Evening star. [volume] (Washington, D.C.) 1854-1972, 1921-01-31
RESERVE DISCOUNT
RATES INCREASED
Six Per Cent on All Maturi'
ties-Want Certificates
Out of Banks.
BY 1. A. FLEMING.

National banks IN TINS reg ioHdi us
trict received a circular letter inns
morning from Gov. Seay OF Rlchtloiu'
announcing that the discount rates on
all r,Iu.r ,,ter,. 10y M i.rorr BANKS lol
discount whatever the security or the
term. would be per cent
fsr~T The change affects only plember
banks collateral notes and renewal
notes secured by customers notes
secured by Treasury certlhcateS OF
indie edneSS The rate. effective July,
1920 was sig per cent TO b per cent,
now the rate on these notes secured
by Treasury certificates is per cent.
The governor of the federal reserve
bank in his letter calls attention 10
the fact that certificates OF indebted
ness may now be disposed by bank
ers in the open market at SISht
premium. showing money conditions
to be easier. and. owing to TIE TACT
that il is to the puhliCs advantage |"
have the borrowin. of the reserve
hanks reduced to the minimum. IL WAS
deemed wise to raise the discount
rate
Bankers were surprised AZ -" 49,
vance coming this tune. "heh my
anticipated some reduction as d proo-
ability OF he Iiflmca.t a.
They recall that Treasury certlfz
b. ieates sold freely when bankers nau
a slight advantage in discount rates
and fell off when the discount la.e
board to again favor the banks with
a margin between certificates and DIS
count rate. Certificates sold again
freely. Bank officials predict that
there will be a repetition of the rec
ord of the I:S !. S-'teS u
further issues will fail off
-tiov Seay pT' di'''t'. y
ury could refund maturing issues of
certificates at SAG per cen, until June
and after that at not more tiliih 80
per cent.
Bankers' Dinner Committee.
r \. Iaraer. chairman of III" din
ner committee of the District BANK :
ers' Association. has named the 1oi-
lowing as the personnel OF his com
mittee. Joshua Evans, jr.: Corcora n
Thom w. w. Spid. Wade IL cooper
Harry V. Haynes and NJ. d. Rosen-
burg.
Pittsburgh 3ebaterS.
.~4, The delegation of Pittsburgh de-
r.. RS ";,n VII contest with 2 New
York delegation on the question of
1s.r adj. s-.s'siIl.' OF s~l-ss an az w
New Willard on the evening of Feb
ruary IL is composed of Lewis
. konyathy of the Duqu"sne Trus.
Company. W. L. Dunn of the Bank o.
Pittsburgh. Leo Griffith Of Cassatt y
Co. and George Rankin, Jr. of the
Central National Bank of Wilkins
burg These men are all members of
the Pittsburgh Chapter. a !. B. The
delegation expects to attend the an
nuaI dinner of the Baltimore CHAPTER
on the evening of the 18th of Febru-
airy.
COngratulatiOns in Order.
r. NJ Harper. president OF the Dis
trict National Bank. is quietly observ-
ing the anniversary of his natal day.
attending to business as usual. Esti-
mates center around fifty-siX.
Local Securities.
..s,-Today's session of the local stock
exchange was embarrassing and pro-
doctive of but little business. A sale
of ten shares of Columbia Graphic
phone preferred was made at 60. the
first sale of the year in this security.
4 few shares of Washington Gas
brought BIZ.
sale of $4,000 Washington Gas IS at
,76da.
Withdraws Deposits.
The Treasury will take $4,000 .0eC
out of the national banks tomorrow
on account of the proceeds of the
sale of January Is Treasury certifi
= Gates. The original sale was s3f0.-
SS6.50o certificates. and s177 100000
still remain in the banks to the credit
Of the Treasury Department.
- Foreign Trade Financing.
line countrywide campaign for the
sale of the stock of the 800. 900 .0et
Foreign Trade Financing Corpora
ton, the presidency of which was Of
-fered to W. p. G. Harding. will star
tomorrow. Definite plans of the cor.
pOration have been sent TO 10000
banks and will be distributed gener.
ally to manufacturers and producers
The prospectus is the development
of two years study and work by the
leading business men of tha#country
Through this new medium credit pos
sibilities of $1,000. 100000 are made
available for long time periods in the
interest of foreign trade.
Stock is being so.d at sos share
NO promotion stock. commissions Of
fees. a payment Of s25. share viii
be called when the corporation i!
ready to start business.
Important Merger.
1.-THE merger of Redmond & Co Of
NeW York and Frazier & Co. OF
Philadelphia, under the former firm
name. unites two of the best known
bond houses in the country. Redmond
& Co. was established thirty year.
ago and Frazier & Co. was formed in
-1el3. Both houses have larg.
clientele and as enc institution should
take immediate place with the bes
hoNses in the bond business.