Evening public ledger. [volume] (Philadelphia [Pa.]) 1914-1942, 1920-12-02
GOSSIP OF.
THE STREET


ulative accounts, which their owners
were unable to finance further, In the
opinion Of several shrewd market OBJ
servers, is usually the sign that the
worst has been seen. They point out
the taking over process generally ap-
pears at the end of violent decline.
The philanthropists constituting the
salvage corps have busy time Of
it since election day. While the names
Of perhaps some of the more prominent
lame ducks have found their way in
public print, there are many reasons for
supposing that, there exists a long list
Of unknowns.
The closing out of each Of these
weakened speculative accounts natural
ly removes one more menace to the sta
bility of the market. II it had been nee
essary to have thrown these holdings
upon the open market, the recent dras-
tic decline would surely have reached
much more serious proportions and
consequences.
The question naturally arises on all
sides how many more of them need
the philanthropic taking over" treat
ment. There may be a few left, but
1t is reasonable to assume the more
seriously injured have been removed
from the field. This sensible and scien-
tific treatment has averted q great deal
Of trouble and placed the market in Il
position wherein it will be able to re-
spond to constructive influences which,
sooner or later, must automatically as
5ert themselves.
1t is the application of the same sort
of scientific nursing of cripples that
the business world has been saved from
considerable unpleasant embarrass-
ments.
Steel Price Reduction
The steel industry in the last week
was featured by general reductions in
independents prices. some of the com
panies announcing that the steel cor
poration's levels would be met.
THE situation states the Iron
Age, sis, in brief, that the independ-
ent producers are getting more money
for products for which they still have
fair sized contracts, products on which
the corporation is rather fully booked.
That journal observes that wage re
ductions at steel works are discussed
in some quarters as though impending
and in others as not to be looked for
until there have been further cuts in
retail fod prices and in other neces-
saries.
Extensive Corporate Financing
Notwithstanding the handicaps Of
high money rates and the prolonged
weakness Of the security markets, cul-
minating with the drastic liquidating
movement in the latter part of the
month, corporate financing was con-
Quoted on rather an extensive scale
during November. The total, while
being considerably under previous
months Of the current year, included
an unusually large number of small
loans and a larger number of stock is
sues.
Aggregate output of new railroad,
public utility and industrial issues was
S173 .335 ,940, against $34O, ,519,390 in
October. and 1904 ,S45 100 in November
of last year. Approximately $23 3,614,-
600 out of the months total, equal to
1876 per cent, was for the purpose Of
retiring maturing securities. This
compares with $40, ,307 900, or SO per
cent, in October, and $50 $50 900, or
17.9 per cent, in November. 1919.
For the eleven months of the calen =
dar year, all records were broken by a
wide margin. The total corporate
financing in that period was $3,O5S,
$40 ,O3O. considerably more than the en- =
tire amount in 1919, which was O
record breaking year up to that time,
OF this years financing, 81, ,223 ,07S,
43O was by industrial corporations
$3.50, 7S1 900 by railroads and $453,
SIS, 900 by public utilities.
Progressive Readjustment
The Franklin National Bank, in the
December issues of tic Digest of Trade
Conditions, says:
As indicated in these reports for sew
eral months past. there is now clearly
in evidence a decline in the volume OF
transactions in almost all lines. a de
cline in the price Of the majority o.
commodities and manufactured articles
The decline in wages and salaries which
must of necessity accompany such {
movement is we'll under way. n eS'
volume of business does not necessaril!
mean a less proportionate profit. anC
lcssening prices coupled with less wage
might mean a larger net saving for eacl
individual out of the months pay en-
velope.
Affairs in Austria