The Washington times., 1929-02-01
Brokers' Loans Rise

Brokers Loans Rise
Brokers' loans increased $116,00O-
900 during the week ended January
80, rising to the record total of
! $5,559, 900, 600. This increase was
roughly in line with expectations
in the financial district. While the
stock market has been rapidly ris-
ing into new high territory, the
daily turnover has averaged rather
less than 100000 shares, and this
was taken to presage a relatively
moderate increase in the loan total.
The advance in brokers' loans was
accompanied by a further rise in
loans made for the account of
others to a new high level Such
loans rose to $2,615, 900 900, a gain
of $S6,000,000. Loans made directly
e ~ New York banks advanced $751;
100000, while outlof.town instItu-
tions failed to show any change for
khe week. ~
The weekly statement of the 12
= Federal Reserve banks showed the
expected upward turn in the volume
OF rediscounts. after member L hks'
borrowings last week had fallen to
the lowest level since last May Re-
discounts rose $3S, ,0O8 to $780,.
634, 900. This rise was largely oc-
casioned by a second consecutive
drop in acceptance holdings, which
Tell $1S,609, 900 to $435, 500 900. The
drop in bill holdings, partially a sea.
sonal phenomenon. reflects also the
purchases of bankers bills outside
fhe Reserve system which has fol-
lowed the recent advance in the
rate. Holdings of Government Sc
tcurities were practically unchanged.
showing a drop of $263, ,000
The statement of the 12 Reserve
banks also showed a gain of $1g,-
$4,000 in gold holdings. This gain
resulted in part from the imports
OF the past week
Retail trade in 1928 showed 4
gain over the. preceding year by
b per cent, according to an an
i1ouneement made by the Federal
Reserve Board in final review Of
business.
Sales of washington department
stores in December developed a 2.5
per cent increase over the same
month in 1927, while trade for the
scar ended December 81 showed a
gain of 3.3 per cent over the II
months preceding.
Increased December sales In this
city were in contrast with loss
of 2.6 per cent in Richmond, drop
OF 1.8 per cent in Baltimore, and
falling off of 6.5 per cent in other
cities OF the Fifth Federal Reserve
District Richmond showed a gain
OF 2.3 per cent for the year, but
Baltimore reported a decline of 1.3
per cent, and other cities in the
|, Area. a loss OF 62 per cent.
washington also reported
Ahieher rate of stock turnover in
December, the 81 ratio shown in
that month comparing with SO
In December, 1877. For the. year
y ended Decmeber 81, the rate Of
ztock turnover here was S.69, an
Improvement over the"S.51 reported
In 1927. The turnover for the en-
tire Fifth District was at the rate
of 3.35 last year, comparing with
S.S3 the year before.
Stocks on hand in Washington de-
bartment stores on December 81 We're
~ per cent smaller than the supply
wear ago, and We're 1876 per cent
8seiow the level on November 5V'
S192S. In the entire Fifth district
there was a decrease OF "a per cent
I'm stocks on December 81, compared
with the same date in 1927, and
.aecline of f19.2 per cent when COM
nared with November 30, 1928.
For the country as whole, de-
nartment store trade showed greater
I activity in December than in any
spther month for the year, except
September, even when allowance is
made for the usual seasonal expan-
\ Eton of trade and for number of busi-
mess days. The total volume of sales
during the month was the largest on
record, exceeding that of December,
1927, which had one more business
y dav. For the entire year 1928 the
volume of sales increased about
sper cent over the preceding year.
Sales of mail order houses and Inn
k,orting chain stores in all lines ex-
cent cigars were larger during De-
cember than a year ago, the largest
increases being reported by drug and
apparel and dry goods chains. For
ahe year, as a whole, sales of chain
stores in all lines of trade except
cigars increased in comparison with
1927, and sales of mail order houses
we're II per cent larger. These in.
!. creases reflect in part the establish
ment during the year of additional
retail outlets.
@ Increased sales for the month. as
compared with December, 1927, were
reported by department stores in
Richmond. New York and Chicago
Federal reserve districts, while large
decreases occurred in the Atlanta
and Minneapolis districts.