Evening public ledger. [volume] (Philadelphia [Pa.]) 1914-1942, 1919-12-13

those selling were not in the class who
are disturbed over their taxes. a broker
said that his experience showed that
these securities came out in small lots.
In the case of the Canadian Pacific
the belief was general that sales were
being made for foreign account. which
was possible under favorable conditions
of exchange. Much of the Canadian
Pacific stock Is held in Great Britain.
hc said. and English holders by, having
sterling at present rates shipped to them
would make more on the exchange end
of the transaction than they would lose
in n sharp break in the stock.
European Credits
Among the bankers it would be difh
cult to carry on discussion, whlch
would not lead to the subject OF
European credits. There was a good
deal Of disappointment over the debate
on the subject in the House on Thurs
day, when Representative Fordney an
uounced that no assistance in the mat
tor need be expected from Congress.
An investment banker. When discuss
ipu Representative Fordney's stand.
said he thoroughly agreed with him that
il was not matter for the government [.
He said his plan would be for the mer-
chants Of Great Britain and OF the
other European countries to get together
and arrange with their governments 10
| endorse their notes given in exchange
for commodities which they wish 10
purchase here. Say for instance, he
| remarked, the leather merchants ot
/ Great Britain want to purchase 5000.
| 600 worth Of leather here, Let them
arrange with their government to in
| tjorse their three months notcs-witf
| the privilege OF extcnsion--and let then
the privilege Of extcnsion-and let ouI
merchants here arrange with our gov
ernment to have the Federal Reserve
re discount these notes. which they
should do on account Of the ipdorse
nent of the British Government. Til
these notes would be paid the British
Government would be the owner OF thu
goods. the merchants buying beint
simply purchasing and distributing
agents for the government till the trans
action IL completed. The same plan
of course. he said. to apply to all othe'
large purchases of commodities. ant
with our Federal Reserve discountini
such notes all difficulty should disap
pear
The fact of the matter is that the onl!
alternative is the selling of forcigI
bonds. and there is no Disgusting th
fact. he said. that campaigns for tina
purpose have up 10 the present beer
failures.
why" he concluded: should no
the respective merchants and the gov
crnmcnts of the different countries &c
together on proposition of this ua
turc. which would be moro successful
than my trying to sell woman Gus
toner the bonds of foreign country
Money Conditions Blamed on Profiteer
4 member of a prominent firm of in
vestment bankers, giving his opinion o
stock market and money conditions, sal
he blamed lot OF profteers who. whe
they concluded after the signing of tn
armisticc that European cpuntrie
would need enormous quantities c
| everything. jumped an and bought righ
and left everything purchasable, with
, out considering the means for settle
, mcnt. They borrowed from the bank
) t6 pay for what they bought. and tn
prices which they paid were away be
yond the prices which the same com
mOdities command today. These good
are choking the docks and wharves |
$ New York, and the bankers are gettin
. tired.
1 Up to the present the solution has M
9 been found, he remarked, and, in th
[ meantime progress has been almo'
I nil on account of the exchange situa
t ton.