Evening star. [volume] (Washington, D.C.) 1854-1972, 1931-04-18
BANKS MAY ADOPT
NEW DEPOSIT FORM
Association Committee Has
HsNitaI Changes Ready for
Acceptance.
BY EDWARD C. STONE.

Thomas j. Groom, vice president and
cashier of the Banking of Commerce
&c Savings and chairman Of the Dis
trict Bankers Association Committee
on standardized forms, reports that his
committee has adopted several i'm
portant forms which the members of
lthe association will soon be asked to ac-
sept.
Two standardized agreements to be
used by banks maintaining night de-
poSitories have been adopted; one to
be used where the pouch is to be opened
athe next banking day by the depositor,
sor his personal representative, and the
,Dtfer where the pouch is to be opened
, ,by the bank and the contents placed
to the credit of the depositor. OF
course, the proper form to be used will
depend upon the type of depository
used however, these forms might be il
illustrative of a form that should be
adopted.
+. A form of slip along the line of that
suggested by the Protective Committee
to be used on return checks has also
been adopted.
This committee, Chairman Groom
adds has before it the stock power form
adopted some years ago by the Wash
ington Stock Exchange and now used
by most of the member banks. 1t ap-
pears that stock sold and delivered, &C
/ companied by the form now in use in
Washington, Is not accepted by brokers
of the New York Stock Exchange as
constituting a good delivery. It will be
pointed out that the banks of the Dis
Strict of Columbia might safely adopt
sthe form specified by the New York
STOCK Exchange and at the same time
nhave all the protection that the power
aof attorney now in use by members
s,Iz -e.-s-
Fofhce of the general counsel of the as
,sociation, the New York Stock Ex-
change form being an absolute and I'M
Restricted assignment and power, car
EieS with 1t the lesser right; that is, the
right to hypothecate. However, where
certificates presented for pledge are in
the names of others than the party
presenting them. form of certificate
of authority will also be recommended
in order to avoid the possibility of any
question arising as to the notice Of
right and equities in other parties.
Declares Ticker Betrays Market.
''Tape Reading and Market Tactics"
written by Humphrey B. Neil. vice
president of the Wetsel Market Bureau,
and published by the B. G. Forbes
Publishing Co., is one of the new books
in the financial field, after publishing
1ull which has prevailed since Christ.
mas. Mr.. Neil dedicates his book to
his losses and what he learned from
them.
The book deals with most interest
ing subject and one which is little un-
derstood by amateur traders and in
vestorS. The author takes up what
bearing volume has on quotations, the
obstacles which beSet traders, how mar
ket forces may be analyZed, and dis
cuSseS at considerable length the phil
osophy Of successful stock trading.
He discusses in an interesting way
the effect Of news on market action,
making the claim that TO sell on good
news Is a broad recommendation. The
trouble, he says, lies in the difficulty
Of distinguishing between ordinary
good news" and the most vital good
news" Mr.. Neil says the trader must
be able TO know the difference between
the different classes Of news and takes
the view that the tape will show the
difference.
To illustrate his view he takes I'D
the market action of many stocks be-
fore and after the Wall Street break
His book Is unusually interesting and 1t
is evident from the start that he has
given unusual care to a study of the
ticker.
National Dairy's Business.
Thomas H. McInerney, president Of
National Dairy Products Corporation
which has Washington units, stated at
the annual meeting that business in
the first three months of this year
was of in certain sections, but that
ne looked for 1881 to be as good or
better than 1880. He said that the
price situation was not very good, but
that economies had made possible a
aair showing in the first three months
Profit per dollar Of sales is showing a
slight increase. Percentage Of expenses
IS being gradually reduced. The COM
pany has made no general wage cut
over IS per cent Of the stock was
represented at the meeting.
K. c. M. Harding, Charles Bowman
and X. 5. Gordon were elected directors
The first two succeed c. Eldredge and
a. r. Hunt. respectively. Mr.. Gordon
nils a vacancy.
Rate Cut Help to Banks.
Reduction Of New York Federal Re-
serYe Banks buying rate for open mar
ket bills, announced a few DAYS ago, is
an extension Of the central institu-
tons easy-money policy, both TO facili-
tate Treasury financing and to maintain
cheap credit for business. The change
affects only bills maturing from 46 to
80 days. lowering the discount to ~
per cent from ia per cent Other
rates remain at levels in effect since
January; IL per cent up to As days,
lSs per cent from 81 to 120 days and
2 per cent for longer.
Recent demand for bills has applied
almost exclusively to maturities Of AS
days and less. Under the Federal's new
pate. banks can now purchase or hold
bills OF maturities up TO 80 days without
fear Of loss when they desire to dis
pose Of them at the Federal. Conse-
quently. the new rate is chiefly signifi-
cant IN that 1t assists the banks in
their handling Of acceptances, especially
IN relation to expected midmonth
monetary hrmness.
Preliminary to the annual election
which will be held in May, the District
Of Columbia Life Underwriters Asso-
citation has named the following six
candidates: David Bethune, Dan Harri-
son, Alton Gr1nneu, Russell Freeman,
Eugene Adams and Maynard Burrell
From this list three will be elected to
succeed the following, whose terms ex-
pire: John F.. Cremen. Harold Kraft
and George B. Farquhar.
Cleaned in Financial District.
Wholesale prices OF commodities de-
clined a little more than ia per cent
in March, as compared with February
according to the Bureau of Labor Sta
tisticS.
Edward j. McQuade, chairman: F. p
II. SiddonS and w. w. Spaid have been
appointed by President Lanier p Nc
Lachlen of tae District of Columbia
Bankers Association as committee to
raise the funds that have been appor-
toned to the local banks by the Greater
National Capital campaign for their
share toward this undertaking
The regular Spring meeting Of the
association will be held on April "a al
4 pm. in the association rooms. As
this is the last regular meeting prior to
the convention, all committee and Sec