Evening star. [volume] (Washington, D.C.) 1854-1972, 1920-12-03

Tax Certificates to Be Re-
deemed, sos, 0O0,0 900.
Local Bonds Very Active.

The financial world is deeply inter-
ested in the financial operations of
December Is. hoping that this date
may be passed without any serious
furry in the money market. after
which they will give close attention
to the January l disbursements
crucial tests for the money market.
after which 1t should be reasonably
plain navigating until March To-
when the first payments on account OF
the 1920 income tax will be due.
December Is Is the last day. for the
payment OF the fourth instaiiment Oh
Estimates Of the amount to be PAID
in have been made as high as $9oo,
00O,0 600, but the general opinion is
that this sum is too large by nun
bred million.
AS a matter Of fact the Treasury
viii not be very greatly replenlshed
by the large payment, as IT mas al
ready received on account or TINS pa!
ment a matter of 3703.o00,0o0. through
the sales Of Treasury ceruhcates
which mature on that date. :.
There is some little difference IN
the views of bankers on the rate
Of interest to be fixed on the next
Treasury certificates offered. the De.
lief favoring 81 per cent on snort
term Issue, "UIIc SdSlCi -
the money market might induce an
effort to float large issue at lower
rate. say s II per cent.
It is generally believed that money
will work easier in January. 1t is
not the habit Of the Treasury Depart
on the first and fifteenth of month,
or bankers would look for an issue
before the fifteenth. and it may come
as the Treasury supply of available
cash Is low.
Zig Bond Buyers.
Evidently local investors are rein
vesting at least q part of the large
amount Of cash paid out here by the
Capital Traction Company and the
Washington Railway and Electric
Company In interest and dividens on
December l.
Bond transactions today included
$zo.500 bonds, heavier sales than have
ket on any one session for many days
Prices were well UP to recent quota
lions and the action of the market
was encouraging.
Railway Is were the most active.
$1,000 selling at So. and $4,000 at
6sX. Chesapeake and Potomac IS
brought 9Sh: Potomac Electric con-
solidated IS. S2H: Riggs Realty long SIS.
So, and Capital Traction 5s. S6h.
The rest Of the local market was OF
Email consequence. halfway pi
red was firmer at sass H. while Wash
ington Gas sold at 40a
Outlook ON Southern Pacific.
A Wall street broker. Moler. thus
sizes up the situation in Southern
Pacific:
Some further setback is expected
to develop in Southern Pacific stock.
as many traders are inclined to sell
the stock in anticipation of getting
IL back cheaper owing to the segre-
CATION plan calling for the payment OF
SIS q share for the new Pacific Oil
Company stock, whereas they had
been expecting to get it for nothing
on Q straightout distribution of the
Southern Pacifics oil land assets.
1.-THE syndicate underwriting the
fotation Of the new s.ae0.e00 shares
Of Pacific Oil Company stock estab-
lished the market in the rights yes
terdAy and also the nominal price of
the new Pacific Oil Company stock,
and il is expected to maintain the
market for both
Meanwhile there are s45. $50 900 of
the Southern Pacific cempany,s con-
vertible per cent debenture bonds
due 1894. which must be converted
into the stock at par TO participate in
the rights to subscribe for the Pacific
Oil Company stock.
This conversion will. of course,
greatly increase the floating supply
Of southern Pacific stock. of which
there are outstanding more than