The Washington herald., 1913-05-01
FOUR Millions
OF TAX MONEY
Banks to Receive This Sum;
Local Bonds Available
as Collateral.
STOCK MARKET CALMER
Some Gains Despite The Tales Of Woe
STOCK MARKET CALMER
Some Gains Despite the Tales Of Woe
hat Are Told-Loeal
Stocks.
By I. A. FLEMING.

By j. A. FLEMING.
Washington bankers will receive A"V,-
600 in tax money from the Treasury
Department. but they will have to repay
IL. 20 per cent in July and 20 per cent In
August, and. thereafter, 10 per cent each
month until liquidated.
Assistant Secretary Williams has
granted nearly all the requests of the
Clearing House Committee and the bank
ers can afford to yield gracefully In the
matter of repayment. Very rarely nave
they received the full redeposit of $1,000
600. The usual sum has been S,Ooo.0oo.
Moreover, Assistant Secretary Williams
has agreed to accept hgh-graoe ponos
OF local corporations security. in part,
for the deposits of government money.
In making this concession to local bank
ar.. the official is making no mistake
Washington has long been peculiarly sit
uated. 1t is not affected, as to values
OF its securities. by any outside happen
ing of the ordinary kind. Values hold
up while securities elsewhere are being
liquidated at lower figures, for the rea-
son that Washington, as the National
Capital. is undisturbed by speculation,
and i purely an investment center
There is no large speculative interest
10 be caught and forced to hquidate, no
short selling, and very little margin
trading.
Practically all the first mortgage bonds
listed on the local exchange will be ac-
Ceptahle.
Wall street CaImer.
Wall Street gave just a fair account Of
itself yesterday. and yet, in the action,
there was nothing TO particularly disturb
the serenity of the shorts. With such an
oversold market there should have been
considerable Of rally-with prevailing
conditions il is rather remarkable that
the list acted as well as it did.
The cup of bitterness of the railroads
Of the country is not vet full. though
il is unQuestionably overlooking. The In
terstate Commerce Commission, true to
the record that ii has made since its
formation, turned down for two years
certain advances in freight rates, this
despite the fact that railroads need
money and have to pay premiums to get
it. Then. the seven railroad companies
operating in North Carolina. where many
OF them operate miles of track through
forests. where there is little way traffic,
were gently asked by Gov. Craig to slice
their freight rates % per cent-a modest
cut-not.
The railroads stood pat and put
il up to the Interstate Commerce Com
mission, and there the North Carolina
situation stands.
Nearly woe enough for one day. but A
Kansas Representative in the House.
either unfamiliar with the poverty
stricken condition of Missouri Pacific. ac-
tually introduced resolution demanding
the repayment to the government of
sS63c.000 the same being the sum of
81 10000 with interest advanced by the
government many years ago to build the
original road from Hannibal to ST. Joe,
in the State of Missouri.
And only yesterday the Southern Pa
cific was despoied of thousands of acres
of land. which. unless the Supreme Court
reverses the lower court, will revert to
the government.
Hartford and New Haven's trouble is
none the less aggravated. and this old
reliable dropped back Ia points.
When one considers the array of I'M
fortunate facts. one must admit that the
market did we'll when il held together.
Yet the market did little better
better than expected in some things.
Steel actually recovered ", Union Pa
cifc q. Reading Is, and General Elec-
trio Is but these were the only gains
worthy Of mention.
Many of the high grade rails-at
least rails that formerly held this dis
tinction--did well, in that they held
their own. Pennsylvania. New York
Central, and the Hills being included
in this category. Rubber. Copper. and
Eric first preferred also made gains.
wcakIings.
The weaklings were Canadian Pacific.
OH foreign selling Ga points off; Bond
Paper preferred. points of: Ice, eS-
with summer ell route. At that-New
York. New Haven and Hartford. AZ
Southern Pacific. ~, on loss OF land;
Missouri Pacific. =. on threatened suit
for millions. and Liggett & Myers To-
bacco Company, points off, Oh gen.
cral principles.
Many stop orders were caught on the
way down here and there, but nowhere
were the bears especially aggressive.
They seemed to consider themselves
fortunate in being able to pass the day
comfortably, without having any scare.
thrown into them.
Rally Due.
That rally is due is generally ad-
sn:tted. but the rally can only come
when some effort is made to run In
the army of oversold shorts. II the
big men Of Wall Street are going to
permit OF unrestrained selling. il they
are going to let EN- go, the bears will
have more feasting.
Tha news was not favorable, either
at home or abroad, so far as threaten
ing is concerned. If business is re-
stricted. the banks ought to have lots
Of money, but they are holding IL.
Crop outlook excellent, but notes and
bonds maturing are factors.
No Suap.
On the rallies the market displayed
neither snap or evidences of activity
London bought Steel on the statement
for the first three months, which was
satisfactory, all things considered. Lon
don does not look for any overt act by
Austria until after the conference Of the
ambassadors called for today.
There are bargains all through the list:
stocks that have real merit back of them
and on which dividends will continue on
the basis of handsome returns-and the
country is not going to the dogs yet.
Crop Outlook Excellent.
The general abundance of moisture In
the subsoil is taken to indicate and fore
cast good crops. Wet and cold weather
has delayed farm work generally about
three weeks. Reports are to the effect
that the present good weather in the
agricultural sections has enabled the
farmers to make good Roadway with their
work. The winter wheat crop Is the only
one underway at this time, and the most
rosy reports are coming in on the out