Evening star. [volume] (Washington, D.C.) 1854-1972, 1930-01-01

retail trade. Although the holiday figures
are not completed. it is said that many
stores probably failed to break former
sales records. Too many lockers" and
not enough buyers" was one reason
given.
The Wall Street smash burned thou
sands of Washington spectators and
some investors severely They suffered
far more than paper losses, losses that
ran into the thousands. losses that
ruined brokerage accounts and even
made large dents in bank accounts.
Brokers sold out many customers and
bankers in charge of loans on secur1-
ties were unable to guide all their de-
positors through the storm. Yet before
the crash came many profits had been
carefully sailed away by the more
cautious element, the gains keeping the
kecner investors on the right side of
the ledger.
High Interest Helps Banks.
Bankers assign as the chief reason
for such a good year in local finance
in New York for the first 10 months
of 1929. Brokers report that the call
rate averaged nearly 9 per cent for
most of the year. Local banks having
extra funds obtained a call rate of in
terest that helped their profits mate
rally.
The rate on home loans was also
satisfactory and bankers assert that
they took care of all local commercial
needs before they sent any money to
the New York call market. If the final
reports fail to show new records in
bank earnings here it will not be because
of interest rates, but due to the fact
that too many Withdrawals were made
from savings funds by depositors trying
to save something out of the wreck in
the stock market.
At this writing the usual bank call
at the close of the year has not been
issued. Controller Poles last call was
on October 4. At that time Washing
ton banks had more money on deposit
than on the last day of 1928.
Total deposits on December %, 1928,
were $2o4,18S,6l1.7S, while on october
4 OF the year now closing local deposits
were $3.50, 589, 1854. Deposits on June
29, 1929, amounted to 1854, 479 1886. 06,
so that the October figures showed a
gain of $780, 47.78 over the previous
call. The figures at the end of De-
cen1ber are not likely to equal the Oc-
tober returns on account of the break
in stocks, slowing up in some lines of
business, income tax, dividend and in
terest payments. Furthermore, with
drawals for Christmas expenses are
always reflected in the last call of the
year.
IN completing the 1929 banking pic
ture the importance of the Christmas
savings clubs should not be overlooked.
The thrift idea made amazing progress
in 1929. The banks claim that elab-
crate bookkeeping takes the profits out
OF the Christmas savings, yet much of
this money finds its way back into per-
manent savings or plays vital part in
the prosperity of the merchants during
the holiday season, aiding the banks in
directly.
During the year between $1,000 900
and S7,500,000 was set aside in the
Christmas clubs conducted by 81 WASH
1ngton banks. In 1924 Washington
banks enrolled 1885 members; in 1925,
66,279; during 1925, 1855; in 1927,
7S,145; in 1928. 83,17s, and during the
past year 87.701. The clubs for 1890
are now well under way and reports
indicate a still larger enrolment in
membership and new peak in the
amount subscribed.
CIearings Establish New Peak.
Clearings IN November were about
S2,5OO,OO0 behind the corresponding
month a year ago. December clear
1ngs showed quite a decline. but not
large enough to prevent new high
record for the IL months. The records
kept by Charles E. Bright, manager of
the Washington Clearing House Asso-
citation, show that october was the best
month Of the year for the number OF
checks cleared, with June next in line
and April fairly close third.
Comparisons of check payments for
the IL months of 1929 with the same
period in 1928 reveal these important
trade and business trends:
Month. 1929. 1923