | cheap to the average berrower in times iof timidity. Banks cannot be forced to borrow from their reserve if their cus- tomers, in turn..are holding back: nor can the commercial banks be made 1o sell their very liquid acceptance hold- ings if they desire to retain such satise factory short-term investments. But by purchasing securities the re- serve can operate more directly in the money markets, for it thus forces funds into circulation without working through the medium of the banks. Numerous considerations would appear to have prompted the system to take up its heaviest cudgel for the cause of cheap credit. When the last cut in the re- discount rate was made it was intended not cnly as a reaffirmation of policy but as a step toward discouraging fur- {that money rates here were still easy and that they probably would be even more so. There was a temporary stop- page in the gold tide, which then was Tunning from_ Paris, but the troubles in Germany have recently released & vast_flood of gold, and metal has been moving in steadily from several other i sources. | The bankers' acceptance market has Ibeen dull. Holders of these prime in- vestments have been reluctant to let them go while conditions werz uncer- tain, and so something of a stalemate was reached in the campaign to facili- tate the eventual business recovery by keeping money cheap. Credit Needs. If the rescrve does intend to operate in governments at this time, Wall Street sees in the move an indication | that the central banking authorities feel | confidence has been so far restored that industry will be looking for credit. It would obviously have been uscless to pump large quantities of money into & | surfeited market; on the other hand, ! if business will soon be looking for sub- | stantial accommodations, it is essential that the credit be available at the lowest pessible interest. | ther gold shipments by serving notice * NorOT &L 6s'47. 047 CB&Q 11 dv 315849 C B&Q 111 dv 4549, > Chi & Eas 111 58 1. Chi Grt West 3 Chi M StP&P 55 '76 140 Chi M & St P ad) 68 129 C&Nwn 435 c 2037 Chi& NW con 4% s 162 Chi&NW rf 58 2037 29 |Chi& NW 6% 36, 1 Chi Rwys bs 27.... 11 Chi RI&P gn 45 §8. Chi K1 & Prfan’3 Nor Pac 435 2047, Nor Pac 5s D 2047.. Nor Pac r1 6s 2047, Butter—One-pound prints, 281z; tub, 105% | 2714 101% Eggs—Hennery, 18a20; current re- 103% | ceipts, 16. 106 | Poultry, alive—Spring broilers, 8 95 | pounds and over, 33a24; 2 to 2'% pounds, 95% | 30232; small, 1’z to 2 pounds, 27a2 | Leghorns, large. small, 20a22 105% | | lows huge payments of dividends and interest by corporations on July 1. To- and | tal of such payments is . estimated around $950,000,000. Any financial assistance extended to .N C B R S _ | These withdrawals have aiready. begwin South America will be done privately | ational 1ty ank Review tresses Pres and banks are reporting heavy demands| Bid and Asked Pri and not through Government cm}nncls. 1 N d f N 1 C d 5 - ;’rgr pc‘;xr‘fincy';o Fomtm:flydm; banks axs sked Frices. hough Washington will loom impor- ellEn 66 inbe e ks axe siinough Wasningion wil loom lmper:| ent Need for Normal Conditions in |inposition fo mest this arain ana the BONDS. Most of the d:bts floated byd gouth B . St # f h W ld ‘m;nmldhxx mcl’::m'u;;zlooy(;u" the public PUBLIC UTILITY. countries in the United States | Sy et e . S A public. débts and the bonds are in | usiness dtructure ot the World. | Independence ‘day and’ this year the|Am. Tel & ‘Tel'ctl. ir. 35111 the hands of American investors. Any | | total is expected to be about the sam=. | AD Fot. R, R 51 moratorium ceclared on such public : e demand for HonGny erne, SaMS. | Ana, ‘& Pot. gudr” debts would amount to a d-fault and | Special Dispatch to The Star. | ment made by the National City Bank Capital” Traction' R. therefore could not be put into effect.| NEW YORK, July 3.—The monthly |is the faith expressed in Germany: AU 'What probably will happen is that review of economic conditions issued by| “Of the ultimats soundness : Orient dev % s the United States Government may |the National City Bank usually sounds|strength of the German economy there ea jusnd % Pac <1 6m°42. .. bring pressure to bear on private bank- | ers, through the Federal Reserve Banks, | on-s to South American borrowers. It is believed the Federal Reserve Bank in New York even now is working on| tentative plans for this program. Sentiment jn Street. ‘There is plenty of sentiment in Wall Street beneath the hard-boiled crust. ‘The firm of Harris, Forbes & Co., the father of bond hcuses, moved to its new quarters in the Chase National Bank Building; a change made neces- sary by the merger of the firm with the Chase Securities Corporation. All day Tuesday the entire staff, offi- | cers and employes alike, were busy packing and making ready for the mov- ing vans. Throughout the day members | of other Wall Street houses were call- ing to say good-by at 56 William street. one of the few old fashioned red brick, | red limestone buildings remaining in| the street, which has bz:n the home | of Harris, Forbes & Co. for about 40 years. The directors of Harris, Forbes & Co. h-~ld a farewell luncheon in the dining room of the old building. Business ha b-cn resumed as usual by the firm in its new quarters at 60 Cedar street. ction. almost t. it sccms tists to be Temporary Overpro: With an overprodu~ every raw material at p rather ludicrous s constantly making expe: to find new sources of coal!, oil, etc. but it must be remembered that the overpro- duction of many raw materials is only a temporary matter, and some day the regular sources of supply will dry up. It is said that as long as the world losts Nature will provide for the needs of humanity, ir one way or another. Mr. Edison is experimenting with the dreaded golden rod in the hope of mak- ing synthetic rubber. The Russians and the Germans are finding a thousand uses for the world's waste matter. The Russians have found a new rubber- ylelding plant. In the House of Lords recently, Lord Rutherford, the famous sclentist, recounted an experiment be- ing conducted in England for the pro- duction by -arlous processes of oil from coal. He emphasized the desirability of Britain possessing an independent oil supply, and rhis could only be produced through coal. Oil from the earth is now being sold at such low prices that its production from coal cculd not be done at an‘ equivalent cost. The situation will change, however, when oil once agin rises in price. Britain has tremendous coal reserves. As a matter of fact, the coal industry is one of her chief embarrassments. Experiments have chcwn that it is scientifically passible to provide the bulk of the‘Briush oil supply from av2ilable coal. On the other hand. we find Dr. C. Okinaka of the Fushun Colleries Tech- | nical Institute. Japan, who has been able to turn dust coal into énthracite | briquettes by means of low temvera- ture dry distillation, The ccllleries already have matured a plant to in- dustrialize the new scheme. : g 3 the: North American Hornblower & Weeks—With the im- ‘mediate effects of the Hoover debt post- ponement plan digested and the enthu- siasm which accompanied the an- nouncement gradually diminishing, the market from here out can be expacted to settle down and appraise the prob- able long-term effects on trade condi- tions, with imm~diate attention directed toward prospects this Fall, | confidence in the maintenance of peace &nd normal financial relations between iness countries in order that capital may flow | Ieny a0 E e S e the keynote of opinion in higher finan- cial circles. analysis of President Hoover's proposal for a moratorium upon war debts. This article, written with great care by a high ranking authority, treats the subject with great seriousness. It says that the proposal has met With spontaneous and universal acclaim. A like situation never existed before and from no other source could this pro- posal have come with like effect, the United States being the ultimate cred- itor of all the countries involved in the network of obligations arising out of the war. “It is a source of satisfaction,” the bank says, “that this important pro- posal on the part of the President is thus far supported without political di- vision in this country.” It shows that the idea has been de- veloping spontaneously. A practical people ~ will meet new developments with a view to the present and future rather than to the past. The National City Bank points out that there is an abundance of capital ness over the world, but there must be freely from the centers where it tends to accummulate in idleness to the places and employment in which it is needed. Ability to Pay Affected. Germany'’s ability to pay has been af- fected by a world crisis such as nobody foresaw, when the reparations agree- ment was made. The economic and po- litical situation throughcut Central Eu- Tope is under great strain and the in- formation reaching President Hoover through official channeis gave warning thzt the situation should be brought un- der the co-cperative control of the na- ticns most concerned in the mainte nance of peace and order and the re- vival of world prosperity. “It cannot be reasonably said,” the bank continues, “that the present pay- ments upon reparaticns and debts are the sole cause of the world depression, but it must be generally recognized that the settlements were made in a time of general prosperity, when pro- duction and trade were expanding, in all countries, and the proposed payments, althcugh large, seemed likely to dimin- ish in impcrtance as the years passed. “However, in the face of a world crisis, difficulties have arisen. The out- look 1s changed, pertaps not permanent- ly, but st present a great derangement of trade and price relationships has oc- curred, particu'arly affecting interna- tional payments. President Hoover has not assumed the situation to be per- manent. He proposes an agreement for the relief“of present conditions. “Th2 proposition that debts and reparaticns are a disturbing fact:r in the pres>nt world situation is one upon which th> United Slates will assume the chicf burden under the President’s propozal. The ch ef beneficlary of the morotorium would be Germany. The chief direct contribut:r would be the United States, with France, chief bene- fielary of reparations, second. ‘Would Avoid Controversy. “But the President has sought to avold reopening any of the original controversies on account of the impor- ce of prompt action. The one great problem in whicii all countries are now most concerned is that of restoring prosperity, and the way to pi rity lies through normal business relations. The world needs a r -pite from uncer- tainties ond alerms.” Probably the most significant state- K The review for July is of | country to Tenew old credits and extend new Particular importance becauss of its|amounts of foreign short-term cradits, withdrawals of which are a menace to the country’s gold reserves. President Hoover's proposal does not contemplate any moratorium upon pri- vate debts, or even upon the loan of 300,000,000 Reichmarks which was dis- | tributed in several markets under the | It does not affect the Dawes loan or any of the German state, municipal or corporate loans sold in foreign markets, the proceeds of which have been received by the borrowers. It relates wholly to intergovernmental obligations, which differ from obliga- | in January. tions sold on the public markets and | widely distributed to individual buyers. has been no agitation in Ger- many over any class of obligations ex- cepting the so-called political ones be- | wagon price of gasoline at Syracuse /2.8 cents a gallon, making the serv- ice station price 12 cents a gallon and Young plan. ‘There tween governments. General Conditions. Commenting on general business con- ’ not including the State tax. said | falo and jRochester the company re- e duced service station and tank wagon as execution, maxi Hemisphere. export factor. serving than the was the can be no doubt, but at this time the | dependeni ditions, the National City Bank that the Preald;xnl'a proposal already t t 4 available to finance @ Tevival of busi- | setetoe of condence And. AcVity n all markets and has measurably light- ened the strain of fear and unsettle- What this relief may finally lead to in tangible terms of trade, through pul deferred projects into long-term borrowing easier and increasing purchases by ul- timate consumers who now fear to spend freely, remains to be demon- strated and will be affected by the further course of events. Beginnings of commodity market im- provement had appeared even before the President’s announcement, prices having made their lows in the forepart of the month. Thereafter all the weekly price index numbers turned upward, some advancing for three consccutive | weeks. ‘The farmer will receive low prices for his crops, but is producing them at the lowest costs- in many years, except in parts of the Northwest, where drought will raise costs by reducing yields. In the Southwest the wheat harvest is already moving as far North as Kan- | pounds earlv 10-25 up; bulk, sas, and the largest yield per acre since 1915, with two exceptions, is assured. It is not unlikely, the bank says, that the United States later on will be in a preferred positicn in wheat. with a good crop here and abroad, due to the scrious drought in Western Canada, decreased production in the Danube Basin and expected de- | 250 creases in acrcage in the Southern The prospective Russian surplus still is an unknown substantial Trade and Industry. ‘Turning to th> record of trade and industry, the National City Bank finds that the outstanding facts are that the showing for May as reflected by the composite adjusted index>s was less fa- vorable than pr-liminary estimates sug- gestcd and th2t in Junc some of the im- portant industries reduced opeyations by more than the usual seasonal amount. It remains true that lines personal needs are more active heavy industries and the sat- much less than for June, 1930. R. G.|d Dun & Co., reported that failures to- taled 1,993, involving $51,655,648, com- raring with 2.206 in June, 1930, for $63,- upon Sugar Prices Higher. Prices of refined sugar were a yesterday, reflecting the rise | sugar. ing Co. advanced refined 10 p large | were made by the National Su; Co., the Godchaux Sugars, | cents duty-paid basis. This tank wagon price 10 cents a prices 2 cents a gallon. Auto Sales. ®. H. Faulkner, president tail sales in June substantially ed factory shipments. Stocks added that reports indicate tha inventory is less than 3,000 dealer. Shipments of shipments in the entire year 1 5,193 more than shipments in tire year of 1929. (Copyright, 1931, by the North (Newspaper Alliance. Inc.) otsbistean o svaate Department of Agriculture). 7,000 head, steady to 10 higher; best, | pounds, 7.25a7.50; early top, 7. light light, good and choice, reductions | pounds, 7.00a7.25; lightwelght, unds, 6.90a7.60; 100-130 pounds, 6.65a7.15. Cattle, 1,000 Liead; calves, yearlings, 185; igh weight. Stcers, good and choice, 600-900 1,100-1,300 pounds, 6.75a8.50: 1,500 pounds, 6.5088.25; medium, 600-1,300 i Heifers, good and choice, 6. lers The Pennsylvania Sugar Refin- 4.65 cents a pound. Similar advances fining C>., the Revere Sugar Refining |D. C. Paper Mis Inc.; the California & Hawailan Sugar Refining Corporation and the Western Sugar Refinery. Arbuckle Bros. on Tuesday purchased a cargo of raw sugar at 3.45 | high price of the year to date. The | previous top was 3.42 cents, established Gasoline Price Reduced. The Standard Oil Co. of New York has reduced service station and tank Auburn Automobile Co., said that re- in distributors and dealers’ hands have been materially reduced. Mr. Faulkner an average of about 2!, cars per 37,320 cars for the six months of the calendar year to June 30 were more than double the CHICAGO LIVE STOCK MARKET CHICAGO, July 3 () (United States 300 pounds, 6.20a7.25; pigs and light lights, dull; packing scws, 4.2585.35; firm prices; spots, strong to 25 higher on fed steers and yearlings: top, long : '1,428-pound beeves, ghest of the week for this Slaughter cattle and vealers— &uunda, 7.2508.75; 900-1,100 pounds,_ 7.0088.7: érm"{;zuélyu Club s bulls (yearling excluded), k] 1 to me- choice (beef), 4.25a4.75; cu(mr tody, | Stocker and feeder cattle: Steers, good ' Washington Savin 133,762 The recuction from a ycar ago |and :fio&'dsw-l,oso rounda, 550a7.00; Wathinwion Title Arst ia more than 18 monthscommon and mediyg,. 4.0085.50 4 |CRiR 1evats'60. 96 - | Chi R1&Pac 4%s'52 7 | ChiUnSta6%s’63., 1 C& W Indcv 4s°52 36 Chile 63 ‘60, s 55 4 . series ‘Al . series B Wash. Rwy. & Elec. 4s MISCELLANEOUS. s Barber & Ross. Inc.. 6! Chevy Chase ael Columbia_Country” Glub dvanced in raw oints to gar Re- W. M. Cold Storcre b5 STOCKS. PUBLIC UTILITY. Amer. Tel. & Tel. (9) Capital_Traction_ Co. Gas_Lt. Co. ( CCC & St L 55 D ‘63 Clev Tern, Clev Term &8 Cologne 613 . Colomb 65 Jan 61.. Colombia 6s 61 Oct | Colon 011 65 °38,. ... ** | Colo & Sou 4348 ‘35 Colo & Sou 4145 '80. Col G&iS bs May ‘b2 Com Inves 535 43. CGas NY 4148'95wi ConG N Y biam 4b. Con Pwr Jap 6% is the Power 512’ i Wash. Ray, & EL cam. (7). Wash. Rwy. & El pfd. (3) NATIONAL BANK. Capital (14), Fo S ven o Columbia 3 District (8) . e -Ame Liberty (1o Lincoin ‘(12) Metropolitan Riwgs (158) Secand (oe) Washington (13) : TRUST COMPANY. Caecho 85 51 Amer. Sec. & Tr. Co. (13 ; Del & Hud rf 4343, Roplinensas Teust (9. a5 333 | Del& Hud 5%s 37, Denmark 4 %3 62.. Denmatk 5%s ‘55, . | Denmark SAVINGS BANK. | enver G Bonk of Bethesdn (65) D& R Gr gn 4s 3 | & Savings (10). D&RG W 63 '5b | East Washineton (12) t dealer | East Washington DRG&W s Sec. Sav. & Com. Det Ed G&R4¥%5'6) Seventh Sireet (i2) Det Fdison rf Det Unit 4%s United States (30) . Deatsche Bk gallon, At Buf- of the | exceed- of cars o cars, or Pnvrns ooeilealucferalea cakiae Wash. Mechanics (20} FIRE INSURANCE. American (12) Corcoran (10 Firemen's (8)..." National Union' (15) TITLE INSURANCE. Columbia (€h) z © | Real Estate (6hj 60 MISCELLANEOUS, Krie zon 48 A 53. & Ross. Inc. 1 Erie conv 4s B. Y 930 and the en- American .8 NRUN — Hogs, | ol el Dist. Natl, Sec. bt Erie 88'T5... deral Storage pfd. (8) Fiat 7s ex war " 180-220 | Fed.-Am: Go. wid: 4oy . s 230~ | Lansion Monotype &) Mer. Tr & Stge. com. Mer. Tr. & Stge. pfd. (1) nt! r Linotype (6) o“atores Bid. | 140-160 | Real Est. M. & G. pfd 160-200 Fla K Coast b; Fond J&G 4% Fram 1 D 7%s"42.. French Gvi 7%s ‘41 Gelsenk’chen 6s ‘34 Gen Cable 538 ‘47. 37 pounds, 7.15a7.60; medium weight, 200~ | € \Q4P M L30) 2 % heavyweight, 3 P L 2560 pounds, 43 medium_an . - , 4. 25.50; slaughter pigs, good and choice, . Blde. Cor) Woodwd. & Lothrop com. Woodwd. & Lothrop pfd. (7). | $Ex dividend, ed. Ger Gen El 7s Goodrich cv 6s°45. Goody'r Rub GrandTr sf db Grand Trunk 7s ‘40 GrtNor 4%s i1 E. 26 Grt Nor gn 6%s "6& 21 Grt Nor gen 78 Greek 6863 Unlisted Department. (These securities not listed under Exchange rules.) 'BONDS. ] o > sked, ZR8E3s; P Haltt . HavERL&Pbs.. Hoe & Co6%s'3s.. 1 Hud & M ad) 68°57. 31 Hud & M rf 68 '57.. 25 Humble O11 ll'l"iA l: . ‘Anacostia Bank B8 SEuNRE 99 101% 102% Y unsey. jorth Cay jortheas Savings ot 106% kil Trust_Co.. pital Savings Bank. t Savings Bak. =+ Bal . Woodridge-Langdon Sav. 7 Pan-Am Pet 6; Penna 4%s D Penn gen 4 %s Penn 41%s°70. Penn 4% = 63. Penn 5= "64 Penna gen 5s 6! ‘ Penn 6%« 36 Penn N&D 41in Penn P&Lt 41 Penples’ Gas 5: Peru 6s '60. Peru 6s°61. Pnlia Co 5887 Phillip Pe: 53 Plllsh F M 6: PCC&SIL 4 PCC&SIL6sB Poland 7: 7. Poland 8s'50 . Port Gen El 4% Por RTam Cs '42 Pos Te) & C in '53 Prussia 68 52 Public Serv 4s *7 Pure Oil 538 '37. Read £n 4%8 A '97. Reading 4148 Rem R 6%% A Rhinelhe 7s " Rhine West €3 '52. Rhine West 65 'h3 Rhine West 6s '55. Rhine West 7s '50. . Rl de Tar 6148 'R2. R Gr De Sul 62,68 R Gr De Snl8s "46. . Rio Gr W 1t 48°39. Rlo Gr W clt 43°49. Rome 6% ='52 Roy D 4s"45 ww. tL TM R&G 48 ‘33, StL&SFIn4sA.. 61 StL&SF4%a'T8 210 St L&SF prIn [ StL S W st & StLS Wevdan'sy StLS WHs'62. San A & A P 4s'43. Sao Pau 7= 40 rets. Sao Paulo 8s'36 Qa0 Panlo 8 *Fd Saxon Pu W 635’61 Saxon s "45 Senb A Sea All Seine 78 *42. Serbs-Cr-S1 Serbs-Cr-SI Skelly Of1 534839, S'nelair Ol 6%#'38 Sine O s cv A '37 1] SW Bell T 55 A '5é. SouPac ref 4n '55. . 68 Sou Ry een é» Son Ry 6%s " L 104% 101% 8 109% 2 103% 4. Swiss 5%s 46 . | Taiwan EP5%s'71 54 l'l‘.nn Cop 6s "41 3 «Tenn El P6s A Tex & Ark 5%s Tex Corn ev b 4 =6 Tex & P 1st 6n 2000 2 99% 105% 106% 1015 106% | horns, 14al5; roosters, 13al4. 0% | 10821 37a38: 2 to 21 pounds, 34a35; 112 to0 2 101% 67 £6% | Thompson 8% &4 | lemons, 9.00; 1 b: 9% | 2.00a2.25; | hens, large, 19220; small, 17a18; Leg- Dressed —Spring broilers, 3 pounds and over, *| pounds, 32a33: Leghorns, large, 37a28; | small, 25a26; hens, large, 23a24; small, | 20221 Leghorns, 15a16: roosters, 15316; ‘| Long Tsland ducks, 22a23. *| Meats—Beef, t 14a15; 21:213; cow, 11; veal, 13a13: 16a17; pork loins, fresh killed, frozen, 17a18; fresh hams, 1713; h shoulders, 13; smoked hams, smoked ' shoulders, 12; strip 1 6 medium, Spring KT 5477 | bacon, 21; lard, in bulk, 10; in pack- ages, 11. | Live stock—Hogs. heavy, 6.50a7 503 { lizht and medium, 7.50a7.80; pigs, 7.00: roughs, 3.50a5.00; calves, 5.00a | _ Fruits—Watermelons, 30a60; canta- | loupes, jumbos, 3.0023.25: standards, 2.50a2.75 honeydews, 1.50a1.75: honey= balls, siandards, 3.00a3.50; flats, | cherries, fancy, 15-pound box, | plums, 1.50a1.75: pears, 5.00; bananas, | 1.2523.25; peaches, 1. 3 seedless, 3.00; S Florida, 4.00a5.00; California, 2.50a5.50; per 100. 2.00; black- huckleberries, 4.008 black, 4.00a5.00; red, orries, 2.00a3.5¢ : raspberries ‘24';" | 6.00: grapefruit. 1.75a2.25; rhubarb, per | 100 bunches, 2.50a3.00. | " Vegetables—Potatoes, new, per barrel, 85 12.2502.50; sweets, per bushel, 1.85a2.00; | tomatoes, home-grown, 2-peck baskets, Mississippi, flats, 1.00; celery, per bunch, 1.25: peas, 1.50; string beans, 1.00a1.25; limas, 1.50a2.50: corn, North Carolina, 1.25a2.25; peppers. 3.50a4.00; | lettuce, Iceberg. 5.00a5.50; onions, 11, | Bermudas, 50-pound sacks, 1.75; white, | 1.50a2.00; carrots, per dozsn bunches, 75; beats, per 100 bunches, 3.00: kale, 25035: spinach, 1.00: cabbage, 50a60; eggplant, 3.0023.50; cucumbers, 1.00a 1.25. e e P S R Y i 8alex “gh_ Low. Close. ‘I Third Avadiss 60 105 4.%3 4513 44% Tokios%s'6). .. 6 .64 96 96 Tokio EI Lt 65'53.. 13 87% 87 8% Un Pac 18t 4347 1014 100% 101% Un Pac 43 ‘68 .20 931 93l 93% Un Pac rf 45 2003.. 2 0214 U S Rub st 584 UdStI W 63384 Utd St W 6%s C Uruguay 6s 60 Uruguay 6s '64 Uruzuay 8s°46.... Utah P& L 63 '44.. Ut Pow5s ‘59 ww. Utll Pow blks '47.. Vanadium St] 5541 Vert Su ist 15 42~ Vienna 6s 6% . Va Ry 43%s 62 Va Ry & Pow 68 ‘34 Va Ry ist 58 62.... Wabash 4%s 78... Wabash 1st 8 39.. Wabash 5%s 75. .. Valworth 6s A "45. Warn Br Pic 100% 100% 22 100 $9% 18 98k 98k

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