Richmond times-dispatch. [volume] (Richmond, Va.) 1914-current, 1920-08-28
.CALL MONEY TAKES JUMP;
STOCKS SHOW NET GAINS
Cuba Cane Sugar Is Notably
Weaker, but Others Not Ma
tcrially Changed.
DENIES LOAN DISCRIMINATION
Governor Harding, OF Federal Re-
serve Board, Takes Up Cuigcl.
High Rates Have Not Checked
Proftccring.
ny nuoADAN WALL.

NEW YORK. August 27-Cal
S money went TO 10 per cent today
after renewing at s. bat in spite OF
that more stocks showed net gains
Than losses.
The gains were not large. but the
Fact that there were any at all undo.
the circumstances is notable. Motor
stocks were weak. and professionals
took ADVANTAGE of their weakness 70
Sell others. The rails. however, were
respectfully avoided by the traders
Cuba Cane sugar was notably weaii,
but other sugars were not materially
changed PITTSBURGH Coal and Pond
Creek attracted attention for. their
strength, The market closed in the
midst OF the SLIGHT rally, follows E
weakness that had tasted for Il cou-
pie OF hours.
Harding Defends Hoard.
Governor Harding. Of the Federal
Reserve Board. announced publicly
that there was no discrimination in
making bank loans, and the bankers
all hastcued 10 bring him up TO date
ny letting him know the facts. What
the business world wants Is oenevo-
lent discrimination. The business
world wants proii;ceTs Disseminated
asa!ns,. and ii wants the Federal Re
serve Board to attend 10 its sworn
duty under the law. There can be
no proatcer!ng IN money even by the
smallest bank without the consent oil
u
gives that board absolute control OF
money down 10 the ultimate borrow
er.
In the first SIX months OF this year
the Federal Reserve Bank OF New
York earned az the rate OF 2o".h per
cent and tho twelve banks COMBINED
carned At the rate OF i5l.3 per cent.
That means toal earnings of Sl@o.puV.-
osa a year The high rates charScd
have not checked protitcer!nG. be
causc tho proutecr does not care much
about the rate since 1t Injuries ms
wcaker competitor enough 10 make
cSo-Nthin- square with him.
High prices whether for money or
commodities arc useful only 10 the
extent :hat they pirc the produc-
lion OF greater supplies. Since She
supply OF credit is not influenced ny
the interest rate, but is dependent
entirely upon the Willingness OF inc
Federal banks 10 purchase olis rom
member banks. The hich rate inat
has been CHARGED has done nothing
roday's attacl; on the Motor stocks
was due largely TO the receiNersh!p
RI Jha Bethlehem Motor COMPANY
iolloWinC 50 closely after that OF me
Gwen Magnetic when Republic Mo-
tor broke five points today on IN"
sock market, traders began watch
sec what would nc announced re
gard!nG this company. but up 10 the
close Q. business nothing had been
made public II is believed that
there Is surplus Of expensive ma
Terrell In the hands o; motor pro-
ducerS.
Erie sold up nearly roin;. touch
ing j: - 'Tlis was due TO an
nounccmcnt that tho Interstate Com
merce Commiss on had approved an
SSOco.O 600 loan TO the company. Eric
Is 2 waterlorged stock. hut it has
without question the hest freight
line between New York and Chicago.
u Is : water grade with the cNCcp-
tion az one pinch. where an extra
locomotive * employed. The Erie
and tho Baltimore and Ohio being
freight roads should profit more from
the first advance than any o;he"
railroads of IN" country
RcplcEle steel announced its earn
!nGS for the first six months Of the
year 10 he S22i,62r consisting en-
tir"lN OF intcres, OH cash balances
Profess SIGNALS imagine this had some
hearing on tho price OF tho stock ana
therefore sold 1t. EcploClc stock has
been advancing not because OF earn
ms. nat because of tn" tremendous
body Of high grade ore that has been
proved on its property. which lies
4nlN forty miles from New York
Montgomery Ward stock was well
h"usht today in anticipation OF Tho
election OF Edward Wise. OF the
United Cigar stores Company to the
presidency In the near future III.
common stock VIII also hc placed on
per cent dividend basis.