The evening star and Newark advertiser. [volume] (Newark, N.J.) 1907-1908, 1908-01-18
SHOWING
OF NEWARK
BANKS
Local Securities Market Re-
ported in Better Condition
Than For Some Time.

Trading in local investment securities
improved very much this week. Sales If
Newark school bonds, 4 per cent, and
Essex County bonds were made by one
broker in blocks of 10000 to $50, 200 worth
to outside investors, Philadelphia being a
heavy buyer. The splendid record made
by Newark banks and trust companies
during the recent severe financial panic
has given them a reputation throughout
the United States and has also attracted
outside investors to our local securities.
The banks and trust companies have paid
on the heavy cash loans they made Ut
a high interest rate during the %stringency
in currency in order to supply manufao-
turers and merchants with money for
their weekly pay rolls, and they are nov
making loans to business men at 5k and
6 per cent.
The proposition to establish a clearing
house in Newark has been revived. This
time presidents of national banks are In
the movement. A meeting will be held
next Wednesday, when the bank and trust
company men will consider the scheme
fully. An old bank officer said today that
there was a diversity of opinion among
local financial men, as to the need of a
clearing house here. He said that some
thought that If orr banks and trust compa-
MES could pull through such a severe strain
so successfully as they did In the money
stringency that started in earnest in the
middle of October without a clearing house
to assist them, there was no need of such
an institution. Other bank officers said
they believed a clearing house should be
organized here, as Newark now held a
very important place in the financial
world.
IF a clearing house shall be established
here" said one old bank man, lit should
take in all the banks and trust COM
panies. / do not see that any legislation
is needed to allow the trust companies to
come into such an institution. Our trust
companies came through the recent nnan-
eial trial splendidly, and all that is neces-
sary, in my judgment, is for the national
and other banks to agree and the percent
age Of reserve each trust company should
hold to make them eligible to membership
In a clearing house and p~articipators in
its benefits"
Industrial and mercantile business con-
t1nues quiet, and the general impression
appears to be that there will be no boom
IN manufacturing. except in some branches
that produce articles of constant use. until
next spring or well on in the summer But
because money is becoming SO plentiful III
the banks. every one having largely In
creased the amount of Its deposits during
the past three weeks, men OF sound iudg-
ment predict al early revival in manufas-
turing and mercantile business in Newark
and In all sections OF this country.
The record Newark banks and trust
companies nude In the money stringency
has attracted the attention of investors
in other cities to the bonds and stocks of
our local corporations and our municipal
and county bonds. A New York man, who
is the head OF a big concern that has a
factory in China and CONTROLS one of the
South American islands said this week
that a great many people in New York
and the boroughs OF Brooklyn and the
Bronx have lost confidence in some OF
their financial institutions and corpora.
tons since the disclosures of their man.
agemert in the money panic, and he said
he knew OF business friends who now
favor investing their surplus funds in
Newark and New Jersey securities.
Local bonds and stocks gained from two
to five points this week ovr the Quota
tons last Saturday noon. Newark school
bonds, fifty years, at 4 per cent. interest
sold at 10l1a and 102, aud Essex Count
iong-term bonds at 101, and there was Il
good call for them all week. Newark Pas
senger bonds sold at 1903 to 1O5. a gain of
two points, and Consolidated Traction
stock went up 8 points to GO and 6s, while
the bonds were sold at 1919 and 102. Pub
Tic Service notes rose three points. sales
being recorded at So and 60, and United
Electric bonds sold at Glib and 81, a gain
or two points. Newark Gas bonds. 81, sold
at 1Ol, an increase of two points, and New
ark Consolidated Gas bonds made the same
gains, selling at so.
Julius S. Rippell, dealer in investment
securities, has prepared a circular con-
tanning a description of all the Public
Service Corporation ecurlties-bonds
stocks and notes of the various companies
In the big corporation-giving the amount
of traction. gas and electric bonds and
stock each company has outstanding, with
rate of interest on dividend. when the
bonds and stocks are payable and when
the semi annual interest or dividend Is
payable. These circulars are printed and
will be mailed next week by Mr.. Rlppell
to many Institutions and individuals In
Newark, Essex County and New Jersey.
Essex and HUDSON gas stock, which has
sold at above 1872, but which fell below
par during The financial depression. sold
this week up to 107, n gain of 4 points.
and Hudson County gas bonds also went
up four points, sales being made at 9S,