Evening star. [volume] (Washington, D.C.) 1854-1972, 1916-07-30

Of which 100000, 900 is held by the
large life insurance companies AZ IN
average rate Of interest of Y per cent.
borrow money easily at 5 per cent. In
less favored localities the farmers pay
from ~ to 10 per cent. according 10 inc
risk attached to the loan. Expert opin-
ion is that many of the latter localities
are in sad need of the federal land
bank and will quickly join the system
An authority on farm loans does not
believe that the federal system WILL
be valuable to the grain state farmers.
because of the cheap rates they OBTAIN
and cites 1t as fact that in order 70
make lower rates the federal land oank
will have to market land bonds at 10
4 per cent
operation. s1,s00.000 annually, although
borrowers can not be charged more
than I per cent per annum for ex-
penses An estimate of nearly ten
wears has been made before the system
will be self-supporting. also that the
act can be made a popular one WIN
lender and borrower and, that three
years survival will mean continued
survival and lasting beneft.
Local Securities.
Despite physical valuations made by
experts for the utility commission on
the street railway properties OF Wash
ington far below the actual capitalize
ton of these corporations, investors
continue to show faith in these secur-
tiles, and have acquired considerable
quantities of both stocks and bonds
during the past week.
Ability to earn dividends and interest
has placed Washington utility stocks
and bonds on high investment level.
AS a rule, the market is narrow, but
it is largely the result of the salts
factory character of the investments
and less shifting than usual, which re-
stricts the offerings.
Graphophone shares follow tho lead
of the New York curb market. Mergen-
thaler the lead of Boston traders.
Lanston has lacked strength, but
dividend declared early in August. as
it was positively stated there would
be--if payment is made without un-
usual delay.
Railway As have been In especial
good demand. making some advance.
Washington Gas was also wanted at
strong figure, despite the valuation out
look.
Traffic Increasing.
Traffic on the local street railways
is actually increasing. despite absence
of many people. hot weather and mid
summer dullness
Building operations in the northwest
are giving the companies very heavy
downtown traffic around 4 to 5 o'clock
in the afternoon. just before the rush
homeward, and the Same kind Of traffic
is moving in every direction just be-
fore the morning rush hours.
Despite the great number of auto
street cars is Increasing steadily and
on both of the local systems.
Rehearing Promised.
The federal reserve board has
promised rehearing to the Wisconsin
member banks desiring to be trans
ferred from the Minneapolis regional
bank to the Chicago regional Several
months ago the application was dis
missed without prejudice.
Henry C1ews' Views.
General business though slowing down
somewhat is fairly active for the season.
and further big war orders are in pros
pect. The crop outlook is only moderately
fair. Warm weather has helped corn
materially and spring wheat is doing well,
while cotton Is suffering from too much
rain So are other crops in sections. The
harvest is approaching. and August is
usually month Of deterioration for some
son is also somewhat critical. for. il the
moist, cool June and July are followed
by hot, dry August. considerable dam
age will follow. Not much enthusiasm
can be based on the harvest this year.
The local monetary outlook is satisfac-
tory. Bank resources are in good shape,
and the financial situation has been
greatly strengthened by the influx of
oh ~
in May. There seems to be steady SELL
ing Of foreign holdings Of American stocks
by the British treasury. While these Of
ferings are readily absorbed, such a stu
alton prevents any pronounced bull mar
ket and tends to keep fluctuations within
safe limits. Needless to say that the big
profits and extra dividends which many
industrials are making are an important
factor in the investment situation. such
funds going largely into high-grade bonds
and strong boxes"