Evening star., 1921-05-28
PRESIDENT ADDING
TO FINANCE DATA
Continuing Conferences Be-
gun Wednesday-WiIl
Summon Bankers.

A group Of bankers and financiers
from every section Of the country are
to be consulted by President Harding
before ne concludes the series Of finan-
cial conferences begun Wednesday night
at White House dinner. when the east
ern banking interests were chiefly rep
resented. No appointments for further
conferences have yet been made. but it
is proba BILE that a group of financial
leaders from the middle west will be the
next to be summoned by the President.
1t is indicated in administration cir
cles that 50 far as sentiment has been
canvassed the financial men are virtually
unanimous in believing that the Federal
Reserve Board holds the key to a proper
readjustnent of general financial cnndi-
tiOnS. Those consulted are understood
to have told the PRESIDENT that in their
opinion the board could so a long way
toward restoration of normal conditions
by eXerting its influence to keep loans
at a reasonable rate on 4 sound basis.
Removel of restrictive measures
placed by the board on credit extern
sion, under the federal reserve act
was said to have been advocated by
the bankers as a means of solving
the problem facing the farmers OF
the country.
Progressive. rcdiScount rates. which
the board still continues in the, St
Louis and Kansas City districts. it
was contended. work a hardship on
the agricultural interests because
banks which are charged more for
money merely pass the increased cost
along to the borrowers
The reserve banks charge member
banks up TO Il maximum of per cent
IN 81. Louis and 12 per cent in Kansas
lltE ior loans in excess of the base
line figure fixed by the board. the
rates progressing Il per cent on each
2" per cent of loans in excess of the
base.
Legislation to permit longer cred
It's to the farmers through extension
OF the limits fixed by the reserve act
on agricultural paper eligible for re-
dlScount at reserve banks was said
10 nave been favored. The opinion
was expressed that restriction Of eli
gible agricultural paper to six months
was TOO early maturity in the case
al many farmers. Extension of the
maturity limits. it was maintained
would enable the member banks to
extend correspondingly longer terms
to the farmer
Phnse of Export Problem.
A phase of the export problem
which. it is understood. was discussed
was the question of Il possible guar
antee of the stability of the govern
ments of countries into which Ameri-
can goods might be shipped The
bankers were said to have been dis
posed TO the view that the Edge
act corporations for financing exports
might have more support and the Op-
erations Of the War Finance Corpo-
ration he given n wider field if means
could he devised by which the eX-
porter could be insured against the
loss of his commodities through
change of government in the country
in which they were to be marketed.
The administration is understood
however. to have taken the position
that this government could not under
take any guarantee on behalf of ex-
porters. but should confine it's aid to
CO operation between governmental
agencies and the various factors
working together in the country for
world rehabilitation.
Discuss Gold Movement.
The bankers are also said to have
expressed belief that the move
ment Of gold into this country could
not be practically interferred with.
holding that this development was an
inevitable part of the reconstruction
now under way. Ways and means-Will
be considered by the administration
to keep the influx from Leading TO
any serious consequences. . =. ..t