Evening star., 1917-04-11
SHIFTING INVESTMENTS
POPULAR THESE DAYS
Anglo French IS Find High Favor
as Result of Proposed American
Loan to Allies.
Many Preparing to Buy Government
Bonds Local Securities Slow.
Washington Gas Weak.
BY I. A. FLEMING.

There is no question but what very
large movement in shifting investments
has been going on for some time, and
Is probably at its zenith right now
BANKERS frequently give advice to their
customers. although stock brokers, as
fule. supply all the aVaiiaole puolicitS
on Investments, but insist on the m
Sestor making his own SELECTION. All
She latest reports as to earnings, man
Hals giving the status OF corpol uoiis'
etc, etc, are at the dlsposai OF tne IN
weston and the broker stands READY 10
execute the order, but, as rule. lodges
actual advice.
But investors themselves have worked
out the present shift IN larger Noluihe
than might be imagined
There is reason.
While no schedule of taxation mas
reached the stage of actual discussi1n 1n
as yet. it is evident that there Is ~ NC
q very heavy impost of war taxes, iu-
comes will feel the tax heavily; Stocks
and bonds will be under penalty, IN an
proba bility; minimum income tax I'M
post will probably be raised as wen as
the surtax and the three-thousand-ooi
lar annual minimum income subject "
taxation greatly reduced
One banker advising with a customer
suggested a sale of United States St a11
Corporation 5s. because they were sen
ing at 100 and were not likely 10 go
much higher, naturally, and tneh tne
reinyestment of a portion OF the pro-
ceeds in Anslo-French 3s. WIN .lis ipitb
chase of a share of Steel preferred win
the difference in the returns anu the
cost of the new investment
Many investors have been MAKING
shifts of Investments in IKE manner de de
to the purchase of the Anglo-FrehGI
6s millions of these bonds belns soiu
in the last few days on an adNahcinS
scale Yesterdays big buying mo'ihs
up the price to 94's, with eiosiiis a.
s4IS .,.+
The feeling among investors is Una.
these bonds will gradually be aosoroed
by permanent investors, now thal INC
United States is In the war anu Pr
poses to lend billions to the allies ana
mat like bargains will not be offered IN
the near future.
Moreover. much selling has been for
the account of investors, VINO Wouio
rather be scot free of stocks and bonds
and be ready to take advantage of the
government bond issue to the Iuilest
extent as these bonds will naturally
be tax free, with the great abundance
of idle cash, will find ready sale even In
Deace times, when relnyeStmentS IN
stocks and bonds may be desirable
Under these conditions security mar
kets have not shown much strength
nor could any great show of firmness be
expected.
And the shifting. either changing in
vestments or shifting the cash from in
vestments to banks, is still going on.
Local Securities Soft.
On today's session of the Washington
Stock Exchange some new low prices
were scored, but. as rule. there was
less disposition shown to force sales at
the expense of concessions in values
than yesterday.
Special weakness was shown, how
ever, in Washington Gas shares, which
sold at 73k to 73. and actually closed
with ~ the best bid but with none Of
fered under 73; these prices being
point off from yesterdays low.
Capital Traction sold at so. not in i'm
portant amounts, but the price was 4
point net lower, with more offered at
so and 79h. the official bid closing.
Forty shares of Continental Trust
stock sold at 11s and ten shares at 120.
Two. ten-share lots of Mergenthaler
sold at 152 and 153. Bonds showed no
further depreciation. but were rather
Potomac Consolidated 5s at 100 and
Graphophone 6s. small. at par.
Condition of the Treasury.
Condition of the United States Treas
ury at close yesterday showed:
Net balance in general fund, $751;
37,s0s
Total receipts. s2.S61.6S1
Total payments, $4,445,Si5.
The deficit this fiscal year is $174,-
<65.0iS against a deficit of S54,799,739
last year, exclusive of Panama canal
md lie Ialf .ntf