davidaulloa/AmericanStories huggingface dataset:
New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1916-12-07
MONEY EASES
AS BANKS BEGIN
TO REDISCOUNT
Withdrawal of Funds from
London Follows Recent
FURRY in Rates

Commercial paper was rediscounted
at the New York Federal Reserve
Bank yesterday by several Of the
larger national banks in this city.
This is the first time that local mem
Der banks have found it desirable to
use the rediscount facilities provided
by the Federal Reserve system.
Among the banks availing them
selves Of the privilege, according to a
statement given out at the Federal
Reserve Bank, were the National Bank
of Commerce, American Exchange Ma
tional Bank, National City Bank and
the Seaboard National Bank. The
statement added that,
While the amounts Of the rediscounts
were not large, the facility and promptness
with which the credits were obtained serve
10 illustrate In a practical way. for the
first time sincs the bank was opened, thu
readiness Of the Federal Reserve system 10
meet the calls made upon t.
The amount Of paper rediscountsd
Is understood 10 have been In the
nc'ghborhood Of S7,ooo,ooo.
Action Eases Money Market
This action was felt In the money
market before 1t became publicly
known that important Wall Street ma
tional banks had decided to increase
their cash resources by resorting to
the Federal Reserve reservoir. The
renewal rate for call money was z per
cent. but before the close OF the stock
market it had dropped TO per cent,
some small loans being negotiated at
that figure. Time money also was
easier, the ruling rate being per
cent, compared with AZ per cent a
few days ago.
The New York Reserve Bank. it Is
said, took the initiative in the matter
OF rediscounting. 1t suggested to the
big downtown banks on Tuesday that,
in view Of the unusual conditions
now prevailing in the money market"
the present would be an oppor-
tune time TO use their commercial
paper to strengthen their reserves,
which. according to last Saturdays
bank statement, had fallen to the low
est level since the Inauguration Of the
new banking system.
Officials of the New York Federal
Reserve Bank, however. declared that
recourse TO the rediscounting priv
lego was not due 10 the recent furry
IN "call money rates. as it is not the
intent Of the reserve act to aid stock
market speculation in any way. But it
was contended that recent reduction
in the banks reserves was an indi-
cation that the time Is coming when
rediscounting is sure to be used more
extensively, and for this reason it
would be TO the advantage Of the
banks TO begin redscounting their
commercial paper.
With this practice started By the
more important New York banks, II
is expected that the smaller institu-
tons throughout the state will soon
follow suit. A few have already
done so.
New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1916-12-07
Money and Credit

The tone OF ths money market was
distinctly easier yesterday. Fresh ar
rivals Of gold. withdrawal Of banking
funds from London, tho calling Of loans
and the action Of important banks in
avsiling themselves of the rediscount
privilege at the Federal Reserve Bank
combined 10 ease the situation While
the call rate at the New York Stock
Exchange held firm early in the day,
With renewals at per cent subse-
Quently in the Aftarnoon rates dropped
sharply. and q few small loans we're
New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1916-12-07
Dividends

y In,iTlard.-Reeular quarterly dividends
~ per cent on the common stock and Ia
per cent on the preferred stock. payable
January . 70 stock Of record December 10.
George W. Hslme.-Regular quarterly diyi-
dend of 2i1 per cent on the common stock
and an extra dividend OF per cent common
stock and 3, per cent on the preferred stock.
PAYABLE January to stock OF record De-
cember Is.
Todd shipyards-Regulsr quarterly divi-
dend of S175 a share. payable December q
70 stock of record December 2.
American Snuff-Regular quarterly divi-
dends OF 1 IA per cent on the preferred and
per cent on the common stocks, both pay
able January . 10 stock OF record Deem
Der is.
Kansas City southern.-Regular quarterly
dividend OF per cent on the preferred stock.
PAYABLE January 8 TO stock OF record Decem-
Der 30.
American Smelters Securities. - Regular
quarterly dividends Of u per cent on the
preferred A and Ia per cent on the pre-
ferred u stocks. payable January 10 stock
Of record December 10.
Weyman Bruton.-Ex Extra dividend OF per
cont on the common stock and the regular
cuarterly dividend Of per cent and the
resr,lar quarterly dividend OF IA per cent
on the preferred stock. all payable January
20 stock of record December l6.
American Tobacco. - Regular quarterly
dividend of IA per cent on tho preferred
stock, payable January TO stock OF record
December IS.
American Public Utilites.-Regular quar-
terly dividend Of ~ per cent on It's pre-
ferred stock, payable January TO stock OF
record December 20.
Di.tiIlers' Securities. - Regular quarterly
dividend OF IN per cent, payable January is
20 stock of record December IS.
Montgomery Ward - Regular quarterly
dividend Of l& per cent on the preferred
stock. payable January l TO stock OF record
December 90.
Associated On.-Qusrterly dividend " IA
nor cent. payable December 30 10 stock Of
record December 10. This Is an increase OF
/, nor cont over the quarterly rate for the
last year
New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1916-12-07
BIG DIVIDEND FOR
BANK STOCKHOLDERS
Guaranty Trust Company Also
Generous with EMPLOYEES

Stockholders Of the Guaranty Trust
Company of record December % will
receive q special dividend of 1914 per
cent. in addition TO quarterly diT-
dend Of per cent Heretofore this
year quarterly dividends have been de-
clared as the rate of per cent, but
an extra per cent has been paid each
quarter. The sum OF 100000 has also
been voted by the directors for distri-
button among the one thousand en-
ployes OF the bank, in addition TO the
profit~shsring bonus usually declared
at this season Of the year.
New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1916-12-07
Wednesday, December o, 1916

In two years the per capita cir
culation Of money has increased
nearly 10 per cent. In the same
time the food cost Of living has in
creased about one-third. The rela-
ton Of these two facts is interesting
but inconclusive. The per capita
circulation is a statistical result OBJ
tanned by dividing all the people
into all the money. 1t is not
measure Of the amount of actual
currency people have to pay high
prices with, because all Of the money
is not in the populations pocket
Much Of it il in bank vaults, and
bankers have sold credit against It,.
There arc other factors, too, besides
the quantity Of money. 1t has, for
instance, velocity. The faster money
is spent, the more times given dol
lar may be exchanged for dollars
worth Of goods in year. Taxing
it specifically, an increase OF 10
per cent in money circulation
against an increase Of SO 1-3 per
cent in prices would mean that peo-
PIE were faring badly. But II that
were true, the amount Of goods pur-
chased would have been declining,
whereas there is nowhere yet any in
dication that the rise in prices has
begun to produce that effect. People
as a whole probably are consuming
more goods than ever before.
New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1916-12-07
Relevant
Information

American Car and Foundry~This
stock recovered yesterday most Of the
loss Of the day before, closing nearly
a point up on dealings Of 1900 shares.
The stock was placed on per cent
dividend basis this week, and the d.
rectors declared in addition an extra
disbursement of per cent. There
is S3000O,O0 Of common outstanding
and like amount of per cent non
cumulative preferred on which the full
dividends have been maintained since
1899. The common received 2 per cent
a year in dividends from 1909 TO 1915.
In the year ended April 30 last the COM
pany earned 2.3S per cent on the COM
mon, compared with 0.76 per cent the
year before. Over a period OF ten
years, from 1907 to 1916. the company
showed average annual earnings OF
1856 per cent on the common issue,
after deducting the full Z per cent on
the preferred. Besides taking on heavy
orders for railway equipment in the
last year the American Car and Foun-
dry Company has booked contracts for
munitions Of war, including one order
involving S18,OOO,OOO Of 9.2-inch shells.
The annual report for the fiscal period
ended last April showed war orders
up to that time amounting to $4,000
In September it was announced that
an order for 100000 3-inch shells
had been received from the United
States Navy Department.
New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1916-12-07
Other Cities

Boston Coppers.-Boston, Dec. g.
To-day's trading marked up copper
share prices slightly in most issues.
The session, however, was an erratic
one. with results obtained only at the
close. Copper Range was off 2. at 1914;
Allouez, 10; Old Dominion, 10; Os-
ceola l02
New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1916-12-07
The Dollar in Foreign Exchange

A sharp decline in French bills was
the leading feature of the foreign re-
mittsnce market Yesterday. Franc
checks declined TO $50, compared with
5.s4 the day before. Sterling bills were
6rmer Rubles declined from $500
cents to 1850. Exchange set new
low record at 11.i0.
New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1916-12-07
New York

New So Counterfeit Note.-A warn
ing to beware of a new counterfeit 20
Federal Reserve note now In circula-
ton was issued yesterday by L. r.
Sailer, cashier OF the Federal Reserve
Bank Of New York. The counterfeit
Is made from a plate measuring three
eighths Of an inch longer than the
genuine engraving. Ink lines are used
instead Of the silk fibre.
New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1916-12-07

The arrival Of a considerable par
eel of Russian gold at San Francisco
via the Pacific Ocean route will prob
ably be followed by other shipments
of the same origin and destination,
and there is likely to be lot of ex-
travagant comment on the indie
pendent wealth of Russia in precious
metal. Her loans have not so far
been very successful here. She has
been able to borrow much less than
enough TO sustain the exchange value
of the ruble. 1t is selling at dis
count comparable only to that of the
German mark. Unfortunately, there
is somewhat too much mystery about
Russia's things in this country. This
is owing partly 10 an overenthusi-
astic propaganda, partly to the ac-
tivity Of a number Of irresponsible
persons continually going about offer
ing large profits on Russian con-
tracts, and partly TO carelessness in
the preparation Of Russian data. For
example, the latest official balance
sheet of the Russian State Bank
published in this country as of DC
tober 6 shows the following gold as
sets: Gold, in coin, ingots and as
signations, S77S,OOO,OOO; gold abroad,
SI,027, 100000" But the balance
sheet of the Russian State Bank
published in London Of the same date
shows: "Gold, S778,O0O,000; bal
ances abroad, 81, O27, 100000" 1t is
we'll known in London that the Rus
sian banks balances abroad" are
not gold, but credits only. In this
country, however, they are repre-
scented as gold abroad A discrep-
ancy of a billion dollars in the gold
item even of the Bank of Russia is
rather startling. No banker would
be misled. Any lay person would be.
And this is one of the things under
scored in blue pencil in the files of
the Federal Reserve Board at Wash
ington.
New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1916-12-07
Ohio Copper Company.-Directors

appointed the Empire Trust Company
registrar and Daniel G. Bogert trans
fer agent of the stock, and requested
the trustees in bankruptcy to apply TO
the court for leave TO surrender the
stock certificate book and other books
used in connection with transfers OF
stock. This action was taken owing to
the fact that the stock is being actively
dealt in on the curb.
New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1916-12-07

The above rates express the cost OF
foreign money in terms OF the Ameri-
can dollar. You buy an English pound
sterling for s4.7bh,; the intrinsic par
ity is .4.s6ss per pound. Thus, you
say either that pounds are at a dis.
count or that dollars are at prs
MUM, which is owing 20 the fact .ha
In England the demand for dollars
with which 10 settle accounts in tn.
country Is greater than the demand ~
this country for pounds with which %
settle accounts IN England.
New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1916-12-07

When the people of England pro
test against high prices they think
only of the fall in the purchasing
power of their money. 1t buys less
and less as prices go up. When the
government considers the same sub
iect it sees it in the statistical as
pect, and thinks also Of the problem
how to reduce the consumption of
goods, notwithstanding the high
prices. People demand that the gov
eminent shall regulate prices. The
government retorts that 1t may have
to regulate consumption. Mr.. Run
Gilman, president Of the Board OF
Trade, says that in spite of high
prices the consuming capacity of the
people goes up, and that if consump-
ton does not go down, owing to high
prices, as In normal times, the gov
eminent may be compelled against
it's will to take artificial means for
bringing it down" He speaks Of
sweets. The people eat more sugar
than ever before, and the trans
portation Of it gets in the way of
more important things, such as
wheat and ammunition. War rs a
crazy business. Want and extrava-
gance are its interchangeable whims.
New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1916-12-07

Sub-Treasury-New York banks
,-ained from the Sub-Treasury S.
$4,000.
Silyer.-Bars in London. 96's pence
New York. 75s. cents; Mexican dol
lars. bSi. cents.
New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1916-12-07
Protection Is Agitated

Unlike the Stock Exchange and the
Board Of Trade, the steel industry IS
not equipped with machinery for mu-
tusl protection Of buyer and seller, ana
this subject is now receiving much
serious attention. A seller OF stocks,
if he has any doubt of the financial
ability of buyer to pay in a rising
market. may call for additional mar
gins to protect the contract; but q
seller Of steel products enjoys no such
privilege. Moreover, the great bulk OF
steel contracts now being booked call
for delivery in the last quarter OF 1917
or the first half of 1918, and no one
can foretell financial and commercial
conditions a year or more hence.
It is known that the executive off,
GERS OF the big steel companies have
been in conference with their sales de.
partments concerning the character OF
the contracts covering long-term de-
livery. They have been assured tha'
tho contracts are non-breakable and
legally enforcibe. They appreciate,
however, that this is theoretical. A
member of one OF the largest steel
selling departments in the United
States said in effect:
1--WE know that our contracts are
flaw-proof, but we also know that We
would hesitate a long time before VIC
would attempt legally to enforce them
in the event of a revolutionary change
in industrial and commercial condi-
tions. If the enforcement of contract
meant the virtual bankruptcy of good
customer and lifelong friend. where
would be our gain7 Like everybody
else, we are taking chances and hoping
for the best. The only thing we can
do is to keep buyers we'll within their
prospective needs
A large consumer Of steel products
said that a proposal OH his part 20
contract for next years needs OH the
basis of this years actual consump-
ton, and to leave the matter Of price
to be determined by the market at the
date Of delivery, did not receive any
encouragement from the manufactur-
crs.
New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1916-12-07
American Telephone & Telegraph

Issue Oversubscribed.- The SSO,oOO,OOO
thirty-year 3 per cent collateral trust
bonds of the American Telephone
Telegraph Company, offered by syn
dicate headed by J. ?. Morgan & 90,
have been more than twice oyersub-
scribcd.
New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1916-12-07

Advance-Rumely-There has been a
revival of speculative activity in these
issues in the last few days. Yester-
day both the common and preferred
declined fractionslly, but did not lose
all OF the ground gained on Tuesday.
Neither issue is paying dividends.
There is S13,75O,000 Of common out
standing and s12,50O,OOO Of per cent
preferred cumulative after January J.,
1919. This concern is a successor TO
tho NJ. Rumely Company, and was in
corporated year ago. 1t is in the
business Of manufacturing and selling
farming implements. Tho original
company lacked capital and went into
receivers hands on finding itself IN
able to redeem s6,sOOOOO of farmers
notes hypothetical with banks in 1914.
The new company took over the bust
ness, property and assets on January
1, 1916, for which the consideration
given was S2,5OO,OOO. The consolidated
balance sheet Of the Advance-Rumely
Company, including the Advance
Rumely Thresher Company, Inc, and
tho Canadian Rumely Company, Inc, as
of the first of the current year showed
real estate and buildings carried at 81
1925 500, machinery and equipment at
s1,O28, 900 and good will at sl4, ls2,SO5.
Notes receivable amounted to S7,sl4,-
ga and cash on hand S2,427,642.
New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1916-12-07
rouit,ble Life Elects Directors

EQultnb1e L1Tt LItCts DTrVVVV
Stockholders Of the Equitable Life AS
surance Society yesterday elected ex-
Justice Edgar VI. Cullen and ex-Justice
George L. Ingraham directors, to sue
coed William c. Redfield and Henry
w. De Forest. One vacancy has been
created by the death Of George {.
Boldt. late proprietor of the Waldorf
Astoria.
New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1916-12-07

Below is given the current exchange
value Of foreign money In dollars and
cents, together with the intrinsic golo
parity, as calculated By the United
States Mint:
New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1916-12-07
News Digest
Foreign

/ Orelgn
Steadier Feeling in London Lon
don. Dec. 6-The stock market deVeI-
oped q steadier tone to-day. There was
a slight rally In gilt-edged securities
and rubber, iron. steel and shipping
shares hardened, but transactions were
limited elsewhere. American STOCKS
were neglected. President Wilson S
message had no effect.
Money and discount rates we're quiet
" steady. The money market was not
affected by the furry in New York.
which is watched with interest. There
was considerable business IN New 1orE
exchange, with about an equal amount
of buying and selling. Cable transfers
were frmer, at 4.76as.
The revenue returns published too
dav show that the sum of Sal ,OOO,OOO
was gathered last week by the sale OF
various short term issues.
Money was Az per cent. Discount
rates-short and three months oills'
51s65B per cent. Gold premiums a.
Lisbon, 1900.
New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1916-12-07
Smith Motor Truck Corporation.-A

D. Smith. +. l. Rosenfeld, A. G: Ha-
nauer, J. NJ. Hoyt, c. B. Little and Louis
Hennock have been elected directors
of the Smith Motor Truck Corporation.
New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1916-12-07
WILD TRADING
BEDEVILS THE
STEEL MARKET
Bull and Bear Struggles in
Pig Iron Resemble Wall
Street Speculation
Pittsburgh. December &.

Pittsburgh, December 6.
II pig iron bille:s, steel rails and
other products Of the country's basic
industry were listed on exchanges and
dealings were as public as those in
stocks and commodities the country
attention would be centred upon great
bull market in steel, and instead OF
warnings" being issued against In
fiation and overspeculation in wall
Street assuming the Steel Exchange
to be located elsewhere), they would
be issued against excuses in industrial
circles.
Nothing like the present steel mar
ket has been witnessed in this or any
other country. Public quotations, while
luctusting violently enough, do not be-
gin to tell the whole story, nor reveal
the actual state of the market For
example, excited comment has been
made upon the fact that public quota
tons showed a jump Of about IS ton
in steel bars 10 above $50 In the clos
Ing weeks Of November over the aver
age price quoted in October. 1t Is re-
liably reported that steel bars sold IN
this market recently at prices ranging
between $50 and 800 ton and that
one lot of 10000 tons sold at the out
side price. The buyer was a large In
dependent steel company. which had
oversold itself earlier in the year. Like
many an operator on the Stock tx
change or Board OF Trade, this inde-
pendent was caught short, and the
question Of price did not enter into the
transaction. 1t was question OF max
ing good on its contract, and 1t paid
the price. The seller in this instance
had virtually declared itself out OF the
market for steel bars, and 1t deplored
the runaway" market, but In pinch
it agreed to "help out" fellow in dis
tress, and booked the order at a price
fully $50 a ton above the nominal mar
New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1916-12-07

reported a. pa per cent The close
was 8 per cent and the days ruling
rate 5. This compared with Q per cent
the day before and high Of IS per
cent on Monday.
The market for time funds on
brokers' Stock Exchange collateral like
wise tended toward lower quotations.
The demand was largely directed to
sixty and ninety days industrial col
lateral loans, for which per cent was
the ruling rate Of interest, Mixed col
lateral loans stood at to IA per
cent
Ruling rates on money yesterday,
compared with a year ago, were as
follows:
Yesterday. Year ago.
Call money. so 194%
Time money mixed collateraDi
90 days..... 40 254ao
months. 4 04I2so 224@3 %
10 mos. 4 @4I29o 224@3 %
Commercial Paper-There Is no
marked change in the commercial pa
per situation. Trading Is extremely
quiet and the best regular maturtties
are quoted at per cent
Gold Movements.--Goldt to tho amount
Of 81, 100000 was received at the Assay
Office from Canada for the account OF
J. P. Morgan & Co. An additional t14,-
100000 from the same source arrived
at the Philadelphia mint These ship
ments bring the total imported from
all sources since January to S54S,OOO,-
600.
Gold coin worth 100000 was with
drawn from the Sub-Treasury for ship
ment 10 South America; also 100000
for Spain. The First National Bank Of
Boston is the shipper Of S25o,OOO Of
the gold taken for South America. This
particular consignment Is going to Ar
gentina.
The Sub-Treasury transferred ST.
100000 to San Francisco by telegraph
Yesterday. This amount OF gold will
be exported to japan.
Bank OF Germany.-The statement OF
the Imperial Bank Of Germany, issued
November 30, shows the following
New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1916-12-07

Oficial rates Of discount at each OF
.be twelve Federal districts are as fol-
loWs:
New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1916-12-07

Paris Market Firm.-Paris, Dec. 9
Prices we're firm on the Bourse TO-DAY.
Three per cent rentes,. 81 francs ~
centimes for cash. Exchange on Lon
don, 81 francs s113 centimes. Five per
cent loan, 88 francs.
New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1916-12-07
Finance Economics

WALL STREET OFFICE; Telephones
Mills Building. Is Broad ST. Hanover eSIA
New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1916-12-07
'i5-day paper.

Bank E1changes.-The days clear
incs at Now York and other cities:
New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1916-12-07

Bank OF Germany.-The statement Of
the Imperial Bank Of Germany, issued
November 30, shows the following
chances in marks:
New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1916-12-07

Commercial Paper-There Is no
marked change in the commercial pa
per situation. Trading 10 extremely
quiet and the best regular maturtties
are quoted at per cent
New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1916-12-07
Corporation Returns

Int.rborough Rapid Transit