Evening star. [volume] (Washington, D.C.) 1854-1972, 1914-06-30
BONDS FEATURE AGAIN
0N,LOCAL EXCHANGE
Capital Traction IS Are Unusually
Active, $31, 900 Selling
at 1O6.

at 1O8.
Trading in bonds was the feature again
today on the local exchange. The most
ractive issue was Capital Traction IS.
which sold S31 900 at 10S. More was want
ed at that figure, but the offering re-
manned firm at 1884, The greater por-
ton of the bonds were bought by one
broker.
Riggs Realty S. long, sold 5000 at
1915. and Potomac Consolidated 5s sold
s., 900 at e9k1.
Not much was done in the stock list.
Capital Traction sold ten shares at 81. An
unsuccessful effort'was made to get. a bid
for seventy-flve shares. After seven
shares of Railway and Electric preferred
had sold at s31z more was wanted at So,
and the stock was firmly held at "a.
The price for Washington Gas stock
stiffened up a bit when twenty shares
brought 1878. which was the asking price
at the close, with 76la hid The only other
sale was for ten shares of Mersenthaler,
at PA.
The monthly digest of trade conditions
issued by the Commercial National Bank
Business is gradually showing increased
activity. News from the wheat belt con-
tinues reassuring and the expectation
that the farming communities through
out the west are TO enjoy a prosperous
year Is the basis for feeling in many
quarters that general trade is sure to
revive in the near future. At the mo-
ment trade is dull. and merchants every
f6A
'hand-to- mouth basis But this condi-
ton will not continue long if bumper
crops are to be harvested and the rail-
roads show the greatly increased traf-
fic which the movement of a SOC, 900, 600
bushel wheat crop will mean. The out
look for the crops in general is certainly
reassuring and is in all respects the most
influential factor affecting investment
conditions today. Speaking broadly, 1t
may be said that the country has seldom,
if ever, enjoyed real prosperity at times
when the crops were poor; conversely, II
is also true that a bountiful harvest has
almost invariably led to business expan-
sion and genuine trade revival.
Investors are gradually becoming more
confident although their purchases are
still restricted to the sort of securities
when the country has passed through a
season of unrest. There is no longer a
demand for securities having simply a
high income return. On the contrary,
the investing public these days is taking
little for granted. 1t is looking, first Of
all, to the security of the investment in
the case Of bonds and to the integrity
of management. in the case of stocks.
There is no speculation anywhere. Il
is probably true that the amount of out
of-town bank money loaned in Wall
street today represents a low level for
recent years. Security trading has been
fully as dull as general business owing
to the Discrimination of people to take
risks at time when the Mexican aues-
ZION was unsettled and proposals for new
antitrust legislation were disturbing the
public mind. The indications are that
there will be a good deal of cheap money
this year available for crop-noving pur
poses and that the banks of the agri-
cultural sections will not have occasion
to seek Treasury aid during the period
when Il large amount of money Is usually
harvesting area. The Treasury stands
ready. however. to make special deposits
with institutions at the west and south.
as it did a year ago, II the situation be-
comes at all tense
Europe will probably send US back
much of the gold that it has taken on
the recent export movement to Paris.
Within the last two or three weeks our
export shipments Of wheat have been
extremely heavy. This movement Is
likely to enlarge. and the chances are
that the European markets will make
immense purchases Of our wheat before
the season ends. These transactions
Will have important bearing upon the
foreign markets, with the result that
exchange is likely to move later in the
year in favor OF the United States.
There have been no barriers placed in
the way of gold exports by our bank
ers. Had we withheld the gold 1t Is
probable that serious disturbance
would have resulted with complications
which might have caused further un-
loading Of American securities by Euro
pean holders. AS 1t Is Europe's holdings
of our securities have been greatly re-
duced Instead Of borrowing heavily on
the other side through the sale of
finance bills, as in years past has often
been done at this season. our bankers
have borrowed little or nothing in Lon
don this year. That means that we shall
not be under obligation to make large
repayments In the autumn, when il
may be possible to attract large sun
plies of gold from the other side.
The railroads are certainly in an in
teresting situation, but there has been
OF late decided change in public senti-
ment in favor of such interests, which
contrasts sharply with the widespread
antagonism Of a few years ago
One reason for this change in feeling
has been the gradual recognition Of the
fact that whatever Injuries the railroads
business cannot be conducted without
the railroads and the facilities which
they afford. 1t is of the greatest i'm
portance, therefore. that the railroads
should prosper and that they should be
placed upon basis where 1t is easy for
them to borrow money at reasonable in
terest rates.