Evening star., 1919-12-07

President Hawes of the American
Bankers Association has announced
the organization of a national com
mittee on European finance as the re-
suit of a conference the purpose of
which was ito encourage and press
such plans of assisting the acute sit
uation existing as may be formed
through conference of this body of
men representing, as they do, the
finance and industry of America
From this committee of fifty, together
with others representative of banking,
an executive committee of smaller size
has been formed and is to meet pres
emily to take up numerous questions
pertaining TO the present economic
situation. In his statement Mr.. Hawes
says that, white domestic problems,
of course. are being given the earnest
consideration of the American bank
ers, it is recognized that we must
vigorously press on the American pub
lie the necessity for cooperating in
such plans relative to European
finance as m;Ly be formulated, and to
have the American public. and espe-
cfally the American investing public.
with which the bankers naturally
are in closest touch, realize their re-
sponSibility in the matter of facilitat-
ing foreign trade. America must
worlds trade. and to do this her citi-
zens should give their attention to the
results which may come out of the
activities mentioned"
Course of the Market.
The upturn last week in the stock
market, says Bache & Co, occurred
notwithstanding that the federal re-
serve bank proportion of reserve had
declined from 46.9 per cent the week
before to 45.5 per cent on November
IS. being 1.3 per cent below the pre-
vious low record. Ordinarily. this
would have been signal for rising
interest rates and a curtailment of
curtailed loans. tighter money and
high interest rates were expected in
Wall street. But-in the meantime, in
the period since the last report of the
bank. considerable liquidation must
have progressed, and money from
other sources than the New York
banks must have come in to Wall
street. At any rate,awith the current
unfavorable happenings - tightening
Of the coal supply trestricting and.
plants). insistept dropping of ex-
change rates and Continued selling for
tax purposes-the market suddenly
took an upward spuEt. Short eeveTfng
but did not appearSto he the incipient,
cause. Usually after the middle of
December, with the crop movement
over, crop money begins to flow back
10 New YORK, which is the great
banker for the whole country and
finances the heaviest part of the
movement. Possibly this year the crop
movement may have closed earlier and
the crop moneys begun to flow back
sooner. .
But there are unsolved problems of
great Importance still before the
country-among them, labor, foreign
trade and the railroads. The latter is
acute because of the near approach of
January !. when the President has
said that the roads would be turned
back to their owners. 1t is hard to
believe thar this will be done. at least
without government guarantee of
rentals; but the uncertainty remains
Business Conditions.
Discussing general business condi-
tions, the Guaranty Trust Company of
New York in its weekly summary says
that as yet the reduced output of btu
minous fuel has not seriously affected
other industries, but that 1t may do SO
seems to be Indicated by the procla-
nation of coal consumption regula-
tions. Meanwhile both Wholesale and
retail business reflects the continued