The Washington times., 1928-04-10
SLIGHT UPTURN
no Il D IN
TRADE
NJ RICHARD HATTOlN

HeaFs 70 have changed slightly
Tor tho better the last month.
saye the American Bankers Assoc
citation Journal IN It's current busi-
mess analysis. f continues:
pansson has been looked for
hincs last fall, but so far there
10 evidence of only moderate inn
provemerf. Exceptions are the
steel and automobile industries,
also building construction. These
three lines win have big year,
according to reliable indications.
Most other Industries are still
somewhat below normal. A sur
plus az labor is IN accord with
this. Despite assurances that I'm.
employment IN not 30 serious as
reported, the man or woman out
OF . Job finds new openings few
and applicants many.
Upward Turn
'.Some OF the business indices
measuring production and trade
have recently turned upward, one
having risen in two months from
SO to 106, based on percentage OF
normal. This particular index -
made mp Of numerous factors,
including steel, automobiles n q
building, which are given consid-
cradle weight, 50 the composite
figure may be carried upward by
an Improvement in these three
"a cross.section OF the entire
Industrial picture impresses with
the unevenress OF conditions. The
outlook & IL uncertain both as To
the immediate and more distant
future. Reports coming into the
banks from their customers who;
are manufacturers, wholesalers or
retail merchants, as well as public
statements given out through the
press, generally agree that bust
ness is only fair and no material
broadening Of, activity has as yet
developed.
kat the position Of the Ameri.;
can farmer continues TO improve
IS indicated by every phase OF
agriculture and related lines. A
genuine bun market In grains and
I1aoderate strength IN cotton fore
cast an increase Of many millions
Of dollars In probable farm income
O. compared with last year"
Credit Holds Up
Irrespective of the February
change III the Federal Reserve
Banks discount rate. labeled IS q
gesture to curb stock speculation,
there appeared no shortage Of
creds accomm0dat tons. Tempo
rarity money became dearer but
not scarcer, according to the uuar-
teriv bu1letin OF @. f. Childs 81
Co.. which specia1izes exclusively
in governmental obligations. The
bulletin continues:
about II years ago the credit
level of our Government was re-.
Elected In the issuance and cur,
chase by investors of $4,000, 900
lcng-term United States Govern
Enenf per cent Panama bonds on
= 2.eO per cent basis. No other,
United States bonds were then out
standing which were quoted solely
on their investment merits. All
Others possessed an artificial value
for epeciaI use by national banks.
Jncon taxation did not exist II
no pronounced demand for tax
exempt securities.
To-day, accompanying the ma
lions unprecedented prosperity. we
enjoy abundant commercial credits,
low interest rates, with surplus
Of wealth for investment, and SUI.
ficientlE high income taxation to
create q tremendous demand Tor
tax-exempt securities. Today. al
though hundreds Of millions Of
other tax-exempt bonds compete
against them, Panama 3s are scarce
ana nomtna1Iy quoted on q ESQ
oer cent basis. There are also out
standing now over $2,790 ,000, 900 so.
called long.teETn Treasury bonds
quoted on approximately S.18 per
cent basis, the interest from which
- n0n-taxable when owned by cor
porations.
New bond issues for the first II
weeks Of the year amounted to 81
$40. 900 900, or about the same as the
81 .535 ,O00, 600 during the correspond
ing period year ago. In the various
clasgifications which make up the
total, foreign issues held first place
by quite a wide margin, amounting
to $413, zoo, 900; public utility issues
were second, with $685., 900 900; rail-
road issues third, with $254,000 900;
industrial issues fourth, with $751;
OO0, 300, and State and municipal is
Sues IIILn, Win $H0ASVUVsVVUssSt 1uO,
balance, $33, OO0, 900, was made up
by farm loan and miscellaneous is
sues. The figures are from the Bank
ers' Trust Company, Of New York.
Returns from Havana
First Vice President Fernando
Cuniberti, Of the International Elk
change Bank, has returned from Ha-
vana, where he attended the inter.
national conference on emigration as
. special delegate from the Republic
Of San Marine.
President I. ]. Roberts, with James
A. soper and T. Hunton Leith, rep.
resenting the Washington Chapter,
American Institute of Banking, will
leave for Pittsburgh today for the
annual banquet Of the Pittsburgh
CHAPTER Of the organization tomor.
row. The trio will travel by automo-
bile.
President Peter A. Drury. OF the
Merchants Bank and Trust Company,
is spending few days at Atlantic
City.
j. William Harrington, of w. B.
Hitns & Co., has returned from a
weekend at Atlantic City.
president Harry v. Haynes, of the
Farmers and Mechanics National
Bank, will attend the meeting of the
executive council of the American
BANKERS Association at Atlanta,
dR