Evening Star Newspaper, April 2, 1933, Page 55

News of Markets Pages 1 to 4 FINANCIAL AND CLASSIFIED he Sunday Star Part 6—12 Pages WASHINGTON, D. C., SUND AY MORNING, APRIL 2, 1933. GASCONPANY NES §1523 I MONTH FORDROPOF S February Report Shows De- cline From Figures of Same Period in 1932. D. C. BANKING SITUATION UNCHANGED DURING WEEK Conservators of Closed Institutions Continue Efforts to Put Them cn Sound Basis. BY EDWARD C. STONE. Operating revenues of the Washing- ton Gas Light Co. amounted to $585,- 440, against $549,029 in February, 1932, or an increase of $36,411, according to the monthly statement filed with the Public Utilities Commission yesterday. Operating expenses inciuding taxes and uncollectible bills totaled $358,959 in comparison with $352,661 in Febru- ary, 1932, leaving a net operating in- come of $226.481 against $196,367 last year. 2 Non-operating income decreased from $1,196 to a deficit of $4.367 this year, Jeaving a gross corporate income in February of $222,114 compared with $197,563 in the same month last year. After interest deductions, the company reported a total net income for the month, before dividends, of $115.223 compared with $129,986 in February, 1932. “The gas company also reported earn- ings for the two months of the present year showing operating revenues of $1,145.703 against £1,122,740 a year ago. Operating expenses, taxes and uncol- lectible bills called for $724.392 com- pared with $704.820 lest year. leaving an operating income of $421,311 against $417,920 in 1932. Non-operating income declined $7.308, resulting in a gross corporate income of $412,836, compared with $416,753 for last year. After interest deducticns, the net income totaled $225.234 @2gainst $282,682 for the same period last year or a decrease of $57,448. Georgetown Gas Net Higher. Operating revenues of the George- town Gas Light Co. amounted to $135,- 429 against $127.942 in February last year, or an increase of $7,487. accord- ing to the monthly statement filed with the Public Utilities Commission yes- terday. Operating expenses including taxes and uncollectible bills totaled $126,950 in comparison with $105,505 in Febru- ary, 1932, leaving a net operating in- come of $8,479 against $22437 for the 'vious year. m;lon-openung income decreased from $1,624 to $1,536 this year, leaving a gross corporate inccme in February of $10,015 compared with $24.061 in the same month last year. After interest deductions, the gas company reported a net income for the month of $5.675 against $19,520 in February, 1932. The gas company 2lso reported earn- 4ings for the two months of the present year showing operating revenues of $260,558 against $247,700 a year ago. Operating expenses, taxes and uncol- lectible bills called for $243,666 against $205,280 last vear, leaving an operating income of $16,892 compared with $42,- 420 in 1932. Non-operating income increased $648. yesulting in a gross corporate income of $20.784 in comparison with $45664 for last year. After deducting interest charges the net income totaled $12.095 against $36,595 for the same period last year or a decrease of $24,500. D. C. Bank Situation Unchanged. The banking situation in Washington ended the week without change. The 20 banks, which received Treasury li- censes to carry on 100 per cent oper- ations, were rushed with business, took many new accounts and reported heavy deposits. In some instances officials re- ported business even better than normal, explaining that some of this increase must have been at the expense of closed banks where depositors were forced to make new banking connections, at least temporarily. Bankers also referred to the “new spirit of confidence” among their customers. The 13 banks which did not receive Government_licenses to reopen at the conclusion of the Nation-wide bank holi- day, were still without sych licenses yes- terday. It is understood that no efforts are being made toward reopening of the Park Savings Bank. Most of the other 12 are hoping to work out of their pres- ent difficulties and reopen ‘'soon. Conservators and other officials are bending_their energies toward meeting all the Treasury'’s rigid requirements. How soon any of these banks may be rmitted to reopen, could not be earned at the Treasury Department yesterday. Treasury officials are swamp- ed with bank requests from every part of the United States, asking for Iicenses to reopen. or pleas more light on certain regulations. Officials are also being buried with information about in- dividual banks, all of which has to be checked over in detail before the final decisions on permitting resumption of business can be reached. While Treas- ury officials declined any comment whatever, it is known the Federal Gov- ernment is actively working to reopen local banks when possible Conservators in the local banks are doing their best to sirengthen their po- sitions. It takes time to raise new capi- tal, especially in these days. In cases where individual depositors are being asked to subscribe for new stock. a good deal of time is required. If new pre- ferred stock is to be taken by the Re- construction Finance Corporation, this organization must go over each bank's status in detail These are only a few of the reacons why some banks have not reopened. ‘They merely show why so much time is being absorbed. As oue conservator { | said yesterday, “We are sawing wood.” | In the meantime, it looks like a big woodpile, cepositors are getting more and more anxious to have their money released and the city's business inter- ests are suffering from having so much buying power tied up. Investment Trust Adds Stocks. Waggamann, Brawner & Co.. Inc., Jocal investment firm, is distributing a circular on Incorporated Investors which shows that several changes have recently been made in the trust’s port- folio. The company has added 35,500 shares of common stock of leading American companies during the first Quarter of the present year. Such stocks were added to the list @s Atchison, Topeka & Santa Fe, Chesapeake & Ohio, Commercial Sol- vents, Delaware & Hudson, Owens Illi- nols Glass, United Aircraft and United t. CHICAGO DAIRY MARKET. CHICAGO, April- 1 9.600: steady; prices unchanged Fags, 26,242; steady to firm; extra firsts, 1215 ; fresh graded firsts, 12; ceipts, 11 (®) —-Butter, current re- { Special Dispatch to The Star. i EW YORK, April 1.—The work of rebuilding bank reserves that were depleted before the holiday goes on satisfactorily. It is most plainly shown in the change this week of the reserve ratio of the 12 Federal Reserve Banks and the Federal Reserve Bank of New York. On March 8 the reserve figure for all of the banks dropped to 45.6 per cent. It is now up to 57.8 per cent. That of the New York bank fell on the same date to 41.4 per cent and at present is 522 per cent. Both, how- ever, are far under the ratios of a year a go. The most important change that has occurred in the last three weeks is the increase of $553,000,000 in the total gold holdings of the Federal Reserve Banks. From $2,683,539,000 on March 8 this item has advanced to $3,236,766,000. Be- tween February 1 and March 8 there had been a decline in the monetary gold stock of Federal Reserve Banks of $305,000,000 and in the gold reserves of the banks of $571,000,000. Since March 15, when the holiday was abandoned for all solvent banks, there has been s reduction in currency circulation of $1,185,000,000. Figures dealing with the deposits of | the banks are not available to show the present size of this item. It is known GAIN IN BANK RESERVES SHOWN BY FEDERAL RATIO Figure Has Advanced From 45.6 Per Cent on March 8 to’57.8 at Present. | that there has been a heavy gain by many commercial banks and that in | numerous_instances deposits have ex- ceeded withdrawals among the mutual savings banks. The figures of the New York Clearing House banks indicated that last week they gained $114,000,000 over the week previous. Inasmuch as the reporting member banks in New York City in all lost $1,042,000,000 in deposits between Feb- ruary 1 and March 1 and an additional amount between March 1 and March 4, it is obvious that it will require con- siderable time for them to recover their lost ground. During February all of the reporting member banks of the country had a shrinkage in deposits of $1,876,000,000. The effect of an increase in the de- posits resources of the banks and a de- crease in their reserves has had a pro- nounced bearing on money rates. In January the member banks had excess reserves of $600,000,000. By the first of February those of the New York banks alone had dropped from $356,- 000,000 to $179,000,000 and on February 15, they were below $30,000,000. Later these banks were heavy borrowers at the Federal Reserve. The reverse of these conditions is now taking place. At the same time a decline in money rates has developed which is almost as pronounced as their recent advance. (Copyright. 1933.) INVESTMENT BOND PRICES DEPRESSED Financial Circles Anxious Over Proposal for Federal Control of Exchange. Special Dispatch to The Sta: NEW YORK, April 1.—The invest- ment market had a dull, draggy tone during the past week. Its performance was evidence that uncertainty still | rules and that little may be expected of securities until prevailing clouds are cleared away. Chief among these is Wall Street’s anxiety over the presidential proposals to place security exchanges under Fed- eral control. In general the financial community approves of the provisions .of the bill to govern new security is- sues. No one is more eager to enjoy the full confidence of the public than brokers, promoters and bankers. No one is more desirous of nwu(wfi chaff from ‘the wheat than ai security exchanges. Restrictions Discussed. But when the restrictions on securi- ties reach the point where they seri-' ously” threaten the volume of business that brokers are doing, the picture changes. Without going into the merits or otherwise of short selling, pool oper- ations, loaning money on stock collat- eral and other practices that are ex- pected to come under Federal inspec- tion, it may be confidently stated that a market restricted entirely to invest- ment buying and liquidation of a neces- sitous character would be narrower than anything the Street has seen at any time during the depression. Many brokerage houses would go out of busi- ness. C banks that have large amounts of securities to sell before they can put themselves in liquid shape and reopen would not be able to get anything like fair prices for their offerings. Wall Street is confident that the curb on speculative operations will be lighter than was first expected. be- cause it is inconceivable that the ad- ministration would place any obstacles in the way of the successful cleaning up of the banking problem. What Ls' expected is a cutting down on brokers' loans, measures to prevent pool opera- tions and strict supervision of short selling. No new restrictions are ex- pected to be placed on bond trading. One feature of the week was the in- terest displayed in certain extremely low-grade bonds. Junior issus of the Missouri-Pacific, Chicago & North- western, Nickel Plate, Erie, Illinois Central, St Paul, and Southern Rail- way were bid for in fairly large blocks by speculators intending to hold them with the idea thaf they will come out in the end, after railroad reorganiza- tion, with income bonds, preferred stocks and common stocks. German Situation. The German situation brought out a great deal of selling of German bonds, both from local investors and from Eu- rope. Support was encountered in the best German issues on the decline, | though there was a tendency to sell German municipal bonds and transfer the money into American securities. Most inquiries from abroad have been | for investment grade stocks and prime | bonds. Canadian and Australian issues | have been under accumulation on the theory that conditions in those domin- | ions have much improved already and | that the balancing of their 1933 budgets is close to being accomplished. (Copyright. 1933.) COMMON STOCK GAIN | IN MARCH COMPUTED Market Value of 100 Issues Shows Advance of 4.8 Per Cent During Month. | | Special Dispatch to The Star. NEW YORK, April 1.—The market | velue of 100 representative common stocks increased $353,409,000, or 4.8 per cent, in March to $7,703,803,000 at_the end of the month, according to Fra- zier Jelke & Co., thus regaining ap- proximately 20 per cent of their ex- | tensive February losses. With the exception of the utilities, which depreciated $171,033,000, or 13.8 | per cent. each one of the 13 sub-groups | constituting the index advanced. The loss in the 10 utilities was greater than the combined improvement in the 40 issues constituting the building, re- tailing, chemical, electrical manutactur- ing, railroad equipment and railroad groups. The largest gain in dollars in March was an jmprovement of $92,426.000 in the olls The miscellaneous industrials advanced $69,789,000 and the foods, $65,982,000. SILVER QUOTATIONS, Banker Retires TRUST COMPANY TREASURER HAS 42-YEAR RECORD. CHARLES E. HOWE, Who recently resigned as treasurer of the American Security & Trust .y concluded 42 years of enviable service with the bank yesterday and was suc- ceeded by James E. Dulin, jr. He had held the treasuryship over 20 years, during which time he was one of the outstanding bankers of the city. Late- ly, on account of his health, he decided to withdraw from active banking, but will continue to live at the University Club, with frequent visits to his old home in Mifflintown, Pa. Years ago Mr. Howe did a great deal of financial news writing. For a dec- ade he was editor of a publication which covered the news in the local financial district and from time to time pre- sented considerable comment on local securities. That was in the days when but little financial news was printed in the daily papers. The late Albion K. Parris of Crane, Parris & Co. also did the same kind of writing. Mr. Howe enjoyed economic discussions and the publication eontained much humor along with financial facts. The trust company finally sold the financial sheet to a Boston firm and it eventually faded away. But the files at the bank show it had a brilliant record while in its glory. During the three decades that the late Charles J. Bell was president of the trust company Mr. Howe was one of his most able assistants. The retir- ing official holds a law degree from George Washington University, is a graduate of Princeton University, mem- ber of the University and Chevy Chase Clubs and is a thirty-second-degree Mascn. Two years ago Mr. Howe acted as chairman of the safe deposit section of the District Bankers' Association. He has always been a close student of economics and an inveterate reader. A great lover of art, he is an excellent judge of rare pdintings. Once, while attending an art auction, the buyers were so numerous that they were in separate rooms. When the bidding was the liveliest Mr. Howe found, to his great dismay, that he was bidding against the president of his own bank, { Mr. Bell. | AS LOWER IN FUTURE It is not quite an accepted conclusion, but it is almost so, that banking in the future will not be a highly profit- able occupation, says the Nation's Busi- ness. Profits are to be limited not by Government fiat, but by ordinary cir- cumstances. There will be stricter Gov- ernment regulations, no opportunities for loose financing of back-door security affiliates. Profits will be smaller, but herhaps steadier. There will be fewer salaried bank officers, many of whom heretofore have been superfluous. The mortality will be greatest among the weak banks destined to become branches. In cne sense, banking is headed to- ward the status of a public utility, to be privately owned, privately managed, but as closely supervised as other pub- lic utilities are supposed to be. This is a somewhat loose statement, but is im- pressionistically accurate. Some wise men think banking will rapidly become mutualized, as life in- surance has largely become. One danger, of course, is in the up- sprouting of novel forms of private financial institutions designed to evade stricter banking laws, the Nation's Business concludes. Unfavorable Dividend Changes. NEW YORK, April 1 (#)—Standard Statistics Co. reports 368 unfavorable dividend changes in March compared with February's total of 122. The ag- gregate for the first three months of | 1933, however, was lower than for the corresponding period of last year—625 against 892 Bonds in Default. CHICAGO, April 1 (#).—More than SECURITY MARKETS ARE LOSING GROUND ONFORCED SELLING Deflation Process Is Re- sumed After Recent Na- tional Bank Holiday. | WALL STREET AWAITING GOVERNMENT PROGRAM Decline in Money Rates Is Expect- ed to Aid in Treasury Finan- cing Plans. BY CHARLES F. SPEARE. Special Dispatch to The Star. NEW YORK, April 1.—The fast-mov- ing picture of events in Washington makes the average business man dizzy. ‘While eager to subscribe to every new law or regulation that will benefit him individually or the country as a whole, there is so much he cannot comprehend that he is unwilling to make new com- mitments until clearer interpretations are available. Consequently, trading in securities has fallen back to the low volume of January and there is a prevailing dispo- sition to let things drift. Partly responsible for this is the fact that we are still going through the proc- esses of deflation. This has been em- phasized since the bank holiday. New words have come into the vocabulary of business; old ones are being given fresh prominence. “Conservator, “rehabili- tator” and “co-ordinator” or “dictator” now all have a connotation with en- forced economies, or, in other words, with further deflation. Incomes Further Reduced. The process of deflation is going on in other directions and at great cost to those whom it involves. One of the features of a proposed farm relief bill is the shaving down not only of the principal, but the interest on farm mortgages. There is practically a mora- torium on the payment of interest on guaranteed “real estate mortgages in Greater New York and either a cessa- tion or a reduction in interest payment on mortgages elsewhere. Altogether this involves incomes run- ning into hundreds of millions of dol- lars a year that had been quite im- mune from the effects of the depression until a year ago, but which, in the last six months, and especially since the first of this year, have been sufféring a ::pl: relgr!lléctlon. thv‘m dthu b¢l:urtll].s e buying power of a erable body of large and small investbrs. At the same time there is a continuation, and recently an increase, of the corporation policy of omitting dividends in order to conserve resources. In this movement the banks of the country have this month been rapidly falling into line. There is quite general satisfaction with the progress that has been made in re-establishing the banks of the country on a firm foundation. While there are several States in which the proportion of closed or banks operating under restrictions is high in comparison with institutions that are solvent, the percentage of bank assets still unavailable to depositors is rela- tively small. The recent banking episode, however, has made for a spirit of gen- eral caution. This is reflected both in retail and wholesale credit and in low volume of collections. Unsettlement in Europe. A bre survey of the situation must include the present political conditions abroad, for these are closely related to any change that may come in foreign trade. Germany occupies the center of the European -stage. The per- formance which the Nazis are putting on has been responsible this week for heavy liquidation in German dollar bonds, which have lost all of the gain made a few months ago. Holders of these bonds are adjusting their minds to a scaling down of interest pay- ments and to some defaults. It is gradually becoming more evi- dent that such recovery as takes place in this country must grow out of the attention that the American people give for the present to their own affairs, for with continental Europe in such a chaotic condition politically many months must elapse before there can be anything like a normal flow of inter- national trade. Under the circumstances, markets for securities have exhibited a great deal of stamina. With all of its depressing ef- fects, the month of Margh produced a moderate net gain in stocks and a small average advance in bonds. Money rates are gradually declining, giving a stronger basis on which to build a case for a long-term issue of Government obligations. This should be promoted at the earliest possible moment. The public is now in a mood to follow the lead of the administration in any movenr.at to strengthen its hand, while at tne same time gaining possession of the best security that the world offers at an attractive rate of interest. (Copyright, 1933.) APPALACHIAN COALS SALES PLANS READY Co-operative Agency, Launched Today, Includes Several Formally Companies in Virginia. By the Associated Press. NORTON, Va., April 1.—Offices of the | Virginia Coal Operators’ Association have been busy this week winding up preliminary work and gathering final data from the 13 member coal com- panies in preparation for the formal launching today of the Appalachian Coals, Inc., co-operative and _mutual sales agency. The Southern high-volatile coal-pro- ducing area has taken on new life since the decision of the Supreme Court ap- proving the organization, which will operate with head offices in Cincinnati. Approximately 90 per cent of the normal Virginia tonnage of 10,000,000 tons’ annual production is represented in Appalachian Coals, at least a 10 per cent higher representation than from the entire section embraced by the organization, which includes the high-volatile ceals of Southern West Virginia, Virginia, Eastern Kentucky and Eastern Tennessee. Virginia member companies are Black- wood Coal & Coke Co., Blue Diamond Coal Co. Benedict Coal Corporation, Clinchfield Coal Corporation, Kemmerer Gem Coal Co. Norton Coal Co., Stein- $4,000,000 in bonds of the Associated Telephone Utilities Co., with properties NEW YORK. April 1 () —Bar sil- ver s » unchanged at g1 from coast to coast, went into default today. - - man Coal Corporation, Stonega Coke & Coal Co., Splash Dam Coal Corpora- tion, Virginia Iron, Coal & Coke Co. and the Coal G . | Classifie d Ads Pages S to 12 NOW FOR A REAL TOUGH ONE NEW MONEY ISSUE TOTALS $14.228.000 Only Five of Twelve Federal Reserve Districts Have Used Currency. BY CHAS. P. SHAEFFER, Associated Press Business Writer. Statements that the new currency issue provided for in the President’s emergency banking act would flood the country with a debased money ap- pears definitely refuted in the current statement of condition of the Federal Reserve banks. So_great has been the confidence in the Government's efforts to reconstruct the banking situation, and render it solvent, that instead of the billions of dollars of new currency in circulation, as forecast in certain quarters, there was only $14,228,000 in the hands of the public at the close of business on March 29. ¥ Five Districts Make Demands. In making the announcement, the Federal Reserve Board revealed that only five of the twelve Reserve banks had taken advantage of the new cur- rency, these being Boston, New York, Philadelphia, Cleveland and St. Louis. New York had a total of $10,338,000 in actual circulation, Philadelphia had $1,641,000, Boston, $1,468,000, Cleve- land $745,000 and St. Louis $36,000. Treasury officials declare that the very limited supply of this new money in circulation is due almost entirely to an abated fear on the part of bank de- positors. They declare that the imme- diate hysteria attending the national banking moratorium gave way to a new wave of confidence and co-operation on | the part of the American public, cre- ated When it became known their de- posits in opened institutions were avail- able when needed. ‘An examination of the collateral back of the new currency indicates that it is backed in the ratio of more than 2 to 1 in paper made eligible under the new bank act, and has a backing of 178 per cent in securities of the United States Government. The currency is- sued by the banks of New York and Philadelphia was backed exclusively by Government securities, while $5,000,000 of the $5.189,000 put up by the St. Louls institution was likewise in Gov- jernments. Boston and Cleveland, on the other hand, employed discounted and purchased bills exclusively. Expense to Banks. Still another minor factor mitigates against the issuance of such currency, namely, it is made an expense to mem- ber banks, which must borrow from the Federal Reserve banks to obtain it, -and which, if they have no eligible as- sets. must pay a penalty rate on their borrowings. This provision assures the retirement of the currency when it is no longer required, since member banks would certainly use returning money to reduce their indebtedness with their regional institution. DEMAND DEPOSITS GAIN $143,000,000 IN GOTHAM By the Associated Press. NEW YORK, April 1.—The feature of today's weekly statement of the New | York Clearing House Association was an increase of more than $143,000,000 in demand deposits, representing a fur- ther normal flow of funds back to the banks since the termination of the bank holiday. Other changes in the statement fol- low: Total surplus and undivided profits, $26,000,000 (decrease); total net demand deposits (average), $:43.756,000 (increase); time deposits (average:, $680,000 (decrease); clearings week end- ing today, $2,865.853,290; clearings week ending March 25, $2,880,849 572, b % Drop in Earnings Continues. YORK, April 1 (Special) —An- nual and interim earnings reports con- tinue to make unfavorable comparisons with those of a year ago. Out of 13 which came out in one day this week the losses ran from 4.4 to 48.6 per cent | of net income. Now and then a cor- Rise in Carloadings Of 26,138 Is Greater Than Seasonal Gain By the Associated Press. NEW YORK, April 1.—Freight traf- fie, according to latest statistics, is maintaining its improvement.. The rise for the week ended March 25 was 26,138 cars, all major categories with the exception of coke and ore showing larger loadings. The gain was somewhat better than seasonal, though too much weight was not attached to this record in view of the extraordinary distortions given to recent figures by the troubles from which business is trying to emerge. Pinancial circles are awaiting the a ministration's budget of railroad legis- lation, now expected soon. Forecasts as to what it will embrace, appearing at the week end were about in line with previous prophecies and included pros- pective appointment of a co-ordinator with sweeping powers to act in what may be called a “transportation em- ergency.” Nevertheless, the imminen of further reorganizations, similar to "hl::do[ the Missouri Pacific is recog- nized. FOREIGN EXCHANGE RULES TIGHTENED Sending of Funds to Europe Will Be More Closely Scrutinized. By the Associated Press. NEW YORK, April 1—A tightening of the original rules governing foreign exchange dealings, in order to guard against any possible flight from the dollar, is indicated in a self-imposed stipulation just agreed upon by the foreign exchange bankers here. Under the new promulgation an American citizen who endeavors to send funds to Europe will .be quizzed more rigorously than ever before. In examining remittances from for- eign clients, bankers here are requested to follow this procedure in the interest of uniformity: ‘Where a check or draft is drawn by an American in excess of $1,000 and negotiated abroad, the following memo- randum is to be attached to the check before it is sent through for clearing or collection: “The drawee’s attention is invited to the fact that the attached item bears a foreign indorsement which makes it incumbent upon the drawee—if the amount is unusual to the normal oper- ations of the drawer—to ascertain after payment that the transaction involved does not represent a transfer of credit to a foreign country in violation of the executive order of March 10.” The March 10 edict was the Treas- ury's original order prohibiting the ex- port of capital. Fred 1. Kent, a director of the Bank- ers Trust Co., is the foreign exchange “czar” who was appointed to pass on all questionable and border line situa- tions. He held a similar post during the war. In routine cases, however, the in- dividual banks and foreign exchange dealers are permitted to use their own judgment. Every effort is being made to avold interference with Ilegitimate business transactions. 5 gt d oty NEW YORK EGG PRICES NEW YORK, April 1 (Special).— Quotations for eggs in the wholesale cash market today were: Mixed colors—Special packs, 1415- 15% ; standards, 14-141;; storage packed firsts, 131%-13%; firsts, 13-13%,; sec- onds. 12%-12';; medium, 12; dirties, 12; checks, 11, Whites—Nearby selected, 211.-22%; Western receipts, specials, 18-20%; standards, 16-17; under grddes, 1415-15. Biowns—Nearby and Western special packs, 16-18; standards, 145-15. Cstton Exchange Seat Lower. NEW YORK, Avril 1 (#.—A New York Cotton Exchange membership sold BRITAIN'S BUSINESS QUIET, BUT HOPEFU Large Equipment Orders for Public Improvements Are Received During Week. Special Dispatch to The Star. dispatches to Week give the following survey of busi- ness abroad for the week ending today: London.—Britain’s business interest this week ran the gamut from appre- hension over political developmenis in Germany to satisfaction over the suc- cess of MacDonald’s visit to Geneva and Rome. Industries are not thriving, but iCe | the general business tone is good—bet- ter, probably, than in most countries. As far as the United States is con- cerned, London is more optimistic than a week question as to whether too many banks have been allor 5 counts for the rather cautious attitude of British bankers and traders. There is no fear now of departure from the 2) Equipment Orders. Among the equipment orders which have been placed with British indus- tries recently, the £6,000 order from Alexandria (Egypt) for harbor electri- fications, the £120,000 aircraft order which the Turkish government has placed with the Vickers-Armstrong Co., and the £5,000 Argentine boiler order placed with the same company, along with the £300,000 training ship order from Brazil are important. Brazil has also ordered an entire Diesel electric express for the Sao Paulo Railway. Paris. — Improvement in business, which has been suspected for several weeks, seemed a bit more concrete this week. At least the feeling that France is due for a certain amount of ‘“re- covery news” has spread rather hope- fully in the last 10 days. February turnover taxes were larger than those for January. This is the first time in Several years that any month’s returns have showed a gain. One dark spot in RETAIL SALES GAIN 1S BRIGHT FEATURE OF TRADE PICTURE Increase in Employment Also Noted in Several Lines of Business. COMMERCIAL FAILURES CONTINUE THEIR DECLINE Confidence in New Administration Proves Strong Factor in Ef- forts for Recovery. Special Dispatch to The Star. NEW YORK, April 1.—A spurt in the number of out-of-town buyers, in- creased sales registered in many branches of retail trade, gains in em- ployment in lines supplying Easter de- mands or brewing needs, a further de- cline in commercial failures and a pick-up in car loadings are among the more cheerful aspects of the business picture this week. Bank clearings, however, continue reduced, the boycott against German and services -here in protest against Nazi actions grows, political tension in various parts of Euroj quickens, and certain phases of the banking situation still await solution. Meanwhile farm activity, especially on grain acreages, continues at low ebb, indicating that some of the rise in commodities may be discounting smaller crops. This will be due to lack of operatable machinery, in many places 8 virtual absence of fertilizers, and prospective reduced plantings. Sentiment Hopeful. March proved a difficult month for nearly all branches of businéss and commerce, but there has been no set- back to the rising sentiment engendered by the acts of the new administration at Washington. Never an easy month from which to judge trends over the next half year, March of 1933 made the record of moving from fear and panic to some measure of financial safety and renewed commercial hope. Thus far employment has not im- proved sufficiently even in the busiest districts to increase consumer pur+ chasing power, on which broad base business must erect a foundation for a real forward movement. The grow- ing German boycott in the long run will not aid this' country, for Germany is the largest recipient of our foreign , Canada . excepted, States. Aside from a nousiced upturn men’s clothing -n?lm —~ nzmfl ress notescorics. shoes ane, ADAItk acct es, ish ings, leather goods, refrigerators, hard- ware and rugs, according to the review by Dun & Bradstreet, mm the Business| O excess of immediate requirements. The lineage of retail advertising in newspa- pers has almost doubled in the last fort- nig] and special promotional events conducted have been particularly allur- {:{um the appeal which the genuine es of the offerings make ‘Wholesale Buying. Commenting on the broadenéd whole- sale buying, the same authority states: coat and suit market enabled some of the houses to record the largest week's volume of the year, with Easter orders of a more substantial nature and more closely resembling normal purchasing power. Military and Congo models Brewing, of course, has helped lithog raphers, bottlers, carton, case and bar- rel makers, Inquiry for plate and wine dow glass quickened. Bar glassware was in demand. Bituminous coal pro- duction declined. Crude oil output rose. Textile mills received some late Easter orders. Lumber suddenly braced. Low grades of lumber advanced about 15 per cent, with Northern white pine, which is used in making boxes, and cotton- wood, used for beer barrels, showing gains of 20 to 25 per cent. It is esti- mated it will require at least six months to ship orders recently placed for mil- lions of white oak beer-barrel staves now urgently needed. (Copyright. 1933.) e S g PRODUCTION FIGURES SHOW UPWARD TREND Commerce Department’s Survey for the picture is the drop in wheat prices, which are down 10 per cent this week and are 35 per cent below the quota- tions for last year. Berlin.—Germany failed to register the “horrible dread” of the Nazi “anti- Jewish” atrocities which stirred the for- eign press and foreign diplomats in Berlin to strong protests this week. Politically, the country is not calm, but it is not so upset as seems to have been pictured abroad. Nevertheless, the reaction to the re- ports tempered the enthusiasm which has pushed stock and bond prices to boom levels. Some stocks have reacted only after they had touched prices 300 to 400 per cent higher than the lows of the crisis. Leading 6 per cent bonds have touched par. Reaction which started late last week was due more to | profit-taking than to any expressed lark of confidence. Bull Factor. One of the bull factors behind public confidence was the extreme moderation of Chancellor Hitler’s speech, in which he stressed that there would be no at- tempt to complete ecconomic self- sufficiency in Germany, no currency experiments, and full recognition of the importance to Germany of a healthy export trade. The steel industry is operating at 30 per cent of capacity (especially on Far Eastern export demand), compared with only 20 per cent late in 1932. Sales of the German Ford Co. are up in recent weeks. Two Berlin banks increased their dividend rate from 4 to 5 per cent. LAV Receivers Appointed. WILMINGTON, Del, April I (8).— Christopher L. Ward, jr. of Wilmington end Willlam J. Wardall of New York today were appointed receivers for the Associated Telephone Utilities Co. of tion manages to show an increase, Mmmm : s today for $12,500. This is a drop of $1,500 from 'n last transaction. New York, which has subcidiary cem- es supplying telephone service the Week Ended March 25 In- dicates Quiet Progress. By the Associated Press. An upward trend in a number of indexes of production and distribution was revealed in the Commerce De- partment’s review of domestic business conditions during the week ended March 25, but progress was slow and lacked uniformity. The movement of agricultural pro- ducts to market was accelerated with cotton, wheat and livestock receipts advancing sharply. Retafl and whole- sale trade generally felt the stimulus of renewed activity, as the banking situation cleared. In manufacturing lines, mixed trends prevailed with several of the important industries, in- cluding steel, operating at about the same rate as in the preceding week. The automotive industry moved for~ ward, with output up considerably. Whclesale commodity prices main- Yained an upward trend, and PFisher's index advanced to the highest point since the second week of January. The movement was not as uniform as in the preceding week, the rise being due to further advances in agricultural products. Cotton and copper prices declined, while wheat held steady. 3 —_— FEDERAL RESERVE RATIO. By the Associated Press. The ratio of total reserves of the 12 reserve banks to deposit and note liabili- ties combined showed a further rise during the week ended March 29 as the change was celculated by the Reserve Board. Xnilhe table fl;‘t follows ‘the reserve ratio is given for comparable Trech enaed Mover To e Sra oe Week ende: 29... 57.3 per cent Previous week + 55.5 per cent Same vk last year.... 70.9 w.od'