Evening public ledger. [volume] (Philadelphia [Pa.]) 1914-1942, 1918-04-02
GERMAN EXCHANGES
ARE AGAIN ACTIVE
Quotation of Stock Prices Was
Resumed December 3, but
Few Reach the Public
NEW CURB ON CAPITAL

Recent cable dispatches from ZURICH
telling of panic on the Berlin Stock
Exchange, during which the Daimler
Motor stock and other war babies
droppcd heavily as the result of runor
that many German 'munition concerns
had been guilty of grating and were
likely to be prosecuted by the Treasury
Department. are a reminder that the
German Stock Exchanges were again
playing role in German hnanclaI anu
industrial life.
German newspapers recently received
here show that while there had been
considerable activity shown in dealing
in stocks and bonds for many months
under the veil of official secrecy as TO
prices, 1t was not until December !,
1917, that official quoting of prices was
resumed, and even then IT was done in
such way as TO keep the general
public and foreign countries in the dark.
For instance, the Berlner Tageblatt re-
ported tho resumption of the fixing of
quotations thus:
Beginning December 3, official quota
tions for shares Of stock were resumed
on the Berlin and Frankfort Exchanges.
But tho lists of quotations are not, like
est kind of publicity. They are only
meant to so to those banking and
financial circles that are doing business
directly on the exchange, while the mass
of the public, az before, has TO depend
upon indirect information regarding tho
value of its securities. with this new
regulation, the first step has been taken
toward guiding the stock market
through the transition period"
The Tageblatt reported that there was
considerable activity on the Berlin Ex-
change during the first day under the
new ruling, and that brokers and bank
ers seemed glad 70 see trading going on
under conditions somewhat like those
prevailing before the war.
The Cologne Gazette, in a review OF
stock market conditions during 1917 in.
Inmates that it would like to print a
comparative list of tho prices prevailing.
but dares not do so. 1t remarks:
THE Berlin Exchange has begun the
new year with a generally firm, or at
least steady, tone, but with the neces-
sary caution. and this ought TO be the
characteristic Of the period now begin
ming. The year 1917 was a year of de-
cided advances. Besides, 1t brought the
partial fulfillment of the long-restrained
desire for the reopening OF official trad
ing and the establishing OF official quota
tlon lists. In the course OF the last few
weeks the many difficulties and incon-
Ncniences connected with these quota
ton lists have been partly eliminated
through increasing practice and partly
through an extension OF the trading
hours.
Coincident with this new regulation,
and partly caused and promoted by IL,
came a noticeable change in the com
pleNion of the stock exchange in the
last month of the old year The almost
uninterrupted rise in prices and the
eagerness to buy which at times could
be controlled only with difficulty, and
was not always distinguished by judg-
lneht' was succeeded by n reaction, not
indeed heavy or pressing, but still one
! easily recognized, If we had the liberty
| TO give detailed sketch of the do
Nelopment of prices in the last year and
perhaps, to compare ii with the course
OF prices at the end Of 1916 the result
would be big surprise to those who are
not in a position TO follow the quota
tlons closely Not merely for some scat
tered stocks, but for entire groups also,
| nave the quotations gone up so mate
rally in jumps which frequently could
not be recorded by tens. that the ques-
ton is this movement not unhealthy
! inNoluntarily forces itself to the front e"
The Gazette then moralizes about the
changes that the stock exchange win
have TO contend with during the tran
sition period from war to peace, und
| concludes:
According to all appearances, we are
standing at the beginning OF the lioui.
dation Of the war, even II this may still
require final great trial Of strength
At all events we are nearing the goal
and with II the decision as to what will
follow, particularly what the economic
results will be, Despite all our homes
we are entering upon a period of un.
certainty, upon a time which we car
compare to nothing that has ever hap.
pened In the past, and only the actuaI
experience can tell what will occur
during this period, So there can be onl,
one way to act II we wish to avoid dis.
appointments: Take great care about
incurring new obligations and at III,
same time critically analyze the situa
tion TO see II we have not already ven
tured too far upon the road. II SO, tr,
that timely and slow retrenchment tina
alone can ward off severe shocks"
As step toward still further contro
OF German capital, the Federal Counci
issued a new set Of regulations on Janu
airy II regarding dealings in shipping
stocks. These provided that not onl,
should no shares be sold TO foreigners
but also that none should be sold I,
Germans who did not live in the emplr
or had d permanent residence there o
whose capital was largely at the dispo
sitlon OF foreigners.
Among the high officials opposing tn
much -talked-of proposal to levy a bil
capital tax after the war H.. help ex
tinguish the huge war debt is Herr vo,
Seydewltz. Finance Minister OF Saxony
who told the upper house on January ]
that such a levy might easily be fatal d
German industry, as enormous amount
OF capital would be needed TO rehabili
tate industry and agriculture after tn
war