Evening star. [volume] (Washington, D.C.) 1854-1972, 1930-12-31

yiciently conservative. The mead OF the
local exchange says
Nobody knows what is going to hap
ben in business and banking circles in
washington during 1881, but the re-
. action has gone so far that an upswlng
iseems almost inevitable. Most every
banker in washington feels that there
will be a slow, steady, but cautious ad-
vance. The banks are sound and IN
position to help business, and business
in turn is ready to advance with
Growth in consumer demand. ms IS
bound to come as time goes or-in fact,
Ms already satisfactory in the lines more
GENERALLY known as necessities.
Local securities worked lower during
khe wear, but suffered no such setbacks
As were notable among securities on
3nany other exchanges. On the WASH,
hngton Exchange prices held up Wen
considering that such serious nquloa-
kion was being recorded elsewhere. The
Gtnength displayed during the past year
heads to the opinion that next year VIII
A6nd the majority of local securities on
A better basis.
7 production of the rediscount rate by
Rhe New York Federal Reserve Bank
rew days ago is sure to prove helpIll.
I'm fact, it has already had favorable
Effect. The rate seems likely to be re-
liuced by several other Federal Reserve
hanks. with the resultant advantages
70 other districts.
sSThere is evidence that investment
lbuying has been going on quietly IN
this city for some time. The payment
Spf interest and dividends at the emo OF
The year always supplies large sums 1or
Investment. The expected demand
locally, and nationally, will have tend
, ency to strengthen the investment
structure. both in stocks and bonds
I The yields on many sound stocks, as
ANwell as the returns on high-grade ponos,
ARE drawing more and more investment
Attention.
the depression of 1880 psychological. 1t
mas been anything but that. I believe,
however, that there will be much
better mental attitude toward the eco
nomic situation in 1881. Comparisons
in earnings will not be with an ao-
normal year such as 1929 and Will not
present such unfavorable contrasts
when the fourth quarter reports are
out of the way things are sure to look
brighter. AS the expected recovery
gains momentum, earnings reports Will
become more and more cheerful fact
which will have great bearing on SEN
timent.
Federal Reserve Board reports that
trade in washington has been only
per cent behind last year. 1t ought
not to be difficult to wipe out that slump
in 1881. Active building Is also assured
for the Capital during the next IL
months, due partly to the Governments
construction program.
"Such men as Col. Leonard r. Ayres,
George E. Roberts, John Moody, Ben
jarYlin Anderson and Charles M. Schwab
see a new era of prosperity ahead
other financiers predict substantial i'm
provement this year. 1t can't be that
they are all mistaken"
Bank CIearings Show Gain.
Bank clearines in the National Capt.
tal for the month Of December totaled
4l17.573.O71 .06, in comparison with
S116,074,630.10 in December, 1929, ac-
cording to announcement made this
noon by the washington Clearing
manager.
This is the first month in 1880 in
which bank clearings in this city have
shown an Improvement over the cor
responding period in 1929. 1t will be
4 held highly significant by bankers, as
it may indicate a change in the trend
In clearings and be the beginning of a
business index.
10 is the first opportunity TO COM
pare q months clearings this year with
the clearings of corresponding month
last year, both months being after the
stock market break. The full force Of
the break was not felt until December
of last year and, therefore, not reflected
In the clearings until that time.
Total clearings for 1880 in Washing
ton reached the sum of S1,317, 607, 594 81
by the addition Of today's December
figures compared with 1,48l 800, 1894
In 1929.
The following compilation shows local
clearings month by month compared
with the corresponding months in 1929: