The Washington times., 1922-09-08
Market Comment
Copyright. 1922. by Cosmopolitan News


Copyright. 1922. by cosmopoiitan News
. Ssrvice.) ~
New York. Sept. S.-Under the old
national banking systems, the first
week In September marked the be-
ginning Of movement Of actual
cash from the big monetary centers
to the agricultural districts for the
purpose Of financing the harvests.
When the Federal reserve system
got into operation, just about the
time the war broke out, its facilities
were substituted for those of the
city banking Institutions, At the
present time. however, Il looks as
though neither Of these systems will
be called into cooperation, for the
banking institutions in the agricul-
tural. as In other sections of the
country, are well stocked with funds.
and even the seasonal demands upon
the reserve system do not seem TO
be made at the present time. The
current reserve systems report, for
example, gives little evidence that
the reserve banks are being called
upon to prepare for autumn trade.
Beyond the increase Of s56.000, 900 in
Federal reserve note circulation,
there have been practically no
changes In the status Of the reserve
banks. The reserve ratio declined
from 1872 to 1873. the most notable
decline being that of the New York
bank from S6.3 to 83.S, while tho
Dallas bank showed an increase from
6S.4 to 61.7. ,-.; 49,. e..
3 It is just possible that negotia-
tions for the amalmagation OF q
number of important railroad sys.
TENS which were discounted just
prior to the shipments strike may
now be resumed with a view TO
consummating one or more OF the
proposed mergers. One of the
latest series of reports Is that
which have linked up the Great
Northern, Northern Pacific and
Burlington mergers of the whole
four systems. While officials have
refused to comment on the subject.
IL is said that there are a. few for.
midable impediments In the way Of
such q consolidation. One Of the
most prominent suggestions in con-
nection with railroad mergers have
to do with the establishmen OF one
or two more trans-continental sys.
TENS, linking up the Industries OF
the Atlantic and Pacific coasts. The
St. Paul and Pennsylvania are
prominently mentioned.
1t In understood that details OF
q new gigantic obacco corporation,
uniting the Duke and Whalen in.
terests and involving an investment
OF $50, 100000. viii shortly be made
public. The new organization will
handle the tobacco business from
the ground up. including the man.
ufacturing of smoking. chewing and
cigarette tobacco, the exporting and
importing of these products. and
the control of domestic and foreign
agencies and distributing organ
izations. A number Of tobacco
companies, whose stocks are ac'
lively dealt in on the listed market.
win either be dissolved or viii have
q working connection with the new
Union Tobacco Corporation, as the
new company will be called. United
Retail Stores Shares will be dis
tributed to tobacco products cor.
disappear from the trading list
stockholdings of United Retail
Candy, Montgomery, Ward & Gil
mers, Inc. will also. be distributed
Tobacco Is a product Of universal
consumption, having recently In.
vaded the female sphere, and there
are tremendous possibilities for con.
Quoting a gigantic trade in this
commodity
Ioadings OF revenue freight for
the week ended August 26 reached
a total Of S90.S3S cars. according
to figures made public by the car
service division Of the American
Railway Association. This repre-
sents a new high mark for any
week since October ], 1891.
Trading in the stock Of the new
Gulf OIL Corporation Of Pennsyl
vania. which Is to be organized to
take over the present corporation
with a similar name. has already
started. The stock has commanded
a price Of $4S, while the stock OF
the present company sold up to
$3.50. The Gulf Oil Company has
long held the reputation of being
the richest independent oil com
pany in the country, II not in the
entire world. As Of December 81,
1921, the company reported a profit
and loss surplus Of $111.2S7.792
The capital stock of the Gulf Oh
Corporation at present Is $50, ,10(
Of 800 a share par value. II this
is tripled. the total capital will bt