The Washington times., 1919-10-25
LOCAL FINANCIAL
And BUSINESS
GOSSIP

Interest in foreign financing has
been awakened by the announcement
OF $3.50, 900, 900 British loan, and
that ether foreign countries prob
ably would call on the American
money market for advances within
the next twelve months.
W. p. G. Harding, governor or the
Federal Reserve Board, speaking be-
fore the International Trade Confer
ence IN Atlantic City yesterday, said
the need of European countries was
long ter mcredits and that the in
vestment market was in a position
to meet this demand. The Federal
reserve system itself could do but
little in financing trade with Euro
pean countries, because of the Fed
eral reserve act which provides that
the maturities of all paper discounted
with the Federal reserve banks be
no longer than ninety days.
II the Treasury Of the United States
continued to made advances of loans
to foreign countries, there would re-
suit a most harmful imitation, accord
ing to Mr.. Harding, and the problem
OF financing Europe, therefore, be-
comes one for private initiative and
Individual enterprise.
United States Position Strong.
The United States now. occupies
relatively a stronger position in the
field of world finance than ii has ever
held. Our bankers have had COM
paratively little experience in extend
ing longtime credits in foreign coun-
tries. Ii is Important that the judg-
ment and co-ouperation of European
bankers be enlisted when we under
take the new role of purchasing long
time securities, especially of private
enterprises. with which we cannot be
expected TO be familiar"
Under the Federal reserve act ma
tional banks having a capital and sur
plus Of not less than one million
dollars are authorized either to estab-
hsh branches in foreign countries or
TO take stock to the extent of ten
per cent Of their capital and surplus
in banks and corporations principally
engaged in foreign banking. Under
recent amendment to the act, all
national banks, regardless Of their
size are authorized to subscribe not
more than hve per cent of their capi-
tai and surplus to the stock of cor
porations principally engaged in such
forms Of financial operations as are
necessary Or conducive to the export
Of goods.
Imports Increase.
During the month Of September ex-
ports from the United States amount
ed to $4,000, 900. which was s53, ,OOO,-
900 less than the exports for the
month Of August Imports into this
country, however, increased during
september, the total amount being
S435,O0O,OoO. This represented s92, 2,OOO,-
600 more than the previous high rec
ord established in July of this year.
The Comptroller Of the Currency.
during the week ended October "a. re-
celved eight applications for charters
TO establish national banks, which rep
resented an aggregate capital of
S5OO,OOO. During the same period. five
charters were issued to banks having
total capital of $685., 900. The Lib
erty National Bank of New York was
authorized to increase it's capital by
$2.OOo,OO0 and the Central National
Bank of Richmond was granted a
permit to increase its capital from
S55o,oOo to $500. 900.
Aradlng on the Washington stock
Exchange today was rather dull. with
only small lots changing hands Lam
ston Monotype sold below yesterdays
nigh point. sixteen shares being
traded at s1h, and the stock selling
Al 81 Capital Traction sold in small
lots at 30 and 90E. There was small
trading in the bond line