Evening star. [volume] (Washington, D.C.) 1854-1972, 1917-04-29
BY 7. A. FLEMING.

! l. "A. = Inv.
| It is evident that officials of savings
banks are doing little worrying over
the possible Withdrawals by depositors
Of money for investment in government
| war bonds.
| There is no money in operating
savings bank unless a very large part
of the total deposits can be loaned out
mot in paying and 3 per cent in
| terest and in some cases 4 per cent
and keeping sufficient funds in the
vaults at the Immediate demand of de-
| positors, is banks have to do, when not
| enforcing the sixty days clause.
The favorite securities Of most saw
ings banks are high class bonds and real
estate. improved Collateral is not
readily liquid without concessions in
| prices at this time. and few bankers
carefully purchased and really con-
| sidered by many as better collateral
than much commercial paper which is
availab BILE for rediscount at the federal
street checked any disposition on the
part of lawmakers to include bonds or
| marketable stocks in the rediscount
| privilege in the federal reserve act.
Conditions might suggest prepare
tion for savings subscriptions to war
| bonds-a canvass Of depositors with
view of ascertaining the probable ag
| gregate and the beginning Of prepare
lions while there is plenty of time to
prepare.
| 1t will be news to many. the state
ment made below by the secretary of
| the savings bank section of the Amer
| lean Bankers Association, that there
! is a total of 81, 900. 900, 600 in the saw
| inRs banks and trust companies and
savings departments Of national banks
| National bankers are in better condi-
| f~y
verting assets to provide for withdraw
ais of deposits: they can rediscount
\ with their federal reserve banks until
| every dollar of their commercial paper,
under a broad definition of paper has
| been rediscounted and call collateral
| loans.
| Mortgages are for a specified time
collateral loans generally on demand.
Food the Great Necessity.
| over and above everything comes the
| demand for food. for allies and neu-
| trails, and America is the garden that
| must produce.
/ Perhaps Canada has set an example
which might be followed with good re-
| suits by the United States in prohibit
| ing trading in futures on wheat, with
| the result that the American market
Yesterday dropped 10 to 10 cents on
At a time when all the world is talk
! ing food scarcity, when prices are far
above all previous records. speculatlng
| in the 1ife-sustaining products of the
water and soil is, to say the least. I'M
patriotic and might even by called by
much harsher terms-might even come
under absolute and positive prohibition
by the law-as 1t is in other allied
countries and in the central european
nations as well.
Holding potatoes on cars in yards
while the world suffers for potatoes
and the cars themselves; keeping mil
to boost prices: cornering May or July
wheat or any other cereal would APP
pear to be in the same category and
all to be severely condemned.
Local Securities.
There does not appear to be much to
say concerning the local stock market
during the past week.
Business was light, the closing days
session bringing record Of three shares
as the aggregate sales.
Indications point TO IN early ruling
by the utility commission in the mat
ter of physical valuations and on cuts
to be made in prices for electric cur
rent gas and service. If any. When
the worst is known it may not be seri-
Gus.
II would be a surprise to find the
prices of gas cut in the slightest after
as il the traction systems should be
forced to go more than the six for a
quarter. nor is there much, if any, pos
sibility of the straight five-cent fare
being introduced.
Prices were generally lower on the
Stock Exchange during the week, if
exceptions are made on Mergenthaler
and Chaplin Sacks, both of these show
,t,a frnr l.,
ness.
Bonds are generally lower. Banks are
out of the market as buyers of bonds,
preparing to do their share on the
Treasury certificates and bond loans
and to sustain heavy drafts on their
de posits from the patriotic. who will
so the limit to aid In financing the
war in all its aspects.
Must Economic.
Milton w. Harrison, secretary of the
savings bank section of the American
Bankers Association. was in Washing
ton Friday. In an interview Mr. Har-
rison expressed himself is satisfied that
the great war loan could only be made
complete success by the most rigid
economies. Mr.. Harrison said
ITO warn the people to curb expendi-
ture. to live on less. to practice econ
omy' seemo " De unpopular at this
time: It Is said that II any such thing
should be attempted it would inevita bly,
lead to disaster in certain industries
that cater to the extravagances of the
people. 1t 10 rather for us to promote
the sale of silks and fine linens.
by no means fail to buy the regular |
spring and summer dresses and hats.
although you should discriminate by |
buying of Smith. Jones & Co.
Howard E. Coffln's first ohicial report |
to to the public has been and will be
used to good advantage by many of
those who in normal times serve the
public well In providing the comforts
of life, and which are not always de- l