Evening star., 1922-01-04
.YEAR-END SURVEY
. Of RESERVE BANKS
Lessened Demand But
Somewhat Broader Activ-
ity Is Reported.

Lessened demand generally for
bills of acceptance, but a somewhat
broader activity, was reported by the
Federal Reserve Board today in a
year-end survey of conditions in the
acceptance markets of the twelve re-
serve districts.
Activity prevailing in the bill mar
ket in November did not continue in
December, Boston reported, and sales
during one week We're described as
the lowest for the year. The in
fiuence of tax payments coming
simultaneously with the new certifi-
cate issue and the year-end adjust
ments had deterrent effect on the
investors, according to the survey.
A considerable decline in the coun-
try's foreign trade during 1921, in
addition to the fall in prices, resulted
in reduction in the. amount of
bankers bills in the New York mar
kct, the survey continued, adding,
however, that there was steadily
broadening market.
Call Money Feature.
"A highly important development
of 1921" the report said, was the
growth of "a market for call money
lent against the security of bankers
acceptances and Treasury certifi-
Gates.
Acceptances outstanding on De-
cember 10 were not much lower than
on November 10, according to the
Philadelphia report, exports of grain,
-four, cotton and tobacco being the
principal transactions for which ac-
ceptanceS were executed recently.
There was no Improvement in the
acceptance market in Cleveland in
November over the previous month.
the report said: with exports falling
off and domestic holiday shipments
conSummatcd. comparatively small
supply of prime bills came in to the
market.
Smaller in Atlanta.
Acceptances purchased in the open
market during November by the
Federal Reserve Bank of Atlanta
were smaller in amount by "A per
cent than those purchased during
October. but were larger by rs per
cent than the total for November,
1920, the total for November of this
year being larger than any previous
month this year, except September
and OcNober.
A general falling off in acceptance
transactions during November was
reported by Chicago. the greater part
of the bills drawn being against
MEETS, meat products, tobacco and
canned goods.
After fair display of activity
during October and November the St.
Louis Reserve Bank said, the ac-
ceptance market has lapsed into a
period of extreme quiescence."
Decrease in Acceptances.
A considerable decrease in accept
ance transactions in Minneapolis dur
ing November was noted, while Dallas
reported that the banks of that dis
trict had materially reduced their
aggregate acceptance liability during
the month.
Bills originating on the Pacific
coast. the san Francisco bank de-
clared, We're appearing in larger
quantities. but the supply was still
insufficient to meet the investment
demand and prime eastern bills con-
tinue in good demand.
During the latter part of Novem-
ber," the bank said, the demand for
acceptanceS was steady, with a heavy
call for bills which would fall due
before the end of the year. At the
same time a gradual broadening of
the market was noticeable chiefly
among country banks, but to a larger
extent among corporations and pri-
vate individuals"