The Washington herald., 1921-12-02
CHEVY CHASE BANK
DEPOSITS $5O,OOOO
INFORMAL OPENING
Formal Ceremony Set for
Dec. 6, Due to Incom-
! 'plete Fixtures.
LOCAL ISSUES DULL
Traction Securities MOnopO-
lie Trade-New York Bank
Discusses Imitation.
LOCAL ISSUES DULL

Deposits of the Chevy Chase
savings Bank at the close of busI-
ness yesterday afternoon approx
mated sSo.oee. according to a state
ment made by officials.
while the formal grand opening
was scheduled for December 1. non
arrival OF minor fixtures of the in
stitution necessttated a postpone
ment until December s. The bank
VIII DO sort Of preliminary bank
ing business in the meantime.
-Hhile yesterdays business does
not In any way indicate with what
success the bank may meet, off,
Gals OF the institution are high
ly sratifed with the results shown,
and are confident the project will
MI a long felt need In Chevy Chase
circles
The banking hours maintained are
from $3.50 a. m. until 5:3o p. m.
Local Securities.
Seeurtties on the washinxton
Stock Exchange failed to show inn
provement in yesterdays listless
session. Public utility issues,
namely traction, claimed all the
attention. the restricted trading
railing to weaken the nrm price
tone.
Capital Traction stock sold to the
extent Of twenty shares at ~.
while twenty-five shares of Rail-
way common found a buyer at So
Washington Gas ~ per cent gen.
eraI mortgage had one sale Of $500
at 1os7s. followed by $1,000 at 1o4
Money ruled at per cent offered
for per cent funds.
Imitation I'm United states.
T In a review OF general business
conditions. the National CITY Bank
or New York has the following to
say under the above caption for the
month of November:
The state of the currency which
ne@ exists in a large part OF Eu-
rope, and the story of the assignats
throw light upon our bank credit
Imitation in the United States, for
imitation is practically the same in
essence and effects whether IL
comes through paper currency or
credit that passes by means Of
bank checks. In either case the
mischief Is done by the Increase of
circulating credit without relation
to the production of commodities
entering into trade.
AuIdllOH HdO It's start In the
United States during the war. when
great amounts of bank credit were
brought into use for the hotation
OF government loans and in re-
sponse to the demands of business
which was over-stimulated. After
the WAT, following fve months Of
slackening demands. business was
again over-stimulated The demand
for commodities anneara5 m axcee5
the supply. prices rose. more credit
was wanted from the banks, and
the latter at first thinking II nee
essary to support the revival Of the
peace Industries responded. 1t soon
developed, however. that the in
crease Of bank loans was financing
a competitive struggle for labor
and goods and forcing both wages
and prices higher. in the same
manner that issues of paper money
would operate.
TN other words. the increasing
amount of purchasing power put
into effect by bank loans was de-
preciating the value of all money.
including geld itself. Under ordi-
nary conditions. with the rest Of
the world on the gold basis, as
before the war. such an increase OF
bank loans in the United States
accompanied by rising prices. would
have turned the trade balance
against this country. caused ex-
ports Of gold. and by the loss Of
bank reserves compelled a restric-
tion of lending. but with the trade
balance heavily in our favor this
Ssteadying influence was not in ef-
fecf"