Evening star., 1926-05-03
OPTIMISTIC VIEWS
HELD BY BANKERS
Officers of Association See
Nothing UnfavorabIe in
Trade Outlook.

PINEHURST, N. c., May tSpe-
| ciaD. Unsatisfactory readjustment of
business without depression, with
money and credit conditions favora-
BILE. is the concenSuS of views eX-
| pressed by officers and other mem.
| berS of the American Bankers ASSo-
citation gathering here for the annual
Spring meeting of the organization's
executive council. Collapse of the
stock market boom has depressed
sentiment, but is not believed to fore
cast a general reaction in industry
and trade.
The views of the bankers who
come from all parts of the country
are as follows:
Oscar Wells, president First Ma
tional Bank. Birmingham, president
of the association "Since the begin
ming OF the year some adverse symp-
toms have put in an appearance. The
stock market is the most spectacular
and perhaps the most significant.
whether viewed as a cause or an
effect. Either from the conditions
OF the stock market or for the same
reasons which produced the slump
in stocks, the activity in real estate
in several sections, and especially In
Florida, has suffered a decline. Gen
eral business seems not to have been
more than slightly disturbed as yet,
though commodity prices have con-
tinued on a downward trend. The
feeling of the banker is that industry
cannot be sustained in the fulness
of it's present production ii the ele-
mentS upon which consumption de-
pends get out of line. Many believe
that the slowing down of the specu.
lative tendencies will have good
effect upon business, ana II crop
prospects continue fair there Is noth-
ing of an unfavorable nature In an
ANALYSIS of the conditions of today.
Melvin Traylor's Opinion.
Melvin A. Traylor, president First
National Bank, Chicago. first vice
president of the association, says:
1.-THE total volume of business in the
Chicago district for the first quarter
of 1926 was certainly in excess OF the
volume for the first quarter OF l9-o.
In recent weeks there has been, now
ever. some complaint of hesitancy and
decidedly more pronounced snow OF
strength by the buyers: that is, it is
considered decidedly a buyers market
Producers in such cases naturally
complain of competition and reduced
margins of profit. The public, as
whole. rs Gpparently not particularly
disturbed by the debacle of the stock
market, preferr%ng to accept the
break as an evidence of reaction from
an overtraded condition. The agricui-
tural situation, which has been none
too good for several years, did not
show the improvement after last
years harvest that has been hoped
T for. and the feeling is general in Chi
cago that crop prospects Will, TO
very large extent. dominate business
activity during the last half of the
year"
r. X. Preston, president Hamilton
National Bank, Chattanooga, Tenn.
second vice president of the aSSocia-
ton, says: Business conditions as
| see them are fundamentally sound.
There are ample credit facilities avail
able at low rates for every legitimate
enterprise. 1t is true the decline of
stocks has been rather severe for the
past few months, and there has also
been marked reduction in real
estate activity in Florida and other
! points 1t is fortunate that these
| things occurred before they got be-
yond control, as it was conceded by
/ every one that stocks were too high
and Florida real estate was reaching
| the danger point for that State. These
declines will in the end be helpful.
Business, in my judgment, is a little
above normal. the volume. is large,
labor is well employed and profits in
nearly all lines are reasonable. While
business may not be quite as active as
it was for 1925. it is more active now
than it was in January and February
of this year and in our section ahead
of what it was at the same period
last year"
Francis H. Sisson, vice president
Guaranty Trust Co., New York, and