Evening Star Newspaper, July 20, 1931, Page 14

=14 was S BROADER TRAINING "IN BANKING URGED Chicago Federal Reserve Chairman Advocates Better Economic Education Plan. Banking is a professiofi and not & “mere busine: eral Reserve Bank of Chicago. port of the assertion that to adequately meet problems which have arisen in the last two decades, consider questions from a broader pro- fessional angle than “mere business suplles, he declares tbat conservative banking methods probably saved the country in 1929 from a complete col- lapse of the stock market by basing loans to brokers on arbitrary stock valuations below speculative ~market quotations while lack of similar sound banking judgment has been responsible for the failure of many banks specializ- ing in real estate loans. 1rr, Stevens expresses his opinions in an article published in the Executive Service Bulletin_ of the Metropolitan Life Insurance Co. In discussing the profession of banking Mr. Stevens de- velops the idea that benking problems must be considered from an angle in which & knowledge of economics and government procedure play their part with the mechanics of actual business. The Federal Reserve System, which he characterizes as “perhaps the most scientifically conceived banking system of all time.” has enabled central banks under Governmental supervision to strengthen their power and control, he says, and in later years hes made marked progress in co-operation in tandling world problems. Causes of Failures. In enumerating some of the efforts of this improved banking system to meet new and changing conditions, he refers to the transformation of the United States from a debtor to & creditor nation, involving an entire re- srganization of our banking and credit, and its policies and administration, and then states that despite these develop- ments “we have experienced within the . last 10 years an unprecedented number of bank failures.” He says that most of the failures were of banks in small towns, and in many cases the failures were caused because some crop or single industry failed, and adds: “Neverthe- less, most of these bank failures have come from frozen or greatly depreciated ascets, and these assets usually have accumulated from loans _originally based on what proved to be false bases of valuations.” It is in such cases, says Mr. Stevens, that sound knowledge of economics and its application to actual business would be invaluable to all bankers. Discuss- Ing this phase of the requirements of present-day beanking procedure, he says: “It is probable that the average banker looks upon economics as academic theory, useful as such but not applicable to the practicalities of the banking business. The economist concerns himself with the broad social aspect of cammerce and finance rather than with its administration, and with- out the benefit of individual human contacts in his study. The banker, on the other hand, has, primarily, human relationships, and often only so much of economics as he gets through the channels of practical experience. Broader Vision Needed. “But commerce and finance cannot exist in and with a distinct bearing on the social order, on the world of human beings and their labors and needs. Again, the social order is at once the source and the consequence of tht po- litical system. Hence the alliance and dependence of these three each upon the other, the economic system, the social order and the political and gov- #rning system. The economist gathers information and statistics and en- deavors to draw conclusions and to| learn the truth of the economic factors | in_their actions and reactions. “My point is that we have come upon & time 1in this country where the mere business of banking is inadequate and where its proper administration de- mands the intelligence, training and broad viston which we are accustomed to associate with the best that there is in the professions. “During the great stock market in- flation in 1928 and 1929 the bankers in the metropolitan centers, who were the principal lenders to stock brokers, established arbitrary loan values on the individual stocks. These loaning values were in most cases substantially below the market prices and were based on what was regarded as more nearly their sound values than on the prices zeflected in the wildly speculative mar- ets. “When the collapse came in the Fall of 1929 the situation even then was difficult enough to meet, but if bank- ers’ loans to brokers and the resulting brokers' margins to their customers had been based on market prices in- stead of on the arbitrary values estab- lished, the situation probably would have been accompanied by an entire collapse of our stock marketing and its administering institutions. Land Valuations. “Similarly, if the country bankers in the rural districts and the bankers in the cities who loaned largely on real estate had based their credits of pre- vious years on sound values of the real estate instead of the purely speculative market prices which were prevailing and which could not be justified from the standpoint of earning power under rormal conditions, much trouble would have been avoided and great loss would have been eliminated. Just as market prices of stocks were based on values of 20 or 30 times their earning pcwer in the most prosperous years of their existence, so farm land prices were based on an equally specious valuation arrived at by prices of farm products 'cg;m.alneu' under extraordinary condi- ons.” Exchange Seats Lower. NEW YORK, July 20 ().—The value of New York Stock Exchange member- ships showed a decline of $15,000 today. Arrangements have been made for the sale of a seat at $235,000, com- pared with $250,000 at the previous sale. in the opinion of Eu- | gene M. Stevens, chairman of the Fed- | T In sup- ! bankers must, { NANCIAL, THE EVENING STAR, WASHINGTON, D. C., MON'DAY, JULY 20, 1931. mBONDS STOCK EXCHANGE NEW YORK STOCK EXCHANGE Received by Private Wire Direct to The Star Office. (Continued From Page 13.) - e ~Prov. 1931~ Stock and Bales— Bigh. Low. Divid 34 P64 Btarrett (LS) (12%) 1 5% 2% Sterling Sec A.. 2 9% b Sterl Sec pf (1.20) 40 30%WSterl Sec cv pf 13) 21% 8 Stewart Warner. 26% Stone & Webster (3). bak 16% lelautograpnh (1.40). 18 Texas Corp (2). 2% TexasPC&Oll..... Texas Pac Land Tr. The Fair (2.40). Thermoid Co. .. ‘Thompson (J R) (1). » & o 1R% 8% 15% Ttmken Roller ( Tobacco Products. Transamerica (40¢). N Tnion Carb &C Un Oll of Cal (3) Un Pacific (10). e o PORAUNE et aRRe RO N ~SRRm N Unit Cigar Stores... Unit Coryp (76¢)..... 11 Unit Corp pf (3) 4 UnitFruit (4)...~ o Unit G & Im (1.30).. Unit Plece D W (2) . U S Indust Alcohol. . U S Leathar. U S L US P U S Realty & Imp, 10'% U S Rubber......... 1~ . Low. Prev. end Rate. ' Add 00. High. Low. Olase. Close. 174 3 17% 1% 17 Wabash Warner 106% 80% 15% 14 Wrizlev 11 payments based on in special preferred 14% | no regular rate. n Plus stock Dividend 17 U S Rubber 1st pf... Westvaco Chlor (2). White Sewing Mach. Wilcox Ofl & Gas Willys-Overland. . Wilson & CoA. ... Woolworth (2.40). Worthington Pumi "% YVellow Truck Zonite Prod Corp (1) Sales of Stocks on New York Exchange. Dividend rates as given in the lar . 1Plus 8% in stock. sates— te. Add 00. wsn. Low. RR (A). Waldorf Sys (1%) Walworth Co. .. Bros Pict... Bros (2).. Of] & Snow (2) Ma. Pacific pf. .. Union (8).. 48% 1% 8l 1% (Wm) (.. 2: 400,000 550,000 bove table are the annual ca latest quarl n cash . h tock. J Plus 50 cents kPlus 3% in stock. m Pald this year— 8% In stock. BY CARLTON A. SHIVELY. Special Dispatch to The Btar. NEW YORK, July 20.—Wall street bankers who keep their fingers close to the pulse of German and other Euro- pean affairs are unanimous in feeling that the situation abroad is well past the critical stage. F' ancial markets are still much af- fected by the day-to-day changes in the | tenor of the news, but for once the | markets probably are somewhat out of | touch with real conditions. They are | still inclined to view as the crux of the | German matter the question whether | Germany will obtain a huge loan, tak- ing it for granted that the money is needed and that a sine qua non of a long-term bond issue or a credit oper- | ation is participation by the United | States. “Favor Smaller Credit. Wall street initiates disagree heartily | with both suppositions. They have canvassed the situation thoroughly | among themselves, as, in fact, they did month or more before President Hoo- ver electrified the world with his debt | holiday proposal. As a starter they feel | that, if Germany wishes to continue along the old path and supply all the foreign exchange asked for by those German nationals who wish to get their | funds into safer places and permit un- limited withdrawals from the com- mercial banks, a half billion dollars is by no means enough. However, the banking view is that such a course is the one which should not be taken, and that traveling along the right road Ger- many has no need of any large credit at_this time. Rigid control of the foreign ex- change market, rationing of credit to the commercial banks and inducement of German private holders of foreign exchange to convert their money into | marks are the measures which, if taken, will obviate the need of so much credit. Some of these steps have been made, | but it is disputed in Wall Street that Germany has done all that can be | done. It is estimated that German private holding of foreign exchange | amounts to $2,000,000,000. . Assuming that financial help in large | quantity is needed, two forms for it are suggested. One is long-term bor- rowing, with this country doing its share and England and Prance the WALL STREET BELIEVES GERMAN SITUATION HAS PASSED CRISIS Bankers Hold View That No Large Credit Grant Is Needed to Tide Over Central Powers. | bank already has agreed to extend its| rest. No banker can be found in Wall Street, or probably anywhere else in the country, who thinks a German bond issue practicable, even for & small amount and even, as suggested, if it were guaranteed by the German customs_receipts. Two large German loans already are held by American investors—the Dawes loan and the Young plan loan. They are first and second liens, respectively, on the Ge: man Customs Union. The first is sell- ing 11 and the latter 36 points below par. No banking house would likely assume the responsibility of underwrit- ing another long-term bond issue for Germany at this time. Short-Term Credit. Short-term credit is more feasible, but it would be of even less value, and | the same unwillingness to extend lines of credit already thrown cut in Ger- many is revealed from inquiries made at the large New York banks. The banks “notified their German corre- | spondents several weeks ago that ex- | isting_credit would be maintained and New York banks cannot be accused of credit withdrawals or otherwise rock- ing the boat. At the same time few of the large banks are willing to increase their loans, and those only to a very small amount. Federal reserve credit also could be| used, in theory, and the New York $25,000,000 participation in the inter- national credit of $100,000,000 joined by Prance, England and the Bank for International Settlements. Reserve credit is limited by law to no more than | 90 days, and bankers outside the man- agement of the system are known to feel that an increase in central bank help would merely aggravate the diffi- culty, as tending to weaken the German | display of self-help. Wall Street feels moderately opti- mistic on the outlook, but regards the | problem at this stage as essentially a | European one, since now mainly politi- ca’ considerations are involved. Mainly the outcome depends on Germany her- self, while credit and loans are now largely a matter of strictly European concern. As a business matter, a Ger- man loan makes no appeal here. Mean- while the Federal Reserve Bank con- tinues to discount German bills ac- cepted by American banks. (Copyright, 1931.) CHICAGO CAPITALIST'S | ESTATE $1,300,000! By the Associated Press. BELFAST, Me., July 20.—The late | Ira M. Cobe, CThicago capitalist, who | died at his Summer residence at Bay- side, near here, on July 9, left an estate of $1,300,000. His will was filed for | probate today. The will creates three trust funds of $100,000 each for his brother, George E. Cobe of Boston, and his wife; Mrs. Angel M. Lothrop of Belfast and Mrs. Ruth Hossman of Chicago, a niece. The residuary estate, after a score of other bequests of lesser amounts are made, is to be held in trust for Mrs. Hossman and Mrs. Lothrop during their lifetime. % After the death of Mrs. Lothrop's husband, a physician here, and of their son John the funds are to be placed in | trust and the income used for educa- | tion expenses of Maine young men. BROKER PLEADS GUILTY | NEW YORK, July 20 (#).—Robert | Lee Harrison, 33-year-old stock bmker.i whose lawyer sald he ran $12,000 up to $6,500,000 only to lose it all in the 1929 Wall Street crash, pleaded guilty to grand larceny tod: He was sent to_the Tombs for sentence July 27. was alleged to have used the names of former Gov. Alfred E. Smith, John J. Raskob and other prom- inent men without authorization to induce investors to place money in a mythical “pool,” in which, it has been estimated they lost about $1,000,000. The indictment to which he plcaded | guilty was based on the evidence of | Selma Boyd, who charged he obtained | $25,000 from her to invest in securi- ties and pocketed the money. i PARIS BOURSE PRICES. PARIS, July 20 (#).—A heavy tone prevailed on the Bourse today. Three per cent rentes, 87 francs 30 centimes. Five per cent loan, 103 francs 67 cen- times. Exchange on Londen, 123 francs 63 centimes. The dollar was quoted at 25 francs 47!2 centimes. SHORT-TERM SECURITIES. (Reported by J. & W. Seligman & Co) Offer Allis-Chalmers Go. 55 1937 102 Metal 5tes 1934....:" 7 merican Tel. & Tel 5ii 943 1l0v 110% Baltimore & Ohio 4iss 1933 s t.~Cor, N 106% dian Ne 410y 1935 10 1030 Canadian No % 5 % Chi. Northwestern R. R. 58 1933 102 Rock Island 45 1934... o e it .o 8 38 96 . 1937 104% o Feic Rebvice 31 1939 : ce Stas 0’"5"1 k. F& R’,'fil lflg'l 22 Oil ‘I’IKPD 50 l;l;‘ {iof Pa. 58 g:}!‘lh]e Ofl 5128 1932 .... Internat. Match OSOID, s 194 ‘81 Mari 99 National Dairy IDH:’A 10344 28 Sincl Southern Pacific 5s 1 Stanaard Oil N. Jersey dard Oil N. Y % | common to medium, 6.00230.00; good to |1 ‘nm, 31.00a41.00. Upper country, bur- { MARYLAND TOBACCO PRICES. | BALTIMORE, July 20 (Special). Receipts ‘of Maryland leaf {obacco con- (tinue to show large increases, totaling 11,849 hogeheads last week, but sales |showed a slight decline, with 573 hogs- heads, leaving a stock in State tobacco wareliouses of 6,559 hogsheads. Because of the present 14-day inter- val between tae date of arrival end the date of inspection, most of the above Teceipts will not bs offered for sale un- til week after next. | Quotations toczy for Maryland leaf {tobacco per 100 pounds: Frosted and inferjor, 3.00¢5.00; scund to good com- mon, 7.00a20.00; medium to _good 120.00a35.00; good to fine red, 36.00a 52.00; fancy 52.00a53.00. Seconds, ley, nominal. SEARS, ROEBUCK SALES. CHICACO, July 20 (#).—Sales of | Sears, Roebuck & .Co. In its seventh period, from June 19 to July 16, totaled $25,738,837, & decline of only 1 per cent from the $25,986995 reported in the same period last year. Dollar sales from January 2 to July |Z 16 showed a drop of 6.8 per cent. The total was $184,707,207, against $198,- 263,008 in 1930. . | market, and we are suggesting the ac- NEW YORK, July 20.—The tone of today’s brokerage house comment was more optimistic. Some of the opinions follow: Jackson Bros.,, Boesel & Co.—Recent evidences of strong accumulation in re- ceding markets have called forth much inquiry as to the most desirable stocks for long holding. Obviously, in ylew of the uncertainty surrounding world financial and domestic business condi- tions, only a particularly strong type of stock is suitable. In our opinion, it should (1) be backed by a sufficiently strong_financial condition to enable it to withstand the shock of the business depression and (2) show either an in- crease in its earning power this year or at least the abllity to retain a good part of it. R. V. Hiscoe & Co—It is our opinion that we are in a period of accumula- tion preliminary to a very strong Fall quirement of sclected securities on re- actions as they materialize. Frazier, Jalke & Co.—We would take advantage of weak spots to make fur- ther long commitments in anticipation of a fairly good market for the next few weeks, Shields & Co.—A very thin trading market is to be expected while the Eu- ropean loan and credit question is under discussion. Redmond & Co.—We are not yet out of the woods, but a conservatively op- timistic attitude seems warranted, con- sidering the drastic deflation that has already occurred in the stock market. Smith, Graham & Rockwell—Domes- tic outlook does not warrsnt a material rise and it therefore would seem pru- dent to reduce holdings on such rallies as may follow foreign developments. Hornblower & Weeks—We continue to feel that the developments abroad are of such magnitude and such a com- plex nature that a clear understanding is impossible and warrant a side-line position until some definitely construc- tive step is accomplished in the confer- ences that are to be held over the week end. TREASURY CERTIFICATES. FOREIGN EXCHANGE. (Quotations furnished by W. B, Hibbs & Co.) Nominal gold ' Selling checks value tod London, pound. Paris, franc {INDUSTRIAL ACTIVI"I’Y Washington Produce Butter—One-pound prints, 28%; tub, 7Y Eggs—Hennery, 22a23; current re-| celpts, 15a17. Poultry, alive — Spring brollers, 3 pounds and over, 33a35; 2 to 2% pounds, 32a33!3; 113 to 2 pounds, 28a 30;; Leghorn broilers, large, 24a2! medium, 22a23; hens, large, 22a23; small, 18a20; Leghorn hens, large, 15a 16; small, 13a14; roosters, 12a13. Dressed—Spring_ broilers, 3 pounds and over, 38a40; 2 to 2! pounds, 37a 38%; 1': to 2 pounds, 32a35; Leghorn brolers, large, 28a30; medium, 28; hens, large, 25a26; small, 20a22; Leghorn hens, 17a18; small, 14a15; roosters, 13a 14; Long Island ducks, 21a22. Meats—Beef, prime, 1412a15; choice, 14; mediumu, 125a13; cow, 11; lamb, 23; veal, 13';al4; pork loins, 23; fresh hams, 18a19; smoked hams, 20a21; strip bacon, 22; lard, 101,a1l. Fruits—Watermelons, 25a75; few ex- tra fancy, 75 pounds, 1.50; cantaloupes, North Carolina, Ridgeways, crates, 2.00 | a2.50; honeydews, 1.50a1.75; honeyballs, | 3.50; oranges, California, 4.7585.5! Florida, 5.0025.50; lemons, 5.00a8.00; limes, per 100, 1.75a2.00; pears, 2.75a ' 3.50; plums, 1.75; grapes, Thompson, seedless, 2.25a2.50; grapefrult, 1.75a2.25; bananas, 1.25a2.00; pineapples, 4.00a 4.50; apples, bushel baskets, 75a1.0 peaches, bushel baskets, 2.00a3.00; huckleberries, 4.00; raspberries, black, per, quart box, 12V3; blackberries, 2.50 Vegetables—Potatoes, per barrel, top, 2.00; sweets, per bushel, 1.50; tomatoes, 2-peck baskets, 1.00a1.25; cucumbers, 1.00; squash, 50; peas, 3.00a3.25; car- rots, per 100 bunches, 2.00; turnips, 75; celery, 3.50; string beans, 1.00al1.25; limas, 2.00a3.00; lettuce, New York, 75a1.00; Iceberg, 4.50a5.00; peppers, 75a 1.00, corn, 5-dozen sacks, 50a1.25; onions, Texas, 50-pound crates, eggplant, 2.25a2.50; spinach, New Ze: land, 50; kale, 35, okra, 2-peck bas-! kets, 1.25; cabbage, 40a50. DECLINES DURING JUNE Ao Special Dispatch to The Star. NEW YORK, July 20.—Industrial activity in the United States in June fell 5 per cent from May and registered & 9.3 per cent decline from the lev:l prevailing in June, 1930, according to % Electrical World’s monthly summary of | electrical energy consumption in 3,800 | manufacturing plants scattered through- ' out the country. Records of plant operations during the past eight years show an average drop of 5 points from the preceding month. The decrease| this year is therefore ascribed entirely to usual seasonal changes in the sev- eral industries, but when seasonal ad- justments are aplied to the individual indices, industry is relatively on the identical level May. Although current industrial activity is | still_abnormally low, comparison with | the Winter minimum shows more favor- able conditions. The increase of 7.3 per cent over January exceeds that in | any of the past six years, with the single exception of 1927, when the gain was 10.8 per cent. In 1929 the in- crease was only 6.1 per cent; in 1930 the June figur | for thet Mgure fell slightly below that ing Winter. tribution of losses and the various industries reveals that ' staples, such as food and clo;:tng t.;et holding their own. The food products' industry is climbing to a Summer peak | gains| | central second only to that of 1930, are headed upward from the 'y gxtreme. depression; mou‘;hemv:gm:r‘:, 7 Der cent below May, the industry | advanced 5.2 per cent over June, 1930, | Iron and steel fabrication is uj 8.3 |2 and is a trifie above Jagt | 5 cent from M June's level, BY GEORGE T. HUGHES, Only the man virtue of tem, manent success in investment. Excess invites disaster financially x:z. “l:x does physically, but temperance in the one fleld Is no more popular than it is in the other. Let us see what this means. There may be excess in caution. In times of business depression and panic levels for securities it is just as unwise to become possessed of unreasoning fear, which, by the way, is the defini- Iteuzx of panic, as it is to exhibit bound- confidence when both trade and | stocks are at the heights of in: To illustrate—it is just um‘::{hl if the best results are to be achieved in the handling of funds to disbelieve the pessimists in 1931 as it was to doubt the optimists in 1929. The record shows that in perfods similar to that of the first half of the present year the price of United States Government obliga- tions—to take the admittedly highest type of security know to investors— mounts to unprecedented heights partly because of this excess conservatism. That is an ecror. There is no need to take so low a return on one’s money, speaking for the average investor, when there are high-grade bonds and pre- ferred stocks which yleld more with all reasonable safety. e converse of this proposition is also true. If and when we again have a rapidly advancing mar- ket in stocks with the meomrlulnl henomena of speculative excitement it will be just as serious a mistake to put all one's funds into equity securities. Of course, the latter excess is more ¢ ngerous than the former, but bothof them operate securing the three-fold object of all investment— safety of principal, adequate income egree of marketability. ‘The trouble is we all want to go ahead too fast in boom times, and we all hang back too much in the other kind of time. We should moderate our Egypt has started a cam| development of domestic try. for the | Sopenha: enthusiasm then and exercise our fears now. (Copyright, 1931). SILVER QUOTATIONS. NEW YORK, July 20 ().—Bar silver steady snd 3 higher at 28%. e BONDS IRREGULIR N SHALL MARKET German Group Is Erratic. Other Foreign Issues Show Mixed Changes. BY F. H. RICHARDSON. Special Dispatch to The Star. NEW YORK, July 20.—Today's bond market moved uncertainly in extremely % | dull trading, & natural result of the lack of any definite news from abroad. ‘The list was firm to fractionally higher at the start, but later reacted narrowly and held barely steady around Satur- day’s closing prices. The sfgns of a new friendliness in Prance's attitude toward Germany were reflected at the opening in a fair volume of buying in German government 5%s and Dawes reparations 7s and other German bonds. Later, however, cabled advices from London indicated that Secretary Stimson and Secretary Mel- lon were considering definite proposals to rehabilitate Germany's credit that would conflict with the Prench plan to grant a $500,000,000 loan carrying cer- taln political eonditions. While the market would view favorably any con- crete plan put forward by the United States, there was a feeling that alter- ation of France’s demands would further prolong the negotiations and uncover more weak situations in the German banking fleld. German government 51;s lost their | opening gain and then moved erratically, now up, now down. Dawes reparations s acted similarly. Some German bank issues were temporarily depressed by a private bank suspension |in Bremen. German municipals ranged |from a point iower to fractionally higher. Other European bonds were also irregular. South American issues were generally higher despite discouraging develop- ments in the Argentine in both 3:;9 wheat and foreign exchange markets, Brazillans had the best gajns. Austra- lians were firm. ‘The domestic list as usual took its cue from the movement of the foreign group. Junior securities were generally lower. Goodrich 6s, Interborough Rapid Transit 5s, Brooklyn-Manhattan Transit 6s, Texas Corporation 5s and Warner Bros. 6s were unchanged or slightly lower. Some of the second-grade rails were firmer, including Frisco Prior Lien A 4s, Missouri-Pacific 5s, Erie 5s, Rock Island 4'2s and Alleghany 5s of 1950, but there were as many of the same type with small declines. Prime indus- trials were firm. So were the high-grade rail and public utility obligations. Pathe Exchange 7s, which dropped as low as 36 in 1930, and were at 51 in January of this year, sold at a new high for either year. The bond’s position has been vastly improved by the company’s dufitl of its chief assets to Radio- Keif Washir;gfdn 'Stock E;(change KALES. Capital Traction Co.—10 at 41, 10 at 42, 10 at 42. Mergenthaler Linotype—-5 at 78, 5 at 78, 5 at 78, 5 at 78. AFTER CALL. Potomac Electric 5'; % pfd.—1 at 112, Peoples Drug Stores pfd.—10 at 101'g. Capital Traction Co.—22 at 42. Washington Gas 6s “A"—8$100 at 103. Bid and Asked Prices. BONDS. FUBLIC UTILITY. & Tel. 4'a3 '3 Bid. Asked. Lo 1R tr. 5s.0.00 107 R. 5% Amer, Tel Am. Tel. & Tel. ctl nacostia & Pot. R. Anacostia_& Potomac guar. . Tel. of Va. 8s. Capital Traction R. R. 55 City & Suburban 5s.. .. Georgetown Gas lst 53 Potomac Elec. cons. £% .. .. Potomac Elec. 8s 1953 Sias ol Wash., Alex. & Mt Vernon ctf. Washington Gas 4'as.... hington G & Elec. 4s 3 MISCELLANECUS. Barber & Ross, Inc, 6'3s...... Chevy Chase Club 1 Columbia Country Club §'as. D, C. Paper Mfs. 6s. ... W. M. Cold Storage Bs... ... STOCKS. PUBLIC UTILITY. Tel. & Tel. (9).... . Traction Co. . Wash. Gas Lt. Co. (18)... & W. Steamboat (12). Pot. Elec Power 8 b POt Elec. Power §'a% pid. Wash. Rwy. & El com. ). Wash. Rwy. & El pfd. (§) Amer. Capital Capital (14) Columbia (12 HiEe | Commercial “(stamped) (10 i Bk & Tr, () Lincoln (12) D P Metropolitan’ (14) Riggs (153).... 5 S TRUST COMPANY. . Sec. & Tr. Co. (15) Aninenta Trust (6. atl. Sav. & Tr. (121) Prince Georges Bk. & Tr. (8) 4 fon Trust (8s).. Wash. Loan & Tr. 3 SAVINGS BANK. Bank of Bethesda (65) - Com. & Savings (10) East Washington (12) Potomac (10) c. Sav. & Com. venth Street (13) tates A Wash: Mechanics' (305" FIRE INSURANCE. Amertcan (12). or a0 TITLE INSURANCE. Columbia (6h). Real Estate (6h) . 'MISCELLANEOUS. rber & Ross, Inc. com Col. Medical Bids, Corp. { Col._8and & Gravel pfd. (7). D. C. Paper Mf§. P Dist. Natl. Sec. pfd. Emer. Bromo-Selz. @ 1d (8). ral Biotaes 21 <%y fd. (6 3 { ) Received by Private Wire Direct to The Star Office UNITED STATES. (Bales are in $1,000.) . Low. Close. Lib3%s32-47.. 7 10221 10219 10219 Lilst4%s32-47. 3 10312 10310 10310 L4th4%s33.38 25 106 104 30 105 US3%s'49... 81011810118 10118 U B 3%s 40-43. 102 102 25 10226 10225 16 103 103 103 6 108 26 108 21 108 21 511314 11314 11314 Abitibi P& P 6s°53 Ablbgll!fi 3 Allig-Chalm 6837 Argentine Argentine 6s Argentine Arm & Co 4%s°39.. 1 Arm Del 6% 6.0 Australia 65 '66.... Australia 68 57.... Austria 7843, 1 Batav Pet 4148 '42.. Belgium 6s ‘66 6. Bell Tel Pa bs B *48 Bell Tel Pa b8 C ‘60 B Ind Loan Co 6s'46 Brazil 6348 ‘26 Brazil 68 '27 Brazil 7s Brazil 8s 41, Bremen 78'35..... Bk Ed gn A 68°49.. Bklyn Elev 6%s. .. Bklyn Man 6 Bklyn Un L8t § Budapest 68'62. Buenos A 6561 Pv. Buff Gen El 4% 581 Bush Ter con 58 ‘55 Canada ¢s°60. ‘50 Can Nat 4%s Can Nat Ry 4138 Can Nat4%8 o7 Can Nat 4% Zan Nat 64 July Can Nat 58 Oct '6y. Nor 4%48 35 N ai . Car Clin & O 65 '52. Cen Ry NJ g Cent 11l G&E b Cenc Pac 48 49, Cert-ta deb 6% s CB&Qgen 4s CB&Q4¥s'T7 Chi Grt West ¢ Chi Ind&Lou 6 Ch M&SLP 4% Chi M StP&F o8 ‘76 Chi M & St P ad) 6a Chi&NW g 3345 ‘87 Chi& NW con ¢ ChiRk1& Prr4n‘3s Chi R lcv 4%s'60. Chi RI&Pac 4 %862 Chi Un Sta 435 '63. Chi Un St 68 °44. . ChiUn Sta 6%s '63. C& W Indcv 4 C& W nd 6%s '63.. P LuBermanorsnremearranEnome —waR e 19 Chile Cop db 68 '47. SCCAStL4%SE. . Clev Term 5345 ‘72, Colomb 68 Jan 61.. Colombia 68 ‘61 Oct Colo & Sou 4348 36. Col G&X bs May b2 Col G&E coup 58 ‘61 Com Inves o438 49, £ 65 50 NY 4%s'95wl ConG N Y bins 4b. Con Pwr Jap 6% | Copenhag ¢ %8 63 Cuba RR T 7%8°36 Cuba Nor 6%s '42.. Caecho 98 ‘52 . Del & Hud rf 4 Denmark 4 %8 ‘6. Denmark 6% s '66. East C Sug 7%s '37 1 Salvador 8 ‘48 Erie 18t con al Est. M. & G. Becurity” Btorage er. Wh. 3 The Carpel Corp 2 . Mech. Mtge, com. Wash. Med. Bldg Corp. Woodward & Loth. com. Woodward & Lothrop bl h % o= y2%a% extin. elfa% extia. BRITISH FOREIGN TRADE. Bythe Awoclated Press. British foreign trade in y was featured by a 7 per cent increase in exports of manufactured goods and a decunzno! 3.8 per cent in imports of foodstuffs. Dispatches to the Commerce Depart- ment indicate imports totaled 69,633,000 pounds, with exports amounting to 33,- 895,000 pounds and re-exports to 5,- 747,000 pounds. As compared with the month’s totals, these figures represent a decline of 0.5 per cent in imports, an increase of 4.4 per cent in exports and a drop of 12.8 per cent in re-exports. ——— POTATO MARKET. CHICAGO, July 20 (/) (United States Department of Agriculture).—Potatoes— Regelpts, 125 cars; on track, 305; total United States shipments Saturday, 869; Sunday, 20; slightly stronger on good stock, trading rather slow. Sacked, aundroflwellhb—uwmfl Cobbl!n.l 1.05a Gen Cable b %: Gen Motors »e ‘37 Gen Th k£q 68 '40. German 5348 65...191 German Bk 68 '38.. 86 Ger Cen Bk 63°'60J 34 Ger Cen Bk 63 ‘60 0112 Geiman Bank 78 ‘50114 108% 112% 954 961 102% 108 1104 110 83% 82% 80 80 104% 104% 9% 99% 102% 102% Grand Trunk Grt Nor 43 Gulf Mobtle 55 '50. Hum O&R 638 '63. IMBTIistpt J 111 CCStL&N 4%s.. I CCSIL&N 6s A. . Inland Stl ¢%s A'78 Inland Stl 4s% B'S1 Int Rap Tr 68 "6 Int Rap Tr sta "66. Raj - - FleRwaSomanum wen Int & Gr Nor 6 int Hydro El 6 Int M Co bs ret ‘41 Int Match 6847 Int Pap 65 A *47. Int RysC A bs Int T&T 434853, Iat T&T cv 4 %88 Int T&T 6856, rish Fre & Japanese 6% s Japanese 63 ‘54 Jugos] Bank 7 Loew's 65 ex war. Lorillard 68 ‘51. Lorillard 5%8 37, Lou G & EI 58 '53. L &N uni 45’4 McKes & R l?l'l' Mo Pac s F '77. Mo Pac 58 G Mo Pac 6s H Mo Pac ref Mo Pacb¥%mev " Mobile-Ohlo 58 Mont Tr 1st b N Y Edist 6%s'41, NY ELH&P 4s'49.. NYNH&H db Nord 6%s ‘50 Nor & Wn ev Nor Pac 438 2047. Nor Pac r 168 2047, Nor St Pw 58 A *41. Nor St Pw 6s B "¢1. Norway 65"63..... Norway 5%8 6. .. Norway 6s *43. Norway 6 s '5: . Oreg-Wash 4s'81. . PacG & K1 6342 Am Pet 65 1940 Penna gen §s Penn 6%s ‘36 Penn P&Lt 4% Peoples’ Gas &8 Pere Mar 4% Pere M 1st &3 Pe: Peru #miia Co Phila & Read 6: Phillip Pet 5% 8°39. Pirelli 7s. . 5.0 40 '57. 1 1 o EIET T ST - =S 10 28 1 15 25 3 31 12 2 5 .2 P CC&SIL 4%8°'77. PCC&StLbsA.. Poland Poland Poland % Port Gen El 4% Pos Te! & C 5 '53.. Prague 73 Prussia ¢s ‘5! Public Serv Queenland 6s ‘47 Queenland Read gn 4% s A 97, Reading 4%sB.... Read Jer Cen 45 ‘61 Rem Arms 6s A '37. Rem R5%s A " Rhine West 6 Rome 6348 °53. Roy D 43¢5 w' Sao Pau 7 Sao Paulo 85 '6 Saxon Pu W 6% Saxon 7s ‘4 5 1 2 Sea All Fla 63 A '35 Seine 7842 7. Sinc Cr O %8 38, Sinc P L 68 '43. Skelly O11 6% Sou Bel T&T 6841, 4. Sou Pac ref 4s '56.. Taiwan E P 5%s 71 Tenn Ei P 68 A 47, Tex Corp ev bs "44. Pac 65 D80, P 1st 55 3000 Tokio El Lt és’ 5! Un Pac 1st 48 47 Utah P& L 68 °44.. Jtil Pow 58 ‘69 ww. Utll Pow 6% °47.. Warsaw Wast Sh 15tghe 2361, West El de 17 7 18 4 4 10 26 10 1 PINANCIAL. 104% 5 104% 7 108% 87% 98 86% 101% 101% 97 851 80 66% 72 69 30% 381 34 954 91k 88% £2 8 96% 68w 551 88 T6% 62 62 67 'ml‘?'flg- - 4T 'll 1% % MARKET BELIEVED IN STRONG POSITIC B Recent Selling Declared to 86 84y 8 4 82 85 88% 101% 101% 97 I 854 | 20 68% | 2% 6 30 | 384 3¢ o1y | 88% | o1 97 106% 104% 109 104% 100 10474 105% 4% 107% 95% 924 108% 5 454 100% 96% 84% 101% 94 101 684 Té% 5% 83 106% 99% 40 52 924 107% 70 | buying on balance. Have Placed List on Firmer Ground. BY CHARLES W. STORM, Bditor, the News Service of Wall Btreet. Special Dispatch to The Star. NEW YORK, July 20.—With the be- ginning of the new week the attention of Wall Btreet will be focused uj de- velopments at the London cfln{p::nct. ‘The Street is hopeful, the belief pre- valling that the German government will accede to the demands of the French in such a dignified and diplo- matic manner that the edge will be taken off the surrender. Inasmuch as the borrower always accedes to the wishes of the prospective lender, the general expectal is that the German Tge mew credits 5 meet 1 Tequin meet - ments. E = : One of e foremost leadi grou] on the constructive side of uu: m-.rk: has been picking up the pivotal stocks the last week on assumption that financial aid will be extended to the Oe'mur:‘ :.n:m th;t Annaul:g:mnt of an made ear] this week. S Since about half of the advance which followed the announcement of the Hoover debt plan has been canceled, the technical condition of the market is belleved to have been substantially Feneral L3t and the Geving o, of oo and the up of sell- ing would also indicate a bell:f on the ,Plfl of the speclative element that the reaction has proceeded far enough. The course of prices, however, for the immediate future will be solely depend- ent upon the nature of the news from the London Conference, owing to the l‘lfih‘eh‘t !:dbet’l: hl.; been little change condition of general trade and business in the United States recently. Germany’s Position, A solution of Germany's financial problem is considered absolutely essen- tial to improvement in world-wide con- ditions. The present financial crisis in Germany, bankers point out, has been in the making for a number of years. For the last seven years, they say, Ger- many has had an unfavorable trade balance of approximately $1,500,000,000, Because of this Germany has de- pended upon foreign capital to finance her adverse trade balance, as well as for the financing of reparations pay- ments. Germany’s borrowings in for- eign countries during that period have approximated nearly $4,000,000,000. Bankers add that this method of financing foreign obligations has brought about steadily increasing obli- gations in the form of interest pay: ments. Because of the world depression the flow of foreign capital into Ger- many has ben curtailed, so that the country is left without the means to finance her obligations, and this has precipitated the present crisis. It is, therefore, considered necessary to finance Germany at this time in order to prevent a further collapse which would have a most unsettling in- | fluence on the whole world. Public Buying. Because of the uncertainty surround- ing the solution of Germany's financial problems, speculation in stocks has been reduced to a minimum. Except for one big group which is on the constructive side of the market, there has been little or no aggressiveness. ‘The recent reaction has brought prices down to & level where even the pro- fessional bears show no inclination to sell stocks. Investigation among the big bro- kerage houses reveals, however, the small speculator and investor has been The excess pur- chases over sales. however, are de- clared to be small. It is further re- ported that a substantial amount of gubl!c buying has been for cash. the uyers paying for the stocks in full and taking them out of the Street. Unsettled conditions in Europe also have found reflection in a quieting down of the demand for bonds. The dullness in the bond market is ex- d to continue until there are fa- vorable developments abroad. Invest- ment bankers declare that there is a substantial volume of new financing to be done, but that it will have to be held in abeyance until the news from Europe changes for the better. Prospective Leaders. Any betterment in the foreign situa- tion is expected to find reflection in improvement in the demand for the | stocks of mail order houses. Tobacco stocks also are expected to show in- creased market actlvity owing to the accumulation which has been going on in those shares because of increased earnings which are expected to result from the advance in cigarette prices. (Copyright, 1931, by North American News- paper Alliance, Inc.) CHICAGO LIVE STOCK MARKET CHICAGO, July 20 (#) (United States Department of _Agriculture) —Hogs— Recelpts, 40,000 head, including 15.000 direct; opened weak to 10 lower than Frids later trade, 10al5; spots, 25. wer; builk, 170-220 pounds, 7.60a7.80; top, 7.85; 230-310 pounds, 6.00a7.50: pigs, 6.0027.00; packing sows, 4.35a5.50: light light, good and choice, 140-160 pounds, 7.15a7.65; light weight, 160-200 pounds, 7.45a7.85; medium weight, 200- 250 pounds, 7.0027.85; heavy weight, 250-350 pounds, 5.50a7.35; packing sows. medium and good, 275-500 pounds, 4.15 25.50; slaughter pigs, good and choice, 100-130 pounds, 6.50a7.15. Cattle, 16,000; calves, 2,000; year- lings and light steers fairly active, | strong; instances shade higher; medium | weight and weighty steers slow; steady to weak; some bids 25 lower; largely steer run; early top yearlings, 8.75: several loads, 8.25a8.50; very few weighty steers sold; other classes un- even, mostly steady to strong with bulls 10-25 higher. Slaughter cattle and | vealers: Steers, good and choice, 600- 900 pounds, 7.5028.75; 900-1,100 pounds, 7.2588.75; 1,100-1,300 pounds, 6.75a8.25: 1,300-1,500 pounds, 6.50a8.00; common and medium, 600-1,300 pounds, 6.50a 8.00; heifers, good and choice, 550-850 pounds, 7.00a8.50; common and medium, 3.75a7.00; cows, good and choice, 4.25a 6.00, common and medium, ad.25; lo% cutter and cutter, 2.00a3.25; bulls (yearlings excluded), good and choice (beef) 4.2585.00; cutter to medium, 3.5084.75; vealers (milk fed), good and chofce, 7.0028.00; medium, 6.00a7.00; cull and common, 4.00a6.00; stocker and feeder cattle. Steers, good and choice, 500-1,050 pounds, 5.75a7.00; common and medium, 4.25a5.75. Sheep—Receipts, 18,000 head; 25 to mostly 50 lower; fairly active at de- cline; better grade native lambs, 7.25a 7.50 to packers; outsiders, 7.65a7.75; best rangers held above 7.75. Lambs, 90 pounds down, good and choice, 6.75a 8.00; medium, 525a6.75; all weights, common, 4.00a5.25; ewes, 90-150 pounds, medium to choice, 1.7523.50; all weights, cull and common, 1.25a2.00; feeding lambs, 60-75 pounds, good and choice, 6.005.75. —— Rail Fares 10 Miles & Penny. New rates just put into effect by the four leading railways of England make it possible to travel 10 miles for a The plan includes seven-day seasons,” enabling passengers to go on an “exploration holiday” at even lower rates. Sales High Low. Close West Un Tel 68 '51. 16 103% 103 103% West Union . 9103 103 103 West Un T 63%8°36. 4 109% 109% 109% Wis Cen gn 36 3 65 b54% 55 Yokohama 6s°61... 12 100% 100 100% 1 Yxstn Sh&T 68 °78. 5 100% 100% 100% Tng SUAT 10, 8100 . 100 100