Evening Star Newspaper, January 29, 1933, Page 49

1 News of Markets Pa ges 1 to 4 Part 6—12 Pages BACHE WL START BROKERAGE OFFCE HERE DURNG VK Stock Exchange House to Take Over Local Business of M. J. Meehan & Co. THIEL REMAINS MANAGER, WITH SAME PERSONNEL ‘Wholesale Trade in 1932 Compared ‘With Reports in 1931 in Fifth District. BY EDWARD C. STONE. J. S. Bache & Co., members of the New York Stock Exchange, will take over the Washington office of M. J. Mee- han & Co., another stock exchange firm which has been located on the ground floor of the Washington Hotel during the past four years, on Wednesday, Feb- ruary 1, it was announced yesterday. Frank J. P. Thiel, maneger of the Mee- han office ever since it opened, will re- main in charge under the new regime, having withdrawn a few days ago as a partner in the Meehan brokerage house. The firm of J. S Bache & Co. has been doing a commission business in ! stecks and commodities for the past 41 years under the same name. Jules S. Bache is the senior partner. He is also a director in many nationally known corporations. Opening an office in this city will bring into being the 28th branch of the firm throughout the United States, all of which are connected with the main office in New York by a direct mam wire system. The company also its own agencies and representa- tives in Liverpool, London, Havre, Paris, Berlin, Alexandria, Egypt, and other foreign cities. One of the members of the firm is a governor of the New York Stock Ex- change and other members hold similer pesitions on the New York Curb, Cocoa Exchange, Hide Exchange, National Metal Exchange, and New York Coffee and Sugar Exchange. In its present expansicn to include Washington, the firm is carrying out a policy of con- stantly broadening activities. Mr. Thiel, who takes charge of the firm’s interests here, was assistant treas- urer of the United States when he en- tered the brokerage field. He served in the Treasury for 23 years under six Pres- idents and without civil service protec- tion. For 15 years of this period he was_assistant treasurer, beginning his work in this capacity under President Wilson and concluding it under Pres- ident Hoover. He began his business career in Fort Way: Ind., as secretary to W. W. Atterbury, now president of the Pennsylvania Railroad. Mr. Thiel stated yesterday that no changes in the local office of Bache & Co. are contemplated. His present assistants are Robert F. Cahill, L. B. Brubeker and James A. Hennessy. Fifth District Trade Compared. ‘The Federal Reserve Bank of Rich- mond yesterday reported in percentage form wholesale trade figures in De- cember and the full year 1932, com- pared with the like periods in the previous vear, 61 firms making state- ments. Grocery sales in December were 10.9 per cent below the record for Decem- ber, 1931, but 1 per cent ahead of November, 1932. Total grocery sales for the full year were off 16.2 per cent. Stocks on hand were lower. The per- centage of December 1, 1932, receivables | collected in December was 59.3. Dry goods sales were off 19.2 per cent compared with December. 1931, and 36 per cent under the November | mark. Total sales for the whole year ! were down 20 per cent, stocks were 7.9 per cent lower, stocks 0.9 per cent lower than at the end of 1931, while | 38 per cent of receivables on December 1 were collected during the month. Shoe sales gained 2.8 per cent in De- cember, but were off 49 per cent from November, although only 10 per cent for the year. Stocks on hand were 6 per cent lower than on December 1, 1931, 11 per cent lower than on No- FRANK J. F. THIEL. IVESTHENT B0 MARKETINPROVES DURING PASTWEEK U. S. Government and Prime Corporation Issues Con- tinue Upturns. Special Dispatch to The Star. NEW YORK, January 28.—While the movement of prices in the investment market this week was of an indetermin- ate nature in all groups save the high- grade classifications, there were never- theless some significant developments. Not the least of these was the Senate’s rejection of the bill to remonetize sil- ver. This was followed by an extension of the advance of prime corporation bonds and United States Government long and short term paper. ‘The continued upturn in these de- scriptions may now be taken as con- vincing proof that no one in the finan- cial district is anticipating inflation of any variety more radical than a slight expansion of the currency along the lines already used in making legal, in 1932, certain additional Treasury obli- gations as currency backing. ‘The most intriguing events of the week were to be found in the railroad industry. On the same day that the Delaware & Hudson unexpectedly de- ferred action on its common dividend, the Pennsylvania Railroad resumed div- idends by a payment of 50 cents a share on its common stock. Loree, that astute railroad man and financier, announced when the Delaware & Hudson decision was made public that the Delaware & Hudson had acquired, through purchase in the open market, 10 per cent of the outstanding capital stock of the New York Central. What this signified to the investment market was that Mr. Loree had expressed his faith in the i‘ecovery of the railroads and rail securi- es. Probably the most encouraging de- velopment of the week was the evi- dence that the war debts problem is going to be seriously tackled. It was hailed as the one chance of balancing the 193¢ budget—by funding a lump sum installment from England and other countries with bond issues and | using the proceeds to close the gap in the Treasury’s accounts. Also, it was hailed as an augury of increased inter- national trade. For the moment the new capital mar- ket has again become stagnant. There was evidence two weeks ago that it was being forced. New municipals, however, are still well taken. (Copyright, 1933.) $400,595,000 BANK LOSS WRITTEN OFF vember 1, 1932, while 40 per cent of receivables on December 1 were col- lected during the month, Hardware sales were off 8 per cent in December, 17 per cent compared with November and 18 per cent for the full year. Stocks were 2 per cent lower than at the end of the previous month. Of the receivables due December 1, 32 ; per cent were collected during the | month. Drug sales were off 10 per cent in December compared with December, 1931, but 5.4 per cent above November, 1932, Sales for the year were down 175 per cent. Of receivables due on December 1, 46.3 per cent were col- lected during the month. Gleaned in Financial Districts. Mortgage interest rates must be re- duced, R. M. Hurd, president of the Lawyers Mortgage Co., said at the sec- ond day’s session of the annual Eastern Regional Savings Conference in New York. He said the serious situatior. now confronting Jlenders is that after three years of depression the great mass of average standard residence and busi- ness properties is weakened by lower rentals. “Reduction of the mortgage debt must be a gradual process,” he added. “Practically all interest rates have been brought down to the modern basis except mortgage interest rates.” The Washingion Stock Exchange so far this year has recorded a $256,800 turnover in the Washington Gas Light 5s, 1958, which were listed a short time after they were placed on the market. They closed the week at 94!, the price at which they were first offered, yield- ing 5.42 per cent. A large number of these bonds have also been bought by local investors, off the Exchargs. President F:ancis H. Sisscn of the American Bankers' Association says that a significant phase of the present bank- ing situation is the large volume of re- payments of loans by banks to the Re- construction Corporation. ‘The United Business Service forecasts that industrial activity and business volumes will hold approximately at present levels in February. McCrory Reorganization. NEW YORK, January 28 (P —A successful reorganization of McCrory Stores Corporation, now in receivership, is possible, in the opinion of H. P. Reader, chairman of the Committee of the merchandise credi- tors. Preliminary figures compiled by' the receiver show total assets, after reserves, of $30,124000 and maturing liabilities of $9,390,000. Highway Construction Contracts. SPRINGFIELD, Ill, January 28 (). —Contracts for $3,000,000 of highway construction and improvements in down- state counties were let between Decem- ber 28 and January 15, State officials Louis. Enrollment in 1933 decreased 27 announced. Federal Reserve Board Reveals De- duction of Assets in Six Months Period. By the Assoclated Press. Member banks of the Federal Reserve System wrote off losses of $400,595,000 from assets during the first six months of 1932, the monthly bulletin of the Federal Reserve Board reveals. National bank members wrote off losses during the period of $254,679,000 which was $63,258,000 more than in the corresponding period of the previous year, while State members wrote off $145,916,000 or an increase of $90,632,- 000. A total of $148,301,000 of the na- tional bank losses written off was on accounts of loans and discounts and $89.- 062,000 on bonds and securities, while for State members the totals were $77,- 439,000 and $60,849.000, respectively. Gross earnings of national banks dur- ing the first half year were $524,137,000 or $106,305,000 less than in 1931. In- terest received by them on account of loans dropped $65,657,000 to $294,100,- 000, and accruals from investments were reduced $10,498,000 to $148,495,000. Profits on securities sold during the six months amounted to $9,582,000, which }wu $18,643,000 less than the year be- ore. Expenses of national banks amounted to $371,217,000 which represented an economy of $78,335,000 as compared with the previous year. NEW YORK BANK STOCKS NEW YORK, January 28 (#).—Over- the-counter market BA ! Bank of Manhattan « Chase National Commercial (8) . Fifth Avenue (* First National (100) National Tity (: Public (2) ... TRUST COMPANIES. Continental (1.20) Corn Exchange (4) Empire (1.60) Guaranty Trving ( 5 Manufacturer. N Y Jitle & Mortge. ust (5 Title G & T United States (30) *Includes extra. adst 3 Fewer Nurses Available. The number of available nurses is decreasing, according to records of the Washington School of Nursing, St. 40 per cent from 1931, » FINANCIAL AND CLASSIFIED he Sunday Star WASHINGTON, D. C, SUNDAY MORNING, JANUARY 29, 1933. WITH SLIGHT GAINS . INSMALL TRADING Waning Confidence Revived During Eventful Week for Business. INDUSTRIAL ACTIVITIES SHOW SOME EXPANSION Many Annual Corjoration Reports Reveal Recent Strengthening of Their Cash Positions. BY CHARLES F. SPEARE. Special Dispatch to The Star. with New Firm | |STOCKS END MONTHITEXTILE AND SHOE TRADES LEAD WAY INBUSINESS GAINS Seasonal Activity Is Also Noted in Centers of Motor Industry. SMALL PLANTS REOPEN IN VARIOUS LOCALITIES Reports of Wage Cuts and Reduc- tions in Personnel Are Becom- ing Fewer Each Week. Special Dispatch to The Star. ; NEW YORK, January 28—The NEW YORK, January 28.—This week‘ heaviest gains in manufacturing opera- has been crowded with events that have either an immediate or somewhat dis- tant bearing on the financial situation as well as on business. The majority have been of a helpful character. While they have not stim- ulated any additional interest in securi- ties, with markets in an apathetic con- diticn, they have restored part of the confidence that had been waning, espe- cially toward railroad stocks. At the same time some of them have revealed weaknesses in the banking and business structures that have aroused a certain amount of apprehension. Inasmuch as inflation talk has been 50 general and is becoming so specific in its terms, the defeat by the Senate of a measure that would have led to the remonitization of silver was proof that the sound-money members of Congress still hold the upper hand. Further progress in arriving at a point of view on foreign debts has been made in the acceptance by Great Britain of the in- vitation to send a commission to the United States to discuss this question. A further reduction in interest rates on deposits in New York banks has had the two-fold effect of driving funds from this center back to the interior, where it is assumed they may be put to work for the benefit of local borrowers, and of increasing the demand for United States Treasury issues and for other high-grade securities. Stir in Rail Circles. The Pennsylvania Railroad found it- self in a position, after making up its earnings statement for 1932, to declare a dividend of 50 cents a share and thereby maintain a record for pay- ments on its stock in each year since 1847. On the same day the Delaware & Hudson road, whose 9 per cent divi- dend had been distributed for 25 years, but was reduced in the latter part of 1932, found it necessary to omit it be- cause of low operating receipts. More significant than this, however, was the announcement by the company that it had purchased a 10 jer cent interest in the New York Central Railroad which, with other stock in its control, gives it the commanding position in one of the leading transportation systems of the country. The sequel to this investment will undoubtedly be a series of impor- tant events not only in the affairs of the New York Central, but in the terri- tory which it serves and, not unlikely, in New England. The other side of the week's picture of events includes a number of im- portant dividend reductions by corpora- tions that up to the present time have been able to maintain their regular i Tates; the failure of more banks, of Wwhich several were of substantial size; | panies in the amusement field. The first month of the year is ending with a moderate net advance in the prices of stocks. The month has also brought a small gain in some phases of industrial activity, as in iron and steel, where production is several points higher this week than at end of 1932. ‘The output of the power and light com- panies is being well maintained. Car loadings show signs of a_ volume of traffic that will gradually balance the losses of last year. Commodity prices are affected by the extreme weakness of a limited number of items that go to make up the aver- s 2ge. Strong Cash Position. The striking feature of many reports of industrial and public utility corpo- rations recently has been a strengthen- ing of their credit situation coincident with a decrease in their revenues. is also taking place among many mer- cantile firms that have gradually re- duced their holdings of commodities and merchandise and are today in strong cash position. There are count- less corporations and firms in the coun- try that are in a position to go ahead on a profitable basis and without much additional banking credit as soon as confidence is restored and there is evi- dence that commodities have been sta- e (Copyright. 1933.) CHICAGO LIVE STOCK MARKET CHICAGO, January 28 () (United States Department of - Agriculture). — Cattlé—Receipts, 1,000 head; compared week ago weighty steers 15a25 lower; big weights, 25a40 off; heavy steers, 1406 pounds, averages 6.00; bulk heavies, 4.25a4.75; big weights, 3.25a 3.80; light steers and yearlings general- 1y steady; lower grades active; extreme top long yearlings, 7.25; bulk, 4.25a 6.50; light heifers and mixed yearlings uneven, strong to 25 higher on lower grades; weak to 25 lower on better grades; best heifers, 5.75 in load lots; light weight beef cows, also cutter cows, firm to shade higher; heavy beef cows lower; supply weighty steers excessive; i}ml:kem weak to 25 lower; supplies ght. Sheep—Receipts, 1,000 heed; today’s market nominal; for week ending Fri- day 84 doubles from feeding stations, 16,200 direct; market erratic; lambs scaling under 90 pounds, mostly steady; heavier weights weak to unevenly lower, off 50 in instances; sheep largely steady; closing bulks follow: Desirable S50me.0; ted Weaterns. grading. good .506.00; esterns and choice, 5.00a6.00; around 100 pound weights going at inside 3 week’s early top, 6.65; fed yearl 4.50a5.25; aged, 115-125 pounds, - 00a3.25; fat ewes, 2.00a2.75. below Priday; weighty kinds 10 lower; 170-220 pounds, 3.40; early top, 3.40; 230-300 pounds, 3.35. compared week ago steady to 15 higher; shipj took ; holdovers, 1,000: light lights, good and choice, 140-160 pounds, 3.25a3.40; light m 160-200 pounds, 3.30a3.40; weights, 200-250 pounds, 3.25a3.40; heavy weights, 2 3.00a 3.30; packing sows, 550 , 3.5082. and choice, 100-130 pounds, and the apparent disintegration of the | capital structure of important com- | dull, draggy; bulls firm; vealers, 50a75} | tions during the week were reported [in shoe-producing centers, where fac- tories are broadening their schedules to take care of Spring orders, says Dun's Review. Business thus far booked gives promise of shoe output during the first quarter running slightly ahead of the comparative record of last year, as stocks have been allowed to decrease to minimum proportions and in some instances have been almost depleted by the January clearance sales. The New England mills are sell- ing moderate quantities of cotton yarn, and there has been some increase in the orders for knitting yarns, with prices slightly firmer. Mills are buying raw wool somewhat more freely, and the demand for piece goods from the ap- parel trade is increasing; men’s cloth- ing factories are buying more freely. Better activity is noted in worsted and woolen yarns, and the demand from the bathing suit and sweater manufac- turers is active. Jeresy cloth yarns also are selling well. Motor Products Activity. The industrial situation is being im- proved by the seasonal activity in mo- tor products, in preparation for the Spring buying revival. Manufacturers are doing everything possible, regard- less of expense and profit, to hasten an upturn. Production schedules have been stepped up in a number of auto- mobile factories, resulting in & consid- erable increase in the forces engaged in these plants. This improvement is reflected to a somewhat lesser degree in some automobile establishments and in rubber tire plants in a few localities. ‘There has been & slight improvement in the output of steel, although current operations are dependent largely upon hand-to-mouth specifications, finishing mills having limited backlogs. Flat- rolled steel statistics reveal but a slight gain in unfilled tonnages during Decem- ber, and buying over recent weeks has not been in sufficlent volume to increase working schedules materially, though scme ex{mnsbn in automotive materials is anticipated. The demand for plate and window glass continues slow, al- though there is a slightly better demand for safety glass from automobile sources. Bituminous coal production is at a somewhat lower rate, and the demand from both industrial and domestic sources is light. Although production of crude ofl is at a lower rate, prices have been reduced on some grades of oil to the lowest point in more than thirty years. Smail manufacturing companies are reopening in increasing numbers in va- rious parts of the country, and reports of wage reductions and lay-offs are be- coming fewer each week. Conditions in the furniture industry are more encour- aging, and some of the floor-covering manufacturers, particularly those mak- ing linoleums and rugs, are planning in- creased schedules during the next few weeks. Manufacturers of some of the low-priced radio receivers are continu- ing operations about at the December level, which was slightly above the No- vember record. The chemical industry has held a fair proportion of the gain of last Fall. Other Industries. Nearly all of the jewelry manufactur- ers, on the other hand, report current operations below those of the compara- tive period of last year. The electrical au‘xply business is slow in yielding any indications of progress, and manufactur- ers of plumbing and heating supplies find that orders are fewer than they were & year ago. Manufacturers of pa- per, cardboard and envelopes, in con- trast, have noted an improvement since the first of the year, and are expecting a gradual expansion in demand, due to the better inquiries that printers are recelving. The thread business has picked up sharply since the first of the year, and manufacturers are looking forward to a season fully as good as that enjoyed last Fall, which was a de- cided improvement over the situation that prevailed during the Spring and Summer of 1932. SILK PRICE SWINGS STIR TEXTlLE TRADE Economic Conditions in Japan and Currency Depreciation Have Had Sharp Effects on Quotations. Special Dispatch to The Star. NEW YORK, January 28.—Swings of silk prices provide a topic of consider- able conversation in all textile trades today. These fluctuations result from numerous causes, foreign and domestic, on both the supply and demand side of that commodity. Nearly 97 per cent of all the silk used in the United States comes from Japan, where economic conditions have caused the government to export as much silk as possible to pay its external obliga- tions, maintain military operations and aid the silk farmer. When Japan went off the gold standard its currency, the yen, iated in terms of American dollars. 'This factor aggravated the silk supply situption. The Japanese' government by control- ling btge production of fll:ltmllm and possil controlling raw sales, is attem L side of the si problem. (Copyright. 1933.) Gain in Motors’ Pay Roll. NEW YORK, January 28 (#).—Gen- eral Motors Corporation announces that the number of its employes in the States in 12,642 in De- was 26,375 and al it was a seasonal movement, the -in. 1 —iSSS 1 (Copyright, 1933.) Classified Ads Pages 5 to 12 FARM POPULATION | SHOWS SHARP GAIN Increase of 2,000 in Three Years Results From Ex- odus of City Dwellers. BY CHAS. P. SHAEFFER. The present back-to-the-farm move- ment is estimated by the Department of Agriculture to have swollen farm population to approximately 32,000,000, or very close to the peak of 32,077,000, which was reached on January 1, 1910. Three years ago the total farm pop- | ulation was estimated at 30,169,000. | Thus the increase was almost 2,000,000 | during the last three years, indicating | that several hundred thousand fami- lies have moved from city to country. | Farm population figures indicate that | the exodus from city to farm is the | backwash of unemployment. The city | population was bullt up rapidly during | the war and the boom period which ended late in 1929, attracted by the higher standard of living resulting from the prevailing high wage scales in every line of industry. Officials of the department declare that the depression and city unemploy- ment have turned not only the sons and daughters of the farm, but others to the agricultural regions. The attrac- tion, they say, was the chance to make a living that the farm accorded, as well a5 the opportunity to grow foodstuffs. ‘The movement, however, is not with- out dissension. The farm communities in various sectors have registered the objection that the influx means addi- tional school facilities and relief for those in distress, in addition to more competition from a group already hard put to keep going. City officials, welfare agencies and chambers of commerce are encouraging the movement. The compensations of- fered by it include providing a market for farms, many of which are in the hands of banks, insurance companies and other loan agencies, and tenants for farms which were unoccupied, as tenants are considered more desirable than empty houses. PLANE CONTRACT MEANS WORK FOR 1,000 MEN Special Dispatch to The Star. BALTIMORE, January 28.—Construc- tion of 38 bombing planes at a total cost of $2,080,890 for the United States Army by the Glenn L. Martin Co. will entail the employment of approximately 1,000 additional men at its Middle River plant here. “Work will be started at once and be- fore March 1 we will take on about 150 extra men, pending the completion of the engineering details,” Mr. Marti said. “By June 1, there probably will be more than 1,000 additional workers added to the plant for the construction of the planes. “Baltimore aeronautical engineers are responsible for many of the features of the new ships, which are of an entirely new pattern and design. The ships will be twin-motored monoplan es.” RAILWAY INCOME GAINS 3 PER CENT IN DECEMBER By the Associated Press. NEW YORK, January 28.—The first over the $17,161,000 shown by the same roads in the like month of 1931. December results showing an improve- ment over those of 1931 were reported by 24 of the carriers. — Cotton Forwardings. NEW YORK, January 28 (#).—For- wardings of American cotton to world By D. & H. Called Protective Move Rail Stock Deal | | | Loree Indicates Purchase | Did Not Mean Opposi- tion to Merger Plan. By the Associated Press. NEW YORK. January 28—One of the reasons motivating the Delaware & Hudson Co.’s purchase of a 10 per cent interest in New York Central g:flmtd was to protect the former's position in future consolidating negotiations, ac- cording to President Leonor F. Loree of D. & H. He indicated, however, that the move did not mean his road would oppose the four-system Eastern consolidation plan approved last Fall. Loree also disclosed some further in- formation concerning investment, in- volving about 500,000 shares at a cost of $10,000,000. “We began buying at 10" he said. “We thought that was the bottom. No thought was given to buying the stock when it declined to 8% last June,” he said. Loree indicated he was satisfled that any loss in income to Delaware & Hud- son through purchase of New York Central, which is paying no dividend, would be offset by the strengthening of his road's position in future con- solidation moves. “It may be three or four years before New York Central resumes dividends,” he remarked. “It's any one's guess as to how rapidly we recover.” —_— FILM SECURITIES OF RECENT ORIGIN Most Obligations of Amusement Companies Now Facing Default Are About 3 Years 0ld. Special Dispatch to The Star. NEW YORK, January 28—It is significant of the swift change that has taken place in the amusement indus- try that most of the obligations of the film producing and theater companies that currently are facing default have been issued within the last three years. ‘The $15,000,000 of Paramount-Pub- 1z 5155, on which interest will be de- faulted next Wednesday, were brought out in A t, 1930, at 94 ‘Th are now sel at about one- price. The Radio-Keith-Orpheum 6s, amounting to $11,600,000, were issued as late as December, 1931, with the hold- ers of the old stock of this company privileged to take them on a pro-rata basis to the stocks held. They sold last year as high as 85% and have re- cently been quoted around 10. In 1930 the Warner Bros. Picture Co. sold $19,000,000 of 6 per cent debentures to shareholders on the basis of a $500 bond for 68 shares of common stock. ‘This bond was one of the speculative features in its day, selling as high as 113!5. This week it has been as low as 15. Last year it sold at 9%. In 11, 1931, the Fox Film Co. ed $30,000,000 of 6 per cent notes at 98 to pay off, in part, an issue of notes of like coupon that were then maturing. The outstanding notes are now quoted at about one-sixth their original price. (Copyright, 1933.) CHICAGO DAIRY MARKET. CHICAGO, January 28 (#).—Butter— 9,745 tubs; unsettled; creamery specials (93 score), 17a17%; extras (92), 1615; extra firsts (90-91), 16% ; firsts (88-88), | (). 153,a16; seconds (86-87), 152; stand- ards (90 centralized car lots), 18%5. Eggs—§,880 crates; : firsts, 1332 fresh traded firsts, 13; cur- rent receipts, 12%. 5 BALTIMORE TRADE IN STEADY TREND Assoclation of Commerce Head Cites Figures on Business of Year. Special Dispatch to The Star. | BALTIMORE, January 28.—Figures submitted to members of the Baltimore Association of Commerce by its presi- dent, Albert D. Huteler, at the annual meeting, confirmed the fact “that Bal- timore business has steadily held up better than the business of any other of its major competitive cities during the depression.” ‘These figures were the result of re- | search into four major commercial in- dices—debits to individual account, de- partment store sales, new automobile sales on a basis of new car registration, and building permits. In each of the indices the year 1932 was compared with the years 1920 and 1931. In compering the year just past with 1929, Mr. Hutzler said Baltimore had 8 better showing than any one of the cities used in the comparison. Balti- more debits to individual account in 1932 were 64.9 per cent of the figure for 1929 and 20.4 per cent higher than the 1929 average of 11 other cities, including New York, Chicago, Detroit and Philadelphia. Baltimore department store sales were 72.2 per cent of the 1929 figures. In 10 other cities the figure was 60.6 per cent. New car sales in Baltimore were 435 per cent of the 1929 mark, while in eight competitive cities the com- parative percentage was 34, or 9.5 under that of Baltimore. The dollar value of building permits here in 1932 were 41.2 per cent of the 1929 figure, while in 11 other cities the percentage was cnly 17. The advantage that Baltimore main- tained in 1932 compared with 1929 in other cities was not so unanimous when compared with 1931, but was sufficient, said Mr. Hutzler, to show that while other cities: were reported in the “crimson, Baltimore was fortunately just merely in the plain, ordinary red in comparison.” In comparing the year 1932 with 1931, Baltimore debits to individual ac- counts held up 7.6 points higher than the average of other cities: department store sales were 4.4 higher. automobile sales were 1.7 higher and bullding per- mits were 17 higher. BANKS INCREASE ASSET RATIO IN RECENT MONTHS Special Dispatch to The Star. BALTIMORE, January 28.—In the last six months of 1932 the ratio of liquid assets to deposits of the 21 Baltimore commercial banks and trust companies increased from 65 to 71.5 per cent. Total resources and deposits declined slightly, while liquid assets rose 11.:] per cent. On December 31 liquid assets totaled $241,428,777.65, deposits, $311,296.486.52 and total resources, $410,520,844.05. PROSPECT OF DEBT SETTLEMENT STIRS MARKET INBRITAIN Business Men Cheered by Roosevelt Offer to Talk Over Situation, GERMAN TRADE SWAYED BY DOMESTIC POLITICS French Are Hopeful That U, 8. May Grant Equal Debt Re- vision to All Europeans. Special Dispatch to The Star. NEW YORK, January 28.—Cables and wireless dispatches to the Business Week give the following survey of busi- ness abroad for the week ending today: London.—President-elect Roosevelt's offer to talk over the war debt situation has had a dominating influence on British business this week, and it has been a good one. Markets were more cheerful, sterling was boosted, com- modity prices were firmer. Britain is prepared to act promptly. MacDonald is expected to head the British deleza- tion which will discuss the debt ques- tion. And the biggest bargaining factor is expected to be a return to gold by Britain (and, automatically, by the sterling bloc of nations). There has been increased confidence in domestic circles ever since Britain's declaration at Geneva that the country would not return to gold until some International agreement had been reach« ed on future monetary policy and the removal of restrictions in numerous countries. The chance to talk with ‘Washington is soon expected to ine fluence sentiment optimistically. It is quite possible that major decisions will have been reached by the time the United States Congress is called into special session shortly after the inaugus ration. Money Supply Large. The new issue position is hopeful, for there is plenty of money waiting for investment. The £2000,000 issue of Daily Mirror Newspapers debentures of- fered January 23 was oversubscribed in 10 minutes. Not only is money Iymi idle on low deposit rates at banks, bu last year the small savings that went into national savings certificates show= ed an increase. December bank deposits made a record total of £1.983.1 millions, an increase of f2.46 millions over De= cember a year ago. Berlin.—Another political battle is om in Germany. Fortunately, a part of 1% is screened from the general public. Enough of it, however, has taken place in the open to have weakened publie confidence temporarily. Stock markets were unsteady during the week and the turnover much smaller than in recent weeks. Executives aré nervous. Industry is highly indignant at continued talk of further protectiom for agriculture. Farmers roused the anger even of patient President vom Hindenburg by claiming that the pres- ent government was treating them even worse than any former ‘“Marxist cabe inet” Old President Hindenburg was 50 hurt personally by this that he broke off relations with the Farmers' Union and its leaders. The December anti-seasonal expan= sion of foreign trade, though moderate, is encouraging. So is the rise in the December production indices for coal, steel and cement. There are more in- quiries for German machinery. but not much of an increase in actual orders. Hoarding has been declining for seve eral weeks. And with incoming Rus- sian gold, Germany has been helped in meeting foreign pavments. Unemploy- ment is no longer rising. Paris.—The problem of war debts has again come to the front with the an- nouncement that the United States is willing to cpen new negotiations with the debtor countries which made their December 15 payments. Though Francs is ranked the foremost defaulter, an therefore is not yet invited to discuss the problem, the French consider thema selves only technical and temporary des faulters, since officially, as yet, they have only deferred the last paymenty and Paris ts not convinced that Enge land will be able to make any defini decision at Washington withoat Frenc] approval. Unemployment Gains. Besides, the French trust the “gentle~ men’s agreement” absolutely as a means finally of forcing the United States to grant equal reductions to all Europeans without any discriminations whatso~ ever. Though business in spots shows ime provement, unemployment is increasing at the rate of 10,000 a week and is ;nlrzndy 30 per cent above the total for last year. TRADERS IMPRESSED BY RALLIES IN RAILS Carrier Issues Have Been Leader in Recent Upswing on New York Exchange. Special Dispatch to The Star. i NEW YORK, January 28.—The leads ers on almost every market rally are the railway shares. Strength in this quarter always makes a favorable im< pression on speculative Wall Street, and never more so than today. Such wide publicity has been given to the troubles of the railroads and there has been so much talk about the need of reorganizations for various weak members of the group—talk that has good foundation, too—that any im- provement marketwise is taken as & ood omen. . Among the reasons for the increased favor with which the rails are viewed Cash items of practically all the banks | are the Loree coup in New York Cen- exceed considerably the legal ments. per cent over June 30. Will Open Furnaces. npén-hnnh 30, 1t Unfavorable Dividend Clupm. NEW YORK, January Statistics Co. reports 1 require- ‘They totaled l;'l,l?'l.fl:!tt;‘.sfi (;l; December 31, a gain of more than that many of the banks have a higher perneg‘me of and cash items than perhaps at any previous their history. YOUNGSTOWN, Ohio, January 28 —Carnegie Steel Co. will put several furnaces, & Bessemer plant and one blast furnace to work January announced. tral, the restoration of the Pennsylvania to the dividend list and the better com- parison net earnings are making with the same period a year ago. (Copyright. 19 Trading in Defaulted Bonds. NEW YORK, January 28 (#)—The New York Stock Exchange has ruled that trading is permissible in defaulted foreign bonds where foreign exchange restrictions make impossible transfer of funds for service on government, pro- vincial and municipal dollar issues. The regulation applies initially to these bonds: Hungarian Consolidated Muni= cipal Loan 7s and 7l3s, Province of Lower Austria 7'>s and 615, City of 28 () —Stand- | Vienna 6s, and Province of Styria (Aus- 35 unfavorable | tria) crease Ts. SILVER QUOTATIONS. ‘were NEW YORK, January 28 (#).—Bap i hgher at silver steadler, % 25%. )