davidaulloa/AmericanStories huggingface dataset:
The Washington herald., 1920-04-26
Pubhc's Timiday With Respect to
Security Market Soon to Be Relieved

Chicago, April 25. There are
rumors n'this city of news to come
out in New York within a few days
of a character to relieve the public
to some extent of it's present timid-
ity with respect TO the security
market. Anybody outside OF very
small circle asked as to the nature
of this Intelligence would have to
say Il don't know" The sponsors
for this hopeful forecast. however.
are highly trustworthy persons.
The information il such il may be
called, is worth passing along in
view of the fact that the many
small Investors are on verge of SELL
ing their holdings because they fear
a lower range in bonds and stocks.
Inasmuch as most ordinary buyers
make their purchases on the sug-
gestion of more experienced men,
this lead is worthy their attention.
1t may be said of certain Chicago
issues of high standing that the
best heretofore reported of them
would be borne out by the figures
soon to be laid before the public.
This statement covers the agri-
cultural implement and electrical
supply companies and at least one
of the packing companies. 1t fol-
lows from the prosperity of these
concerns and the high rates for
money in open market that the dis
bursements to stockholders should
be greGter than heretofore.
Money placed in a stock is in q
sense money loaned. and II the pub
lie interest rate has advanced from
5 to 8 or 10 per cent, income from
stocks should be increased. More
over, persons who were getting a
stated income before the war suf =
ficient for their support then, and
who get only the same income now
are unfortunately situated in view
of the high cost of living.
One change now going on in the
money market may be a part of the
development of the rumors promise.
1t is a little easier to borrow in
New York now than 1t was a few
weeks ago. 1t is harder than ever
in Chicago and farther west. These
changes commonly move with the
sun, and we may count on less
rigidity in the market here than is
now experienced. especially il rail-
road operations loosen up. That is,
however, not enough by itself to
justify an especially hopeful fore
cast, and the new element in the
lending of the Federal Reserve
banks would tend rather to tighten
The Washington herald., 1920-04-26
Japan's Crisic UnseHles
Foreign E xchange Situation

lines; lire from the low movement
at 26,77. showed q gain OF 40 at
1857. The high Of sterling in the
previous week was S.sS.
Estimates early in the week were
that s12, 100000 more United States
gold coin would be shipped to Ar
gentina and tentative. engagements
were made on that basis. Later IT
was announced that the exports had
been postponed on account OF
steamer accommodations. The ship
ment- of the si2,000,00o. IL it goes
forward, would bring our total ex-
ports to Argentina so far this year
to sl12,oe0, 900. No gold was re-
ceived last week from Great Brit
ain and the Bank of England state
ment did not show any appreci-
able chance In gold holdings. A
development Of the week was an
advance of 1-2 per cent in the
New York premium at Montreal to
10 per cent.
Toward the end Of the week the
New York agency OF the Bank OF
Japan announced the receipt of ad
vices indicating that the general
situation in Japan was more re-
assuring. While the imports to
that country continue heavy. ex-
ports. it was stated. are still run
ming greatly in excess of expecta-
tions.
German exchange was freezer
following an early rise to 1.67. The
market receded later to 1.si and
rallied slightly. later dropping to
l.6o. At the very end the general
tendency of the principal exchanges
was again reactionary. Francs fell
to 1856 for cables and 1857 for
checks.
The Washington herald., 1920-04-26
americas Importation of Sugar
Reaches rd-Breakmg Figures

With sugar prices the highest
ever" the quantity being brought
into the United States IN the "bfe-
gest ever" Official figures Of the
movement OF sugar into the United
states, including that from its own
Islands, says statement by the
National City Bank Of New York,
indicate that the quantity entering
the country in the fiscal year 1920.
which ends with June, will appar-
entity approximate s.o00. .0OO. 900
pounds, as against 1850, 100000 in
the former high-record yeaf-the
fiscal year 1913. The valuation OF
the 1870 imports will, however, far
exceed that Of 1919 or any earlier
years. and may reach s7o0, ,oo0. 900.
against S433. 600, 900. in the fiscal
year 1913 tthese figures including
the sugar from our own islands,
which are not usually included in
the import" figures).
This enormous increase in the
value of the sugar entering contl-
mental United States in the current
fiscal year is due in part to larger
quantities, but expressly to the ex-
tremely high prices OF sugar in the
countries from which 1t is import
ed. The official figures Of the Unit
ed States government show the
average value per pound of the
sugar imported from foreign coun-
tries in February. 1890 (the latest
month for which figures are avail
able) at ga cents per pound and
1902 cents in January. as against
5.36 cents per pound in February,
1918: 80 cents in February, 1918;
s.s1 cents in February, 1917. and an
average of just 2 cents per pound
in the fiscal year Immediately pre-
ceding the war. The import price
for foreign sugar in January, 1920,
was, therefore, just five times as
much par pound as in the fiscal
year preceding the war, and these
valuations of the merchandise i'm
ported are, by law, the actual mar
ket value at Wholesale price at
the time OF expectation 10 the Unit
ed States in the principal markets
OF the country from whence eX-
ported" or the actual price at which
sold by the exporter.
While the United States Is in
creasing her Importation and con-
sumption. despite this enormous ad-
vance in prices. the work has ma
terially reduced its output of sugar.
The Washington herald., 1920-04-26

In the week under review. a sue
cession of climaxes was capped by
a collapse in the financial position
of japan. The, gravity of the Jap
anese crisis affected this country on
account of apprehension raised that
that country might draw consid-
cradle amount of our gold. Japan
ese financial Institutions were heavy
sellers of bills and other, bankers
followed, additional complication
being the unsettlement in the silk
and other commodity markets.
Other influences of depressing
character extended over markets
generally. including cotton, grains,
and securities. q .-.,....'.
In the eight months of the fiscal
year up to February, the United
States bought from Japan $l22. .000,-
900 more than we sold to that coun-
try. compared with an excess in the
previous calendar year of only $49,-
900. 600. 1t was established that "
the percentage. OF increase in our
imports from Japan continued on
the scale up to February until the
end of the present fiscal year, June
80, we might owe Japan something
like 5000, 200. 900. The conditions
that developed caused discussion
of the probability or necessity for
Japan to transfer its balances from
London to this country.
Owing to the aggregation of
bankers bills offered. sterling at one
time last week fell to 3.STs for de-
mand and 3.SSk for cables. At the
low figures this showed a loss on
the week Of 10h cents, but that
class of exchange was still 6sh
cents above the extreme low record.
Compared with the closing figures
of the previous week. French ex-
change showed a gain of 65 cent
The Washington herald., 1920-04-26

which. says the banks statement,
Will be in the current year about
Is per cent below that In the year
preceding the war. This fan on IN
world. prodnction fs Of course chief
iy due to the tremendous decline in
output OF beet sugar In Europe.
while the only cane sugar ares.
which has materially Increased its
output meantime isi Cuba, Porto
Rico and SAnto Domingo. The Eu-
ropean crop. practically all of
which is produced from beets, was
in the year before the war s,IS5, 600
tons and in the current crop year
IL estimated by. wiIlett & Gray, a
recognized sugar authority, at a.
100000 tons. or only about one
third that prior 10 the war. and ma
terially less than In the. closing
year Of the war. when IL stood at
$4,000 tons. Cuba has, accord :
ing TO the same authority. in
creased her output from 2.sOO. 600
tons in the sugar year, 1854, to
100000 in the current sugar year,
Porto Rico from $4,000 tons to
427. 900. and Santo Domingo from
10000 tons to $50. 900. India made
a material increase in her output
which advanced from 2,2s2.OOO tons
In 1sl3-1t to 1000. 200 in 1890.
but as she consumes all of her own
sugar. the effect upon world inter
national trade was not perceptibIe.
Java made practically no gain dur
Ing the war period. her pre-war
crop having stood at I,345,00O tons
and that Of 1880 at I,326, 900
tons. Hawaii made no increase.
her pre-war total having been
$4,000 tons and that of 1880
estimated at 500. 900. The Philip
pine production. 225.OOO tons.
showed no increase. The Latin
American crop Cexcluding Cuba,
Porto Rico and Santo Domingo. AL
ready accounted) aggregated a lit
tie over 100000 tons in the cur
rent year against a little less than
100000 in the year preceding the
war. The African sugar crop
showed a slight increaSe. that Of
Autralasia a slight decline. The
united states, exclusiev Of her
islands, made no increase; her out
put for the current sugar year
seems likely to stand at only about
10000 tons against $4,000 in the
Ipre-war year.
The Washington herald., 1920-04-26

pass the shipments OF March. 1919,
by more than s21s,SO0. 900. Even
greater significance. however, at
taches to the return of March i'm
ports, which reached $4S3,962,135.
Not only is this aggregate some
81 100000 larger than that of Feb
ruary and S216,O0o,000 greater than
March, last year. but it represents
a new high monthly record, eclips-
ing by S10,00O,O0O the previous
maximum of last January. While
the March excess of exports over
imports is considerably more than
was shown in February, the fact
that practically $4S4 100000 worth
of goods was imported last month
Is of Importance as demonstrating
that production in Europe is attain
ing extensive proportions.
Steel Trade Operations CurtaiIed.
Some encouragement in iron and
steel trade circles has been de-
rived from the improvement in
transportation, but the industry is
still seriously handicapped, and
normal conditions will not soon be
restored. At various points fuel
supplies have been very much de-
pleted, and it Is estimated that ac-
tive capacity in the Pittsburg dis
trict fell to less than so per cent on
the average. In the circumstances
there has been little Incentive to
negotiate new business, while
financial considerations have been
Influential in promoting a more
cautious feeling generally. Even
tually, however, a large volume of
railroad business is expected to
come forward. and firmness in
prices continues, with the prospect
of a reduced pig iron output
strengthening quotations on that
material. At an advance to S43 this
week, basic iron, Valley furnace, is
more than S17 a ton higher than a
year ago, ard Bessemer. Pittsburg,
is up S14.50.
High Clothing Prices Resisted.
That resistance to high prices is
growing stronger, is evidenced by
the wide protest against present
costs of clothing, and increasing
concern is felt in dry goods circles
as to how over-the e-counter sales
will be affected when many ad-
vanced wholesale prices are passed
on to retailers. With the disor-
ganization in transportation, and
the backward spring weather, the
results of the opposition to extreme
prices are not easy to determine.
though indications of a curtailed
purchasing power are becoming
The Washington herald., 1920-04-26
THE WASHINGTON HERALD WILL nor
KNOWINGLY ACCEPT AHx QUESTION:

Additions of over 100000. 900 to
loans and Investments and corre-
spending increases In deposits are
indicated by the Federal Reserve
Boards statement Of condition on
April 1s of S11 member banks in
leading cities.
The statement shows an Increase
of 1902 millions in Treasury certifi-
cate holdings. in connection with
the issue Of two new series of GER
!tsfcates, and increases Of about a.
900, 900 in United States bonds, and
of Is millions in Victory notes on
hand. Loans secured by United
States government obligations de-
clined by I0.2 millions; loans Sc
cured by stocks and bonds show an
increase of about $1,000, 900, the
member banks in New York City re-
porting an increase under this head
of all millions. All other loans and
investments increased by as mil
Mons all classes of reporting banks
participating in the increase.
Total loans and investments of all
reporting banks show an increase of
2045 millions, of which 1902 mill
lions represents the increase report
ed by the member banks in New
York City. In connection with
these increases, accommodation at
the Federal Reserve banks shows
an increase for the week of 44.5
millions for all reporting banks and
of 5.6 millions for the New York
City members. War paper held un-
der discount for reporting members
by the Federal Reserve banks shows
an Increase for the week from 1,164.7
to 1,1s0.3 millions, while other dis
counted paper so held increased
from S44.2 to S63.1 millions.
Following subscriptions to the
two new series OF loan certificates,
the banks report an increase in gov
.ernment deposits by 64.6 millions.
Other demand deposits (net) in
creased by 1891 millions, while time
deposits show a decline of 4.6 mil
lions. In connection with the in
crease in deposits, the banks re-
port reserve balances with Federal
Reserve banks 39.5 millieRs larger
than on the preceding Friday, while
cash in vault shows a decline of 3.6
millions for all reporting banks and
of Al millions for the member banks
in New Yor6 City.
Moderate increases in discounted
bills, offset in part by liquidation of
acceptances purchased in open mar
The Washington herald., 1920-04-26
sTUTZ SETTLEMENT WILL
BENEFIT STOCK MARKET

New York, April 25.-By settling
the Stutz fight the New York Stock
Exchange has proved once more that
a contract made on the floor of that
exchange is inviolable. The settle
ment will help the stock market
materially by cutting on the mood
of reform measures aimed at It
The real truth OF the Stutz corner
has not been published. II Is be-
llieved in Wall Street that the raid
was made by some big interest that
split the sales up into small lots
in the hope of coneealing its ideu-
tity. Mr.. Ryan apparently dis
covered the real raider and by so
doing he has conferred a great favor
on Wall Street and has made IL safer
to invest.
The Washington herald., 1920-04-26
CHINA DELAYS INTEREST.

1t was announced by the Stock
Exchange that information had been
received from ]. p. Morgan & Co.
that the Chinese government has
instructed the Morgan firm otto
pay interest on that portion of the
imperial Chinese government per
cent Hukuang Railways sinking
fund gold bonds, due in 1851, which
was originally issued in Germany.
The amount of this loan sold in
Germany was f1.5oo, GOO. or a fourth
Of the total issue.
The Stock Exchange. following
the receipt of this information, has
ruled that the bonds sold in Ger
many, which may be identified by
the serial numbers on the certifi-
Gates, are not a good delivery un-
less specifically exempted. The
bonds thus exempted are listed. and
the list is on file at the Morgan
Offices.
The Withholding of the interest on
the bonds sold in Germany was pro-
vided at the Peace Conference last
year as part of the claims China
fled against Germany growing out
of the war. Bonds which were sold
to allied nationals have been ex-
empted, however, and on these lat
ter the coupons, upon Identification.
are being paid. The serial numbers
on the German-sold bonds are as
follows On bonds of demon :iantion
of f20, numbers 25O1 to 325O0, in
elusive; on denominations of f1OO,
numbers S4651 to $3.50. inclusive.
unless on the exempt list.
The Washington herald., 1920-04-26
CHICAGO & SOUTHWESTERN
RAILWAY EARNINGS

Net income of the Chicago and
Northwestern Railway Company
for the year ended December al
1919. aggregated Sl3.9S2,5s2, equiv
alent to $S.34 a share earned on
the sl61,5S2'3SS capital stock. which
compares with s14.371,231, or 1857
a sharer-in the preceding year. This
amount was arrived at after de-
Quoting charges and taxes of SlI,-
510,441.
Total income last year, includ-
ing S23,201,0l6 in Federal compen-
sation, amounted to $25,4e3,023.
compared with $25,463,676 in the
preceding year. Preferred divi-
dends disbursed during the year ag-
gregated S1,791,s00, the same
amount received by shareholders
in 1918. Common dividend pay
ments totaled s10,16O,675, after
which a $2.o3o,307 surplus remain
ed for profit and loss.
The Washington herald., 1920-04-26
TRADE REVIEW
And OUTLOOK
Heavy Liquidation Marks
Uncertainty in Various
Branches.
DEFLATION UNDER WAY
Merchants Attempt to Clean
Shelves; Buy for Imme-
diate Needs Only.
DEFLATION UNDER WAY

The week has developed signIfI,
cant tendencies in business and In
speculative channels, with abrupt
price reaction in securities and in
some commodities, and the spirit OF
conservatism and caution, prompted
by prospective economic readjust-
ments, has become more general.
Recent financial and commercial
events in the Far East. moreover,
have had some influence here, caus-
ing liquidation and unsettlement in
silk markets. and domestic none
tary considerations, with continu-
ance Of the movement toward credit
contraction, are a factor of increas-
ing potency in future operations.
While pressure from the railroad
strike has abated. yet the delete
rious effects of disorganized trans
portation still appear in embarras-
sing delays in deliveries of needed
raw materials and other merchan-
disc. curtailing outputs at various
manufacturing establishments and
limiting mercantile transactions
and spot SUPPLIES of some goods
have commanded premiums over
the prices named on deferred ship
ments.
Rejecting the support impaired
by interrupted arrivals of foodstuffs
and other articles, Dun's list Of
wholesale quotations has lately dis
closed more advances than recess
sions, and even higher levels may
conceivably be witnessed in some
directions before prices begin to
turn definitely in buyers favor. The
fact is not obscured, however, that
the former buoyancy of the general
price situation is now lacking, and
that consumers resistance to high
prices, at first apparent in isolated
instances, is spreading.
Manifestations of protest against
prevailing prices have been most
conspicuous in the clothing trades
but are not wholly confined to that
quarter. and more is being heard of
the exercise of greater discrimina-
tion in purchasing. and of lessening
of extravaganza in personal expen-
ditures.
With such phases present, many
merchants are proceeding carefully
IN pTONlulnB LOT Otner than current
requirements. and buying for fall is
not Of the same magnitude as In
some previous seasons
Whether this marks more than a
temporary change in conditions, re-
mains to be determined; but the
growing opposition to extreme
prices is unmistskable, and certain
retail interests have announced
their intention of making redGc-
tions on many staple commodities.
Merchandise Imports at Highest
Level
Because of its bearing on the
foreign exchange situation, and on
business conditions generally, the
preliminary statement of this coun-
try's overseas trade for March is
especially interesting. AS reported
from Washington this week, last
months merchandise exports had a
valuation of SS19,974,12S, the second
largest total on record, and an in
crease of fully $174,20O,OOO over the
figures of the shorter month of
February. The March exports have
only been exceeded by the $685.
S7s,203 of last June. and they sur
The Washington herald., 1920-04-26
FEDERAL RESERVE BOARD
TO ADOPT NEW REGULATIONS

Points under discussion at the
recent conference between New
York bankers and acceptance men
and members of the Federal Re
serve Board hers have just be-
come known.
The board Is attempting sweep
ing regulations in the acceptance
or bill market which this body feels
should bear its share of the burden
in the present dehatfon program
of the government.
Chief topics that came up for
discussion were the following:
1. The board desires that bills be
more carefully scrutinized and that
clear definition be obtained Of
what the obligation covers.
2. Some members of the board
are not convinced that acceptances
should not be treated at rediscounts
at the Federal Reserve bank.
:. The board feels that too many
bills are finding their way into the
portfolios OF Federal Reserve
banks. -
4. Member banks who have ex-
tended their credit to the legal
maximum are getting around the
law by accepting bills for clients,
thus further expanding commit
ments.
That the board is said to be de-
manding that bills be more care
fully scrutinized is thought to be
an attempt TO ascertain il loans
are being obtained in this manner
to carry commodities.
Acceptance authorities are unan-
imous that should a ruling be put
into effect whereby acceptanCes
sold to Federal Reserve banks are
entered as rediscounts il will re-
suit in practically killing the Amer
lean discount market and that bills
would be a drug on the market.
II such a ruling is adopted it is
said the open market rate might
run nm as high as Der cent
The Washington herald., 1920-04-26
Westinghouse Interests Branch
Out in Automobile Battery Field

The formation of the westing-
house Union Battery Company just
completed at Pittsburg. Pa. marks
the extension of the Westinghouse
interests to new Industrial field.
The new company has been or
ganized to manufacture storage bat
teries for every industry in which
batteries are used. Starting and
lighting batteries for renewal on au-
tofnobiles will be featured. although
the new company will make bat
teries for other automotive equip
ment including trucks. tractors, mo-
tor boats and airplanes. Their full
line Will also include batteries for
The Washington herald., 1920-04-26

more clearly apparent. Thus far,
no large accumulation of merchan-
disc has been reported; but imports
continue sizable. and domestic pro-
duction. while still below normal,
thought to be gaining in compar-
ison with actual consumption. Bank
pressure is being manifested in sew
eral directions in the textile mar
kets. notably in the checking or
speculative tendencies, and the in
fiuence on conditions here of the
collapse of raw silk prices has not
been inconsiderable. The process
of liquidation in the silk trade in
New York, however, has been
mainly among smaller concerns
that entered the business during
the war period.
The Washington herald., 1920-04-26
MANY AUTO WORKERS IDLE.

Secretary Sem, of the National
Automobile Chamber Of Commerce,
says more than 100000 workers in
automobile factories and accessory
plants between New York and Chi
cago are idle.
Motor trucks in some sections
have been the salvation Of the in
dustry.
The Washington herald., 1920-04-26
United STATES Grain Corporation
Reports Weeks Grain Movements

The United hfeth
United
al
The Washington herald., 1920-04-26

AL rnAnctAr ADrxnrnsns Aocrr.
sIdp D0 las1 aa4 11H1 q sSssz1sTrsIl4' z1s1 sIzP
The Washington herald., 1920-04-26
Exports Of wheat ana Flour.

o andFi
total
the sixteen Of being from the monthly total which
include Relief