Evening star., 1923-03-04
.UPTURN IN STOCKS
MOST IMPRESSIVE
Hiuher RediSC0unt Rate Fails
to Check Steady Ad-
vance in Values.
LESS NEW FINANCING
Washington Bankers Looking For
ward to Convention at At
lantic City.
LESS NEW. FINANCING

Both from the Stdnupoilt VI pioduti-
ing activity and upward tendency, the
stock market in the last two weeks has
made an impressive showing. One or
the most striking features has been the
manner in which attention has been
directed toward the issues associated
with the country's basic industries.
Most of the specialties that have dis
played firmness are those associated
with big industries.
The failure Of the market to register
an unfavorable verdict on the rise OF
the federal reserve rediscOunt rate may
be attributed to sober consideration OF
the surrounding circumstances and an
estimate of the probable purposes OF
this step. Money is no longer cheap
hut there is no present indication OF
actual stringency. Ii will be interesting
TO note the volume of brokers' loans Ill
case the market maintains It's present
pace.
quarters that the situation presents
sound basis for constructive market
operations. Domestic industrial activ-
ity is intensive, and there is an insist
ent call for raw materials ana manu-,
factured goods. not only for general
consumption. but for requirements In
other branches of industry as well In
some important lines OF commodities
there is genuine scarcity, while i'll 9TH
ers the demand is sufficient to absorb
current output with every indication Of
continuing and perhaps increasing
needs.
Earning Of industrial companies in
1922 now being published show large
increases in profits for their stocks. and
the market is responding 10 prospects
for even larger earnings this year
While a moderate hardening OF money
rates is possible. the prosperity OF the
Industrial corporations VIII more than
offset this factor in the stock market, it
is thought.
February Financing Light.
New financing in February by rail
road, public utility and industrial
corporations by bond and stock is
sues were considerably under the
record Of January. 1923. the total
being s254.36o.200. against s62e,'47,-
600. and sl27.321.O0 in February,
1922 Industrial corporations as in
January. led the way. with s15o,16s.-
600. Public utilities were second,
with s15.334.200. and railroads fol-
lowed, with sos.s3s0o0.
Approximately $4,000 out of the
total OF s254.360.20O. equal to 11.2
per cent. was used to retire maturing
securities. This compares with $780,
2o9 900. or 31.2 per cent. in January,
and sI9.465.0o0. or 1913 per cent, in
February. 1922.
StOck EsACHdHBc SuIeb NSdNys
Transactions on the New York
Stock Exchange during February,
according TO the Wall Street Journal.
totaled 23.S60,100 shares. an increase
of 7,037.000 shares compared with
year ago and 13264, 500 shares in the
same period. 1921.
The daily average trading last
month was 1.os+.550 shares. against
764,6S6 shares last year and 4S1,613
shares in the same period of 1921.
During the month there were fifteen
days with sales over 100000 shares,
against four days last year and none
in 1921.
The heaviest five-hour day was
1,554,400 shares and the smallest
644, 400 shares. The largest two-hour
day was 153,100 shares and the small
est $4,000 shares.
Local Bankers Pleased.
II needed only the official an
nouncement that the next convention
of the American Bankers Association
would be held at Atlantic City next
september to start many member
bank officials arranging their en-
gagemcnts during that month so as
not to conflict with the big session
Atlantic City, always popular with
the tired Washington financier at
that time of the year, will in all
probability be crowded with local
representatives as seldom before.
States May Tax National Banks
The taxation by A state of shares
of national bank associations within
its borders will hereafter be regulat-
ed by the amended Section 5219 r.
s.. a bill for the purpose passed by
the House. having been accepted by
the Senate.
Sec, 5219 says the legislature of
each state may determine and direct
the manner and place Of taxing all
the shares of national bank associ-
ations located within its limits. The
several states may tax said shares.
or include dividends derived there
from in the taxable income of an
owner or holder thereof or tax the
income of such associations provided
the certain conditions named in the
bill are complied with.