Evening star., 1915-03-14

bond market recently mas peeh oAeeS
| and broader than most readers OIL eie
days doings on the local stock eN-
change from day to day might sup
| nose. So far this year $4,000 WASH
inRton Gas 5s have been sold, S4o'ooo
| capital Traction So, $4,000 Potomac
! Consolidated 5s, $4,000 Washington
Railway and Electric As. $4,000 riggs
Realty 5s both maturities, and Sl4'-
200 miscellaneous issues, a totai oi
s3o4,70O have been traded In
| In addition there were heavy sales
ever the counter, and tho Waenihe .oi'
Gas Company disposed OF Sooo'ooo
washington Gas 5s that do not sho"
IN the sales on the exchange to any
appreciable extent.
| In the stock list Washington Ran,
| way and Electric preferred mas leu a.,
| the other securities In tho volume "
trading, with 1,199 shares on the saies
been traded in and S65 shares OF W ASH
| ineton Gas. Mergenthaler and a rev
| other stocks brought the total to apout
$500 shares all told.
! When one considers the BOND puf-
| chases. both Of local and outside ponos,
| by the banks of the District. the real
| importance of this market as an IN
vestment center is indicated. Wash-
| iueton banks have participated IN tno
French and British war loans, per
haps in the German also; they have
| bought blocks of Argentine ana SWISS
| issues, railroad bonds and notes !reeiy.
In the matter Of prices washington
Gas SIS are b points above u the o open en-
low the opening and high OF the year
while otherwise bond values show At-
| tie or no important change.
| In the stock list Capital Traction ls
1A points off from high, RaiiWay "a y
opening and the preferred points
higher Washington Gas Is on ~
points and Mergenthaler, because OF
| the elimination of extra dividends, 19 "a
points lower. Graphophone company
the preferred from 10 to 50 and closed
at Sc. Bank stocks and trust company
shares all hold at strong prices.
Want State Banks In.
Members Of tho federal reserve board
are much concerned at the dfslncilna-
tion on the part of state banks and
trust companies to enter the feoefal
reserve system. The board recognizes
THAT the operations of the system Will
be greatly hampered, or its usefulness
at least greatly restricted, by the alb
sence of these institutions, OF "nlch
there are large numbers
The Aldrich-Vreeland emergency cur
rency law was placed on the eta.ute
hooks for use. only when an emergency
required. In like manner the federai re-
serve law. as 1t has been hkened 10
fire department. Is intended for use IN
times of emergency.
So IL is that many banks do not care
to come under the wing of the reserve
system, purchasing stock and placing
mart of their reserves In the regional
banks and sharing in the expenses Oh
the management of the federal reserve
board and the controller of the cur
rency's Office; many prefer to trust to
their correspondents In the system TO
care for and protect their interests in
the event OF the emergency develop
Ing.
hoard has been devoting considerable
time to plans whereby they may be able
to convert heads of state banks and
trust companies to the advantages or the
new system. A plan is now under con-
sideration and assurances and special in
ducements may be made to further the
entrance of outside institutions in the
system.
The extension of privileges accorded
banks In the system of exercising rune.
tions heretofore pertaining only to trust
companies. was expected to bring many
state institutions into the system
So far, but five applications have been
granted to national banks in the system
TO assume trusteeships, act as executors
and administrators and registrars OF
stocks and bonds. two or these being
Washington institutions. the National
Metropolitan and the District Ma
tional banks.
The board. however. has received in
formation that national banks in various
sections of the country intend to avail
themselves Of the privileges. The boards
nolicv is to be very liberal. where pos
sibie. in granting these rights.
1t has generally been supposed that the
Nunsey Trust Company of this city had
become one of the federal reserve
banks but. while the matter was con-
sidered. the company did not join the
system. The only local trust company
~ which Nathan 3. Scott Is the presi-