Evening star., 1926-04-18
CAUTION, NOT MONEY SCARCITY,
CAUSED STOCK LIST DECLINES
Great Abundance of Cash in Banks, But Foreign Sit
uation Urges Brakes on-High Record Deposits
Here-SummerD Dullness is Approaching.

| In the National Capital there is
money for every one entitled to it. and
| no demand that cannot be fully cared
for ,excepting.F the .insattable wants,
not exactly needs, OF the mortgage
market. 81. Fl. =.
Fortunately call from the Office Of
the Controller confirms this indication.
giving the local banks practically
$243 SOC, 900 deposits the largest on
record AMI five millions greater than
at the close of 1925. @h.
IL the national banks were permit
ted to compete In the mortgage money
field its wants would be better cared
for, as they hold more than half OF
the local deposits. but they are only
permitted to buy mortgages having 81
year to run. -
|, There has been small reinvestment
of dividend and interest payments, FOR
they have more than offset the hrst
quarter Of the income tax payments
in the aggregate, although this may
be advanced as the reason for the loss
In deposits by some OF the trust COM
panies---at least partially.
The Riggs National scraped the
$39 900 900 deposit mark shortly be-
| fore the call, but dropped off to $685.
| $4,000, this amount being the larg-
est deposits shown officially in the
call reports. The American security
and Trust Co. stills heads the trust
companies and the Security SAVINGS
and Commercial the savings banks.
In the national bank lst the Riggs
| leads, followed by the Metropolitan.
Commercial, Federal. American. Bank
Eof Washington. and District National
following in order, ls the tirst t'Ee.
Leading Local Stocks Neglected.
| For the same reason money plays
small part in the local market, ill
difference of investors and the alb
| sence at this time OF some of the
more important traders, willing to
| take flyers at most any time. Nho
khave helped legitimate; investment
| buying with a little speculative tusi-
| ness and given the market a more ac-
| tive appearance, being factors.
7 Jim" O'Donnell, erstwhile cut.rate
druggist. always made for better
market; BILLY" IIibbs and John l..
| Edwards likewise help matters ma.
terially. a visit to Bermuda, sickness
and the furry in Wall Street was re-
| sponsible. respectively, for their alb
sence from the change. All three
should he back in the immediate fu-
| ture, when trading should be better.
Mr.. Hibbs is convalescent and Mr.
O'Donnell is homesick. Mr.. Edwards
presided at yesterdays session.
WASHINGTON Railway and Electric
shares have not been very active
Of late having now reached the stage
where the common stock is not NOV
ing at. all, and probably will not. with
any freedom, until such tino as the
| North American Co. reaches con-
clusion as to just what can be ac-
complished in q merger way or ether
wise. It must have some pans that
time will develop.
In the meantime the local market
is gradually approaching summer
dullness, and 1t may be that 1t Wilt
not come back to even normal actlv-
ity until next Fall.
The Street vas disappointed at the
last Mergenthaler dividend. seeing no
reason FOR doubling the shares unless
there is to be some change in the
dividend rate. Even as ) per cent
stock without bonds or preferred is
sue ahead Of II the nopar-value
shares should hold well around par.
Bonds should continue to show fair
activity right along. with the predic-
ton of continued ease in money.
The Monday Evening Rally.
President Deyber started it and
President Addison is following. as will
future officials of the Ranl:ers' Asso-
ciation, referring to the Get-together
meeting of the bankers, seniors and
juniors, more than $50 in all, at the
Columbia Country Club on Monday
evening. Tiresome and intricate sta
tistics will be forgotten.