The Washington herald., 1914-06-13
MEXICAN news
Helps MARKET
Stocks Show Strength on Re
ports Of Success Of
Mediators.
RESERVE BOARD DUTIES
July Busy Month for Treasury Of
6cials-B. & o. Anticipates Note
Issue Payment.
RESERVE BOARD DUTIES
By w. STEALEY.

Continued light trading with a tendency
upwards based on favorable Mexican
news characterized the New York Stock
Exchange yesterday.
Southern Pacific largely rejecting the
movement closed 81 "a. Steel closed 81 3-S.
Union 15S 3-s. Reading l6o Is, and Copper
n rs.
The feature of the market was the
better class of buying which was in
fuenced in some quarters by the passage
of the Panama Canal tolls bill by the
Senate and also by the forecasts
that the interstate Commerce Commits
sion decision on the proposed increase
in freight rates will be announced early
next week and be in favor of the rail-
. roads
The principal buying was in Southern
Pacific. Union Pacific, Steel and Ca
madam Pacific. All of these stocks ad-
vanced and maintained this improvement.
despite the adverse sentimental influence
of the exaggerated reports concerning
the trouble among banks at Chicago.
Over s2.ooO.OOO additional in gold was
withdrawn for shipment, thereby making
the total gold exports for this week the
record amount for such short period of
500 10000 This makes over SS.0oo.ooo
exported the last seven weeks. and over
s54.0cO0oO since January l.
Local stock Market.
CAPITAL Traction again went below par
Yesterday twenty-five shares selling at
g97-S Sixty shares sold at 100 and two
shares at 100 IL.
Railway preferred sold four shares at
SILT, and twelve shares at S. Six thou
sand dollars of Railway As brought
So IA.
The only other bond sales was that of
e. 1-S
Five shares of Mergenthaler brought
PA
Federal Reserve Board.
The appointment of the Federal Re-
serve Beard members. with Thomas B.
Jones. of Chicago. at their head. Mon
day means hard work for the next six
weeks if the new currency act is to be-
come operative August /
Member banks all over the country are
voting this week for Class A and Class B
directors Glass c directors are to be
named by the Federal Reserve Board:
1t seems unlikely that the drectorates OF
the reserve banks will be completed be-
fore the last of this month.
Directors of the Federal reserve banks
will work out their own organization for
the most part. but July gives little time
for the appointment of officials and
clerks, the selection of quarters and the
equipment of the new banks.
One of the first duties to fall upon the
reserve bank directors will be the estab-
Ifshment of branch banks wherever nee
essary These branches will be conducted
by directors named by the main bank
and the Federal Reserve Board AMI
there is no limit TO the number of those
reserve branches. Both Washington and
Baltimore are expected to get branch
banks.
The organization committee has not
made any call upon member banks for
the initial one-sixth of their subscrip-
tions to the capital stocks of the reserve
banks call is expected to come
shortly after the Federal Reserve Board
is organized.
II. O. Note Maturity.
The Baltimore and Ohio Railroad has
decided to anticipate its note issue OF
10000 600 and pay interest 10 maturity.
The notes are payable in London or New
York at the option of the holder. and If
presented in London are payable at the
rate Of 4S6l-2 per pound sterling. With
exchange at 4S9 ossible profit OF l.!
cents a pound was offered to holders Of
the notes. and it was feared that the
greater part of the issues would be pre-
senred in London. necessitating the trans
fer of sufficient gold to London to meet
the notes The Baltimore and Ohio is
sue of $4,000 600 one year per cent gold
notes comes due July ]. To meet it and
to provide for other necessities the road
sold Sc, coo, ,0O0 in securities on June l.
and has had the money in bank. where ii
has been drawing about 1-2 per cent
interest The railroad realized that il
only 80 per cent of the issues turned
UP in London it would cost it $4,000 to
S55.OO9 extra to meet the slO.oc0.0e0 notes
thus presented and to pay the s250,00t
interest If all of the notes were to drift
over to London. which did not seem al
together improbable at one time. the cost
for exchange would exceed 100000 above
the actual requirements. 1t was decided
therefore to anticipate the notes and
statements were sent to all note-holders
advising them that the notes. with inter-
est in full to July l, would be paid on
presentation
Virginia Power Bonds.
The electric generating plant built BY
the Vffginian Power Company recently
began supplying electricity to the coal
mines in the Sanawha- New River dis
trict of West Virginia. The plant is To-
ali Cha