Evening star., 1922-11-26
SOME COMMENT ANENT THE
BRANCH BANKING QUESTION
Controller of Currency Evidently Finds
No Law Against lt-Unique Short
Term Investment-Notes.

provtso gives stability to an lnVeSt'
ment Impossible to a bond issue not
| protected in like manner.
Federal Financing.
Conditions in the market for gov
ernment securities seem to give as
surance that the Treasury will not
| undertake long-term financing to
meet the large maturities coming due
with December 1880.
| In order to make a successful mo-
! tation Of long-term bonds rate high
enough to make the loan attractive
would be necessary, and Secretary
Mellon is too good banker to pay
excessive interest at time when the
| money market gives no sign OF any
thing more than temporary strength
] with the prospec It Of lower rates after
F.! the release Of the January dividends.
, interest and other payments. which
will amount to several million dollars.
The chances are that there will be
no federal financing with December
l. but that about the middle OF De-
| cember Treasury certificates Will be
issued bearing So to ~ per cent.
| maturities.
The action OF the AZ per cent
bonds, the most recent fotation, now
selling at S9.44. would seem to pre-
! clude the longtime bond fiotation. as
1t might still further depress exist
! ing government securities.
With December Is the fourth and
last installment Of the 1921 income
| tax will be due and payable.
A. to Conditions.
One doesn't need magnifyirg glasses
| to understand the trend of the news
in the columns of the daily press.
The story is one of unrest, discon-
tent and desire for something differ
ent, some relief from existing condi-
In, bot a a ~
part Of the American people.
1t costs too much to live. There is
| m entire lack Of relationship be-
| tween cost OF production and price
received and price pa d by the con-
sumner for the necessities Of life.
There Is also an entire Inequality
between wages and salaries. with
| keen dissatisfaction on the part OF
| hose receiving salaries.
Abroad, the downs we're not jammed
| down when they were put there.
Hence 1t is that Turkey and Bulga.
! ria are making trouble abroad. and
Russia. and possibly Germany
Of these fine days-three for revenge
and the fourth. the great BEAR" just
| .or further Decentralization OF the
| world.
Conditions ut home are nervous and
| cxcitable. but not inclined to breed
| trouble. Abroad they are fraught
| With dynamite.
Under the circumstances II is moth
| ing more than natural that the public
should be sidcstepping Wall street.
At that, Babson and the Brookm're
Service both see favorable develop
ments ahead for the market.
| Stocks have suffered quite set
back the last two weeks. following g
| some heavy distribution of shares by
pools and insiders who followed this
up by trades on the short side of the
market.
The result was a series of declines.
with a weak closing yesterday and a
lack OF raliying power that may
bring further receSSionS.
Whether or not it is the culminat.ng g
point Of the long rise that started
about the middle Of June, 1921. re-
mains to be seen.
Many traders are out of the mar
ket and are waiting for recessions S
Of Importance before getting in
again The pools have very gener-
| ally distributed their holdings.