The Birmingham age-herald., 1924-03-24
CREDIT FREED
 IN LIQUIDATION
 EASES MONEY
Rapid Business Turnover Keeps Down Demand
 For Funds

NEW YORK, March 23.-(By Asso- eiated Press.) The pronounced ease in { money attracted wide attention in financial and business quarters during the past week. Call money on the New York Stock exchange dropped to 2h Der cent, while 1t was reported available in the outside market for 2 per cent Time money, which until recently held ct A per cent for all maturities, was available for 30 days at A per cent and for the 50 and 90-day periods at Az per cent. Bankers acceptances were slightly easier and the rate on commercial paper was shaded A of 1 per cent, to Az per cent.
 Bankers professed surprise at the ex- tent of the easing and it's persistence through the week. It was pointed out that temporary ease always follows a tax date, but such relaxations or dinarily are over in & few days.
 An exceptional feature of the recent tax payment, bankers said. was the fact that many persons delayed mail ing checks until the last moment, and many who usually paid in full on March 15 paid only an installment, thus decreasing demands on banks.
 Heavy Gold Import
 Heavy gold imports and the small ness of the speculative demand for credit were regarded as even more im- portant factors. According to this view, the markets for securities, cotton and grain have been thoroughly liquidated' and large amount of credit liberated in the process. Meanwhile, the rapidity of the business turnover, due Tn part to prompt railroad service, has kept down the commercial de- mond for funds, while offerings of new securities have been small because manufacturers have not been inclined 30 enlarge plants under present condi- Qo HLrnr hak circumstances explained the cheapness ot money. The bear party in securities, on. the other hand, allege that slow ing down. in business was responsible, and attacked the motor and steel shares vigorously. In contradiction, it was pointed out that steel production is being maintained at the high rate of the year and that the latest car load ing statistics show new high records for the season.
 Forward buying of steel, however, slackened somewhat and the tone of the market was slightly easier. A few reductions in schedules of automobile manufacture were also reported, due, It was said, to the unusual large out put the first of the year and to the unfaVorable weather. The automobile companies said that there was nothing unusual or disturbing in the situation. Commodities Steady
 The chief commodity markets held fairly steady, although declines ex- ceeded demand over a broad list. Wheat steadied after the May future approached S1.04, or about 7c below the recent high. Cotton maintained a trading position, with the principal fu- lures about hc above the recent low.
 French francs continued their rally, gaining another %c on the week, to above 5.35c. The rate of gain plainly slackened, and some well-posted ob- servers considered that the French gov ernment was likely to attempt to stabilize the price around current quo tations. The squeezing of bear specula- tors caused some disturbance in the London and Paris securities markets, while the rapid advance in the franc had a lowering effect on French con- modity and security prices.