Evening star. [volume] (Washington, D.C.) 1854-1972, 1916-11-07
BANKS AND BROKERS
Do LITTLE BUSINESS
Offices and Customers Rooms Gen
orally Given Over to Political
| and Outlook Discussions.
Growth Of Acceptance Feature of
Financial World-Local In
vestors Favor Rails.
BY I. A. FLEMING.

BY I. A. FLEMING.
Washington presented the spectacle
of being the only city in the United
States where the banks and trust com
panies were open for business, as usual
on this the presidential election day.
But the volume of business was far
below the average. even for these dull
days, and politics. pro and con, received
moro consideration than did discounts,
maturities and deposits.
Many bank officials were out of the
city, and more customers. so that the
day was more of a holiday than might
be imagined.
Local stock brokers' offices were all
open and well patronized by seekers
for information on Investments. and
by the usual crowd of Wall street trad
ers discussing the future of this or
that stock of the general market, as
well as the result of the election
Sentiment was generally bullishly in
clined as to New York stocks, and
there was some hope expressed for i'm
provement in certain of the local
stocks. Election returns will be re-
tclNcu ny ali private wire houses to-
night.
Stocks of various southern railroad
companies seem to be in more favor
Just now. with local investors than
public utility shares. Many orders are
being placed for small amounts of the
three speae7f favorites. Southern Rail-
way. Baltimore and Ohio and Chesa-
peake and Ohio-the stories of in
creased earnings and good prospects
being such that they inspire confidence
in the future.
The Baltimore and Ohio Railroad
Company has started movement that
plant a day on it's lines is the demand
or the president, and SO far it is I'M
derstood that the average has been
exceeded
increase steadily For the fourth week
in October the increase in gros earn
ings was s3S5.419, or 1859 per cent
over the same week in 1915.
For the month of October the gross
earnings were s7,o77.021, gain of
s939.l5l. as compared with the same
month in 1915 and, for the four months
ended October 81 the gross earnings
were s25.5s3.11o. as compared with s2s,-
566,139 for the same period of 1915, an
increase of s3.o16,971. or 1887 per cent
Growth of Acceptances.
Before the war changed conditions
in this country "acceptances" were
known as an incident to English and
foreign banking generally.
The National City Bank of New York
inaugurated the business in connection
with imports of coffee from South
American countries, accepting drafts
by agreeing to pay at some future date,
say thirty to sixty days, or even four
months time.
These acceptances were very desira-
Bile forms of investment for other
AM a inv oil
they were nearby maturities, certain
and sure and generally carried as good
as per cent interest, something that
has been very desirable to American
bankers for many months.
Many trust companies and national
banks have engaged in the issuance of
acceptances on both domestic and for
eign business, several states laws CIV
the right to do this form of banking.
National banks at the time of the
last report to the controller of the cur
rency. September IL, 1916, had out
$4,000. while the New York trust COM
panies have total of s55, 500.
IT is estimated that the acceptances
now outstanding in the United States
are not far from s175, 1000. 900.
Wall Streets Independence.
Wall street demonstrated yesterday
in most remarkable and unusual
manner its independence of politics, for
the first time showing indifference of
the result of the ouadrenniaI battle of
the ballots.
It seemed to serve notice that, ire
spective of the result, the upward trend
of prices would be continued 1t fur
ther and equally plainly evidenced that
there was but one real influence effec-
tive today, SO far as American securi-
Ties are concerned-war, and that its
negative would be peace.
wall street has generally been able
to discount all events. except the I'M
expected. the things that just happen.
Gus in their effects if untoward, or
helpful II favorable. But it has not
discounted this election.
There were those who accredited the
inherent strength displayed in stocks
yesterday to the Hughes chances of
success. while the display was due
more than all else to the belief that
peace will not come in 1917
The great expansion of credits, the
abundance of cash. the large profits
which corporations are conserving
against the day of need, the demands
OF the world for metals, the fact that
there is not even a hint Of peace in
sight, all this makes for continued ad-
vance-unttl the unexpected happens
and turns the army of bulls into bears
anxious TO cash in and stand aside.
Temporary Effect Likely.
And tomorrow. when the verdict has
been announced. Wall street NAV or
may not give another demonstration.
II 1t Is case Of republican success
tho chances are that 1t will be a SEN
nationally strong opening with United
states Steel playing the stellar part.
Should the democratic candidate be
elected. the street may or may not liz.
more the fact, but the general opinion
Is that temporary slump for day or
TWO would follow and then the inward
movement be resumed
Condition Of the Treasury.
Tho condition of the United States
Treasury at tho close of business yes
terday was:
Net balance IN general fund, 314s,-
s25.a2a.
Total ordinary receipts, s2443,se5.
Iotal ordinary payments, 33,265,sss
The deficit this fiscal year ie s7e.-
Sl2.2Ss. against a deficit Of $ss,l3o,soo
last year. exclusive of Panama canal
ana public debt transactions.