Atlanta Georgian. [volume] (Atlanta, Ga.) 1912-1939, 1913-11-16
Of Exchanges Due To
Be Taken Up as Soon as Money
Bill Is Out of the Way-Stocks,
Grain and Cotton Considered.
Senator Burton Leads the Fight
in Behalf of Speculation as Real
Benefit to Business-Hughes
Report Gives Valuable Data.
BY JONATHAN WINFIELD.


4 WASHINGTON, Nov. 15.-Stock
Exchange legislation will be the meat
II the menu projected for the next
ess!on Of Congress. In the opinion
f many members Of Congress It will
Be the first large subject attacked
fer currency legislation is out of
he way
There not only is wide divergence
+ opinion respecting what should be
0ne to the stock exchange and its
guSins the grain provision and cot
Fv0hanEes, but there is rapidly de-
r. a fighting spirit of conserv-
1T In Congress which will defend
he stock exchange as a necessary
ffaa much-ahused part OF the big eco
[tnW57 machinery of the country. SEN
=" Burton is expected to take a
eadiug part in the defense on the
|Saruhiican side. In past years he
Z
Xef that the stock exchange, despite
FITS faults, acts as barometer for
business conditions and that the
country might save itself from periods
Of money str!ngency II It would fol-
'ic ! more closely the prophetic voice
Of the exchange.
Hughes Report Useful.
The report of the commission ap-
pointed during Governor Hughes ad-
ministration IN New York Is expect
ed to play large part in the DELHI
srations Of Congress. This report,
while recognizing faults in the New
YORK stock exchange, defended II
broadly and made specific recommen-
cations against many proposals Of re-
form which are certain again to be
proposed in Congress this winter.
Inc Hughes commission did not
look with favor upon the proposal to
compel the stock exchange to In
corporate under State Federal law.
1t agreed with stock exchange mem
Oers mat more effective regulation Of
tne STOCK exchange is exercised by the
private managers or board Of govern
ors than could be exercised under
STATE or Federal law. 1t also pro-
tested against the effort to prohibit
trading on margins. although It mad :
an earnest recommendation that the
minimum MARIN to be accepted by
brokers' be made 20 per cent. 1t also
agreed with stock exchange defend
ers that the exchange tends to sta
oI!lze prices rather than to disturb
'hem' and tIat it would be a mistake
10 attempt to bar the general public
from speculation, bAcause a "profes-
sIonal' market is more subject to
manipulation than a market in which
the entire country participates.
1hls report, made after many
months Of careful investigation, to-
sether with equally careful studies
mace by English and German COM
sl'tees OF stock exchange practices
abroad Will be the large conservative
'orce on which advocates of the stock
exchange will depend
No Administration Bill.
II Is now indicated that the Admin
W. w. a'loh VIII not attempt to draft a
"I to be handled by Congress as an
administration measure. This deci-
e1on mas been reached, it is undee-
/ 'oou' because the kind Of legislation
\ uich should he enacted can not be
determined without lengthy discus
ion ana because the Administration
oes not wish to be placed In the at
tue VI special pleader against an
Sutution in which are listed ov.r
4 o'VOO'9oo'oOQ worth of securities.
u as d result a half dozel. or more
cas- ufes viii be presented. and from
"I either hopeless disagreement
Il - ! eSu',' as was the case when COT
4 4u'uFeS legislation was attempted
u ing the tariff discussion. or q corn
promise and composite bin will he
&rafted. "'t' 0e
wing 10 the Democratic prepon-
'ance in the South Il &c nroho b,,,
II. southern members will devote
a''ehuon primarily to cotton
aa'se legislation. Senator Cum
s ""' propose a bill covering not
n, 9'o'N Exchange transactions but
spe'ulative activities in grain
OvisiOns and cotton. N'"