Indiana daily times. [volume] (Indianapolis [Ind.]) 1914-1922, 1922-06-22
WALL STREET GOSSIP
Rv MONITOR.

BY MONITOR.
NE WYORk June 22-The Federal Re
serve Bank has cut the discount rate TO
a basis OF four per cent FOR all redis-
counts and advances. The rate had
been AZ percent since Nov. 8. 1921. Low
est on record is per cent in 1915 and
effective from Feb. 5. 20 May l in 1921
after which the rate eased gradually to
"A per cent. The last time the rate was
1 per cent was in October, 1920.
General expectation that the Federal
Reserve discount rate would be lowered
was reflected In the Liberty bond market,
activity pronounced. All OF the Liberties
touched par or better at some time
during the day. The lower rate was not
a great surprise to the street as It has
been freely predicted since the recent
drop In the Bank of England rate.
Pan-American Petroleum and Trans
port and Mexican Petroleum COmpanyu
will issue their reports for 1921 tomorrow
ana VIII show very good results The
volume Of business done by Mexican
Petroleum during 1921 was about the
same as the 1920 volume, but profits from
operations tOtaIled SD 449. 426. as com
pared with Sl5.4G9, 1913 iE 1920. This differ
ence is explained by the fact that the
company bought high priced oil in the
previous year In order to conserve its
own supply.
The Pan-American Company shows net
profits fS1S.162. G13 for the wear which
when added to the previous surplus hal,
ance of S15,JG0.g70 and after deducting
$S.410,S94 for dividends, leaves a final
surplus Of $25,457,423 as OF December
A new outlet for fuel oil Is afforded
by the conversion Of railroad iocomo-
tiyes from coal to oil burners. The
Chicago & Northwestern has converted
4c
system more efficient and more econornf.
cal to operate, as II is not necessary to
change engines nearly so often. At the
same time, it has been discovered TINT
1t requires but One-half hour to raise
steam in Oil-burning firebOxes whore
It requires three hours to raise steam
in coal burner. The Chicago & North
western now takes all the crude from
the Producers and Refners wells in the
Lander field.
Herbert T. Parson, president Of the
r. W. WOODWORK Company is optfmfs-
tic over the outlook for the company
for the balance Of the wear. Mr Par
son was interviewed just before sailing
for three months trip to Europe and
said; "Our business is coming along
nicely. We expect to do 100000. 600
worth Of business In the United States
and Canada. Our increase has been
steady so far during 1922 We had
S147,OOO,O00 Of sales last year"
In line with the general reduction In
steamship rates the Margan Line and
the Mallory Line. which operate steam
ers from Galveston to New York and
New England ports. have announced a
reduction of 80 per cent in cotton
freight rates, effective July L
The financial community is more opti-
mistic over the prospects for an early end
to the coal strike, and is looking for a
break in the miners ranks Reports from
the fields indicate that the nOn-union
helds are working under high pressure
and that many miners in the union fields
ere dissatisfied with the length of the
strike and the failure of their leaders to
secure the promised settlement on
s. June 10.
With the United Kingdom heavy buyers
Of steel plates. British India leading in
demand for galvanized sheets, and Japan
buying black steel sheets the steel export
tonnage for April was nearly third
more than that for the same month year
ago. Total exports for the month
amounted 10 147. 033 tons, as compared
with 99,I62 Otns year ago. However.
the value was only SIT $50 OS1, as com
pared with S25.910579.
F. L. DOhney, president of the Pan
American Petroleum and Transport Com
pany and chairman of the board Of di-
rectOrs of Mexican Petroleum and member
Of committee Of oil executives comforting
with Senior De La Huerta. secretary of
the treasury Of Mexico. regarding the de-
yelOpment of new oil areas in Mexico
stated that the discussion so far indicates
that the Mexican representative seemed
favOrably disposed to grant guarantees
which American interests insist must be
obtained before they go ahead with any
new work.
StUdebaker again was very active in
market way and recent buying OF the is
sue has apparently been based on expec-
tattOns Of a continuation Of the present
strong demand for the better part of the
year, with a possibility of an extra divi-
dend al the July meeting. Studebaker's
second quarter should be the banner
period Of the year as sales are expected to