Evening public ledger. [volume] (Philadelphia [Pa.]) 1914-1942, 1920-12-09
GOSSIP OF
THE STREET


evident yesterday that the financial
community is not yet immune to dis
appointment. This was strongly mani
tested in the feeling expressed concern
ing the lntcst issue of treasury GER
tihcntes ofs Indebtedness. The $500.
COCOON authorized by the secretary of
the treasury is the largest issue of
treasury certificates on record. Part
of the issue is for six months at 5N
per cent and the other for one year at 6
per cent
| In the opinion of the officials of the
leading banking institutions the con
tinuation of the q per cent interest
rate seems to preclude any early pos
sibility Of reduction in the reserve
bank rediscount rate. In their opin
ion 1t also seems to forgo hopes of an
early general break in bank interest
rates. In consequence. quite few
were disposed to construc the new is
sue as bearish on the investment
market.
After all. there appears to have been
little real foundation for most of the
recent talk of easier money conditions.
Instead there appears. just at the mo.
money rates before the close Of the
current calendar year. \ possibility or
hardening of money rates Is Sug
gestcd in the preparations to be made
to meet the requirements for the enor-
nous ar-end settlements and dis
bursCments, always the largest of the
year.
At any rate. those who have had the
occasion to negotiate loans recently
Nl,,s- Snttg
that much Of tho talk of easier money
conditions was just simply talk.
Service for Everybody
One of the large local depository m
Stitutions in order to give its patrons
the advantage Of the many facilities
offered by the bank. some time ago
instituted service department.. The
management was placed in the hands OF
several of the competent Junior ofhrers
Of the institution. which not only sup
piled n long felt want in relieving the
executive officers of minor detail work.
but also worked out the plan adyan-
tageously for the bank. resulting in
material increase in deposit accounts.
In addition to supplying information
when personal calls were made. great
deal of assistance was given to the
patrons by letter communications.
Since the introduction OF the new de-
partment. n number of difficult prob.
IONS have been encountered which all
have been ironed out to the complete
satisfaction of the parties interested.
Many Of the inquiries have been unique
and not altogether according to the hoyle
of banking.
The daddy Of them all turned up in
Yesterdays mail. An out of town
client. writing to the president of the
institution, inquired If he would kindly
furnish the address of a reliable shoe
maker who did hand work on high
grade shoes.
'.NIv shoemaker who las been making
nv shoes for the last fifty years turned
nm his toes this week he wrote. ana
I am at a loss to find another to take
his place. Thought possibly you would
know one in your town. Only the hish-
grade stuff.
Weakness Cropping Out
Each day some new weakness in the
ma rket seems to come to n head. said
n we'll known uptown banker yesterday.
az the same time ] have observed
that on thr reCesSions there was fair
demand for the higher grade of securi-
ties, In consequence. ] am disposed 10
take a conservative bullish attitude to
ward the market on the belief that the
proving and that people with funds and
patience should make moderate pur-
rhaspS Of securities around the present
level Of prices.
I'm all 9 ,.uts the market. as whole,
appears to have reached stage where
il seems to meet with more stubborn
resistance in the majority OF stocks on
each drive. Unless am mistaken. i'm
portant interests are picking up STOCKS
but this accumulation is going on only
on weak spots. 1t is unwise always
70 climb for stocks, as every one knows
At the same time, II ~ almost lmpoS-
sihlc to get the bottom prices.
"It would seem to be simply
matter of common sense to suppose that,
after tho severe marking down which
has taken place in the security markets
the last twelve months. the market
is getting near, or is already Scrapihg
bottom. There may be some further
weak spots TO clean out, but this VIII
be found to apply entirely to STOCKS OF
purely speculative character.
Bears Getting Reckless
There was some discussion yesterday
about the industrial corporations when
| have been under pressure at dlHereht
times in the last few weeks. but bcarish
expressions III regard TO these proper
ties entirely ignored their asset values
and the accumulation Of funds which
many pf them show as result OF tn"
last foNr years business
There were indications that the short
interest in these stocks has grown stlll
larger since last estimates were made
and that many of them ar" in posi-
tion whore an advance can b" forced
similar to that which occurred in so
many stocks in the last four days OF the
last wopk. In one of the most impor,,
tant circles confidence was expressed
that the market will break away from
unfavorablo developments.
Steel Cancellations Checked
! Further concessions in independents
priccs were scarcely reflected in the
steel business uf the last week, except
as tending in some measure, to cheek
cancellations and suspensions by means
; of some revision in contracts with tue
jDdopoudpnt mills. The steel trade
had expected to drift through December
with the buying at the lowest rate OF
the wear " observed III" Iron Age. IAc
process nf adjusting operations I" cur
tailed demand went on at blast furnaces
and steel works, ther" being net loss
. Of thirty three furnaces blown out IN
November. Pig iron output last month
Uas - Q34 .4OS tons. or ~ ,fO tons
day against 3. ~ .507 tons in October,