Evening star., 1925-09-02
INCREASED RATES
HELD IMPROBABLE
National City Bank Cites Alb
Sence of Initiation in Pre-
senting Views.
BY CHAs. P. SHAEFFER.

The general belief that Federal Re-
serve Bank rates will be advanced in
the near future is not subscribed to
by the National City Bank. in its cur
rent monthly circular which states
that so long there are no AVens
OF imitation in community pricey, the
Reserve Bank rates probabI will not
be advanced. in view of the reduction
made by the Bank of England, with
winch our reserve system is at present
pledged TO a degree of cooperation
II Is pointed out that a state Of
monetary ease exists over the country.
partly the result of the LIQUIDATION Of
STOW paper which has been going on
curing the past wear 1t is true thai
All OF these funds are employed in
| some way, and that q withdrawal Of
funds from the centers might quickly
anect quotations, but the low discount
rates now existing forbid the idea Of
any very tight situation.
During the last month the Bank Of
England has reduced it's discount rate
from TO 415 per cent. and as the
open market for bills is only about
5s4 per cent and the call market 81,
per cent. there is some talk OF
further reduction.
American banks have been emplov
ing important sums in the London
market during the last wear. the
statement continues. induced by high
er rates there than here. and last wear
oy the prospects for profits by the
rise Of sterling exchange.
Now that sterling has reached psrapd
interest rates have declined over there
II may be expected that these funds
VIII be brought home as wanted here
and thus may be considered an addi-
tional supply
Banks New Home Opened.
Dedication of the handsome new
tWo-story edif1ce of brick and stone
which will house the Silver Spring
National Bank yesterday was attend.
ed by reception lasting well into the
evening. Located at Silver Spring,
Nd, the occasion was witnessed b.
county omclals, q well as important
personages throughout the State.
Ihe bank first opened for business
on October 10. 1910, with capitaI Of
$4,000 and opening day deposits or
va, ,634.25. The institution has ex-
panded with the community il serves.
and now boasts capital stock of 500.
900, surplus funds Of $25 900 and re
sources in excess of $500, 900.
officers of the institution include:
James H. Cissell, president: Frank l..
vice presidents; Ira c. Whitacre, ash-
Ter, and Fred l.. Lutes, assistant
cashier
Railway Common Receivers.
Comon stock of the Washington
Railway and Electric Co recovered
10 180 on sales of $50 shares on the
Washington Stock Exchange this
morning. Opening slightly higher az
l!S, the issue gained steadily. on con
sistent buying to it's peak, but suffer
ed relapse OF a point to 179 on the
last sale Of 10 shares. Holders were
asking 1872 as the session closed.
Riggs National Bank was strong at
$50, a total of Is shares changing
hands, while Lanston Monotype ad
Vanced to So on selling involving g.
shares. This stock, however, could
not hold its days high, easing off TO
S4A. Capital Traction was strong a.
l0Oss. as was Washington Gas at So
Bonds were neglected.
Fewer Failures in August.
Commercial failures in the J1nit.d
states in August, as reported b,.
Dun,s today, numbered 1873, the
smallest month total in nearly wear.
Liabilities involved, however. were
larger, aggregating SS7,15S.s6I. as
compared with $34.505,19l in July.
Coal Production Jumps.
coal jumped to the high total of IL
100, 900 net tons during the week end
ed August 90, the National Coal Az
sociation announced. This total com
pared with 10,527,0o net tons for the
previous week, and with O,260 600 for
the week ended August Is
No doubt the chief factor contribu-
ting to the speeding UP of bituminous
production last week was the i'm
pending stoppage of work in the
anthracite region last Monday, al.
though some seasonal increase in bi.
luminous output is to be expected al
this time OF the year.
The Bureau of Coal Economics
further states that the rate of btu
minouS coal production last week is
well above 2,oo0,000 tons in excess
of the present weekly rate of con
sumption. The surplus going into
consumers stocks, therefore. is some
what greater than the weekly tonnage
of anthracite normally produced at
this time of the year.
Returns From Vacation.
Winslow B. Van De Vanter of the
local Office of the Guaranty Com
pany of New York has returned from
several weeks in Ontario.