Evening star. [volume] (Washington, D.C.) 1854-1972, 1914-12-17
BANKERS MAY REQUEST
LOWER DISCOUNT RATES
Believe Regional Banks Would Help
Situation and Increase Rediscounts
on ~ Per Cent Basis.
Michigan Central Railroad Cuts Div.
idend-Local Bond Market Slow
and Steady-Financial Gossip.
BY I. A. FLEMING.


BY I. A. FLEMING.
Bankers here and elsewhere are max
ing efforts to secure lower discount
rates from the federal reserve board.
While present rates for short-term pa
per are not prohibitive. bankers here
say, they offer little margin of profit
for rediscounting. Money is compare
lively easy in New York city. 1t is
added, and can be obtained at less
than the prevailing regional discount
figures.
The financial stringency, as the year
draws to a close. through preparation
for dividend and interest payments and
for use in business, Is being felt In
this section.
This is evidenced by tie fact that
the question of petitioning the federai
reserve board for lower discount rates
is being considered by Baltimore bank
ers .
Washington bankers believe there IS
an opportunity for the regional banks
to make the system profitable. IN
measure. and very useful at TINS time
if Al. per cent rate or a lower inquire
were established. The regional lnstl-
tutions are not doing the business they
evidenced by the aggregate redlscounts
of the system in the weekly statement
given out last Saturday. slO,0ooooo
representing the total rediscounts OF
the twelve regional banks
New York Stocks.
There was very little trading today
in the New York stock list. At the
opening the scarcity of stocks caused
a temporary squirt and an advance
of about a point in many leading is
sues. but this was not maintained. an
other hour finding the advances prac-
tically wiped out.
A few stocks seem to attract the
greater part Of the attention. being
favorites with the financial element
Minimum prices and the fact that snort
selling is hedged about with so many
difficulties and requires. IN ADDITION un-
usually large markins keep the bear
crowd from working its will with the
market, or even making the attempt to
test it's strength.
Steel common advanced from 604 to
opened around i4s. sold to 14s and
dropped back to 14SA. In like manner
Baltimore and Ohio gained and Iost
point; Southern Pacific lost traction
net, and Union Pacific, after moving up
from lis to 11s, went back to 1lSA'
Michigan Central Cuts Dividend.
The declaration of semi-annual divi-
dend of 1 per cent instead of the usual
3 per cent distribution by Michigan Gen.
trail caused considerable comment.
Michigan Central has been long rec
ognized as a gilt edged" Vanderoilt
and a desirable investment. the control
being held by New York Central.
AS a result Of this cut in the semi an
nual payment to shareholders OF its
| s',hsidiary New York Central stock
| was off full point at the opening OUT
| recovered to SO.
| DR.. Willis Lecture.
DR.. A. Parker Willis. secretary of the
| federal reserve board. will deliver an
other lecture in the course on the new
banking system this evening In the red
room of the New Willard Hotel before
members of the American Institute OF
Banking, Washington Chapter.
Local Securities.
Trading on the local stock exchange
was restricted to Capital Traction 5
per cent bonds. $4,000 in the aggregate.
face value, changing ownership at
1864.
|
by the Merchants Transfer and Stor-
| age Company. per cent semi-annual
payable January !, and by the Security
! Storage Company. 2& per cent payable
| January IL to shareholders OF RECORD
| December 80.
Bid and asked prices on the general
list of bonds showed fair strength.
Seek New Ruling.
| An effort is being made by one of the
| leading trust companies of this city to
| secure a change Of ruling from Com
| missioner Osborn in the matter of the
| cancellation of war revenue stamps of
| 10 cents and larger denominations.
The present regulation requires mi
tials and date on the stamp and three
| sharp incisions in the stamp after it
has been attached to document.
| 1t is held by an official of the trust
| company referred to that the incis-
| sions in the stamp, although made by
| machine for that purpose. are liable.
! in time, to cause damage to the docu-
ment itself. the more so in the case of
| papers that have long maturity and
| where frequent handling Is neces-
| sary.
| suggestion is made that banks and
| trust companies be permitted to use
| stamp before it is affixed to the docu-
| ment, thereby protecting the latter and
| effectively canceling the stamp.
Commissioner Osborn has just issued
| an order compelling collectors of inter-
| nal revenue to issue vouchers for
| stamps sold by them.
Financial Gossip.
The American Steel and Wire Com
pany is operating to As per cent OF its
capacity.
Exports of general merchandise for the
week ending December IL were valued
at s22 ,655.346. as compared with a value
of s15,o23.ss2 for the week ending De-
cember 10. 1913.
St Paul, Northwestern. Great North
! ern. Northern Pacific and Omaha, five
great western railroad companies, showed
an aggregate decrease in gross earnings
for the four months ending October 81,
1914, of $4,2S3.549, turned by economies
into net increase of $322.171.
NEW YORK CURB PRICES.