Evening star., 1922-07-14
NOT INFLUENCED BY
BANK OF ENGLAND
American Money Market
Dominates-Lanston
Active-Notes.
BY 1. A. FLEMING.

1t is but natural that the reduction
IN the Bank of England discount rate
seIsre, sn1u.a nave ns no effect on, rates Of our
The Bank of England practically
controls all bank rates over there,
but the reserve banks here do not.
FOR some time the open rate for
money In the market has been below
has been so plentiful that the ap-
plicat1onS for loans were smaller
tnan FOR years. The earnings of the
reserve system emphatically prove
this statement
Lowering Of the English rate US
paliy stimulates a slight increase in
business. but lowering of discount
rates by the reserve institutions
wouid not have even a passing tenn
porary effect. There is no scarcity
OF money.
Time was when the United States
Paid some attention to the acts of the
Bank of England. etc, but New York
city and the United States is the
pacemaker these days
another London reduction Is said
" oe que within a few days,
A Second Meeting.
A second meeting has been held in
connection with the possible sale of
tne 27,5OO shares of railway common
STOCK held by the protective commit
= tee OF the utilities noteholders.
NO Progress Was Made in the Matter.
Noteholders not members of the
protective committee are taking some
part In the negotiations, urging the
ter and II possible conclude a sale. as
they can use the money to good ad-
vantage and want the old score off
their books.
Moreover. they are not receiving
one cent of interest on the notes, and
see small chance of getting ANYTHING
better than 60. the reported tentative
tenoer or the proposed buying syndi-
List of Correspondents.
The Washington Loan and Trust
company has just issued in pamphlet
form a list of all foreign CORRESPOND
ents the world over. showing the
ABILITY of the company to do an ex-
chanGe business with all centers and
70 the utmost parts of the earth.
Railway A Leader.
On today's session of the local Stock
Exchange. the leader in volume of
trading was the 4 per cent bonds of
the Washington Railway and Electric
company. They were active to the
extent of $4,000. face value all sold
AZ 70. These are the first mortgage
ponds, ahead of everything else. and
are secured strongly.
LaEston was the most active stock.
100 shares selling at 1873, with this
price bid at the close. Mergenthaler
sold sparirgly at 14es.
A small lot of Railway preferred
brought 79k. but so was the asking
price for quotation lots.
Buyers and sellers were apart on
the common stock. decidedly. 81 being
bid and 55 asked. Under the circum-
stances this is to be expected, and
until some definite announcement is
made or all negotiations for the sale
OF the 1880 shares of seuuestered
STOCK are Off. it is not likely that
there will be much doing. No prog
ress has been made in this line.
capital Traction was firm at 101
One may buy shares in the WASH
tngton Loan and Trust Company, the
American Security and Trust Com
pany or the National Savings and
Trust Company. one or all, at $500
share. Asking prices on other bank
shares have been advanced material
ly In the last month or two.
From the OIL Field.
Thomas W. Brahany. interested In
oils, etc, was interviewed this morn
ing on the reports of salt water in
Tampico oil fields. He extracted the
called attention to the leading first
page story-the greatest oil pools of
all being closed in on account of
increasing quantities of salt water.
which forced lessened production and
may be very serious in results.
Money in the open market loaned at
215 per cent and call loans were re-
newed at 8 per cent, showing most
conclusively that at this time the
open market for the cash ahd not the
ruling discount rates of federal re-
serve banks Is the diminant influence.
Late In the spring of 1918 Wall
street had taste of 21s per cent