The Washington herald. [volume] (Washington, D.C.) 1906-1939, 1912-11-20
By 1. A. FLEMING.


From the start TO the close of the
stock market there was neither life moi
activity It was one Of the dull days
with the losses more numerous than the
gains, but without material change in
the leaders.
The losses for the day were distrlb-
uted between industrlals and rails and
there were few important price changes
in either other than in American To-
bacco. which stood out in front of the
list with q 7-S net advance. in a mar
ket where the price changes were gen.
orally on the fractional order.
The opening was dull with banks dis
eliminating against industrials. The
Balkan situation caused a less hopeful
tenor. which changed to a more en-
couraging condition when the report of
an armistice was made public.
Here and there throughout the market
readjustment must go on. Weak spots
exert an influence on the standards.
Stocks without support must be liqui-
dated to care for stocks that have. This
process of readjustment will keep on
until the Balkan and tariff probabilities
cease TO be influential factors of an after
msth character.
Certain industrials were reported as
lIquidated by request" Looking through
public Steel, and Iron, Central Leather
Great Northern Ore, Distillers and Air
Brake as likely to have figured in this
matter.
Roger w. Babson, the New England
statistician. says in his latest analysis:
"A general reduction in the tariff would
hurt several of our well-known corpora
tons. Moreover they have reached the
AhoW sfA,- FC coli
empty dinner pals, &c. Therefore, in
stead Of using further money, time and
energy endeavoring to fight legislatures
and laws, they have concluded to use
this money and energy in making an
optimistic press in booming their stocks
and selling them out. This they are
now doing"
This morning William B. Hibbs will be
operated on for appendicitis Mr.. Hibbs
has spent the greater part of the last
two weeks endeavoring to assuage pain
from the trouble. Yesterday, being in
good physical condition. he determined TO
insure the future by taking a needed rest
and eliminating the cause of the trouble.
His host of friends wish him the best
results and speedy return to the activi-
ties OF the street.
More than half OF the banks Of the
country do a commercial business. The
security. more frequently than otherwise,
is the Dromissorv note of the borrower,
unsecured.
The man seeking a mortgage loan usu- |
a'lv wants about 90 per cent of the value
OF the property and willingly offers as
security the entire property, which is |
accented after a week or ten days de- |
voted to Investigation of title, valuation. |
&c. Moreover. charges are made for |
lawyers Investigations, for the papers, |
&C. which the borrower pays. When |
payment is due. foreclosure follows de- |
fault
On the other hand the business man |
with credit NAV 90 to his bank, make his !
application for accommodation, furnish |
a plain statement for the purpose of OBJ |
tanning credit. and If of good reputation .
the money is forthcoming in short order |
without extra costs. and without delay. |
This is the difference between the col
Ia literal and the commercial loan. Both !
have their field. The former makes few
losses. The latter makes some losses,
but they are but a small percentage of
the grand total of yearly loans.
The profit on loans is about one-half
of l per cent, according to such an
eminent authority as David Forgan, of
Chicago. Most of the loans on which
losses are sustained. on the same au-
thOrity, are due to incorrect statements
either innOcently or wickedly made by !
the borrower.
Any broker can tell a good statement
from a bad one, but the rub comes in
the truth of the showing.
I'm many cases in bankruptcy. state
ments submitted for the securing of
credit are shown TO be wrong, so far