Evening star., 1932-07-29
LOCAL F|NANC|ERS
|. MORE OPTIMISTIC
Stronger Securities Markets
| Cause Better Feeling
I Toward Outlook.
BY EDWARD C. STONE.

1lldb dL lCdhL d PAL VI lilG kASoNAlb lJN
In the New York stock market will be
held The market has been stronger
Tor more than two weeks, and the bet
Ter tone has already had a marked ef-
feet on sentiment. 1t is also stated
that the past few days have seen more
Fmall-lot investment buying on the
Dart of Washington people, who believe
The bottom may have been reached and
that the present advance may be the
Beginning of long swing upward. AT
least, the increase in inquiries at the
banks about investments and the much
larger attendance in the local board
rooms indicates marked revival in in
veStment and speculative interest.
AS the Guaranty Trust Co. saws in
its monthly review, confidence has 'un-
doubtedly received a strong stimulus
from the cessation of the gold outflow,
with virtual certainty that no fur
ther large-Scale Withdrawals of foreign
balances from the American market can
occur in the near future. The Coun-
try's gold stock increased $4,000 O0G
during the four weeks ended July l3,
largely as a result of releases Of gold
previusly unmarked for foreign &C e
count
Leading bankers in the Capital make
the claim that while stocks and bonds
already show an increase of millions in
quoted values and may go a good deal
higher as Fall approaches, yet there
can be no lasting prosperity until the
farmer can get enough from his crops
to pay his taxes and have reasonable
profit In the long run his buying
power alone is said to make the differ
ence between good and bad times
Higher Earnings Vital Factor.
If the present increase in industrial
activity should lift industrial earnings
S per cent. even if no more, the effect
would be tremendous. In many in
stances the gain would mean the diff
ference between deficits and profits for
both large and small corporations, one
6nancier said today.
Forecasts are scarce. as nobody knows
whether the turn has come, but there
has been a notable improvement in SEN
timent in local banks and brokerage
houses during the past few days. Trade
index figures have not vet caught the
new spirit but the volume Of stock and
bond trading reflects it. On the Wash
ington Stock Exchange there mas al
ready been quite revival in bond buy
ing
Members of the Banking and Indus
trial Committee of the fifth Feceral Re
serve district which held an all-day
session at the Chamber of Commerce
here yesterday. expressed much salts
faction over the accomplishments oI
the Reconstruction Finance Corpora
tion to date. They also place consid-
cradle faith in what they beneVe the
new home loan bank bill will do to
alleviate conditions.
Trading on Local Exchange.
Bond buying was again more active
on the washington Stock Exchange in
todav's final session of the week. The
market opened with 81 900 and $4,000
Potomac Electric Power IS, 1858, selling
at 10712.
Washington Railway & Electric As
figured in two $500 sales and So,0OO
transfer at 80l4. After call, there
were three more $1,000 sales at the
same price.
. In the stock division IA shares of
CAPITAL Traction Co stock came out at
g. the same price as the last previous
sale and IS shares of Washington Rail-
way & Electric preferred changed
hands at 78l2.
Stocks and bends in the unlisted de-
partment were called of today, but no
changes were made i'll the quotations.
= Brokerage House Expands Service.
@Further expansion Of tha private wire
Eystem cf Fenner, Beane Gy Ungerleider,
members Of the New York Stock EX-
change, through the acquisition OF two
year-round Florida Offices on August |,
was announced today by John D.
Mothershed manager Of the Washing
ton Office of the firm. located at l430 K
street northwest. The two new offices
are located at Jacksonville and Miami.
Heretofore, it has been customary for
the firm to maintain Winter Offices il
Florida, but the growth Of the States
yRar-round population influenced tie
Hfm in extending this more complete
service through its system.
< Chesapeake Corporation Net Off.
z chesapeake Corporation reports for
quarter ended JuEe 80. 1882, net income
81 S1.534 $50 after expenses. interest,
etc. This compares with net income i'll
after expenses. interest. etc, but ex-
elusive of S2.305 profit from sale Of Sc
curities which was credited to earned
surplus account.
Net income for six months ended
June 80, 1882, was S3,05O476 after eX-
penses, interest exc, but excluding
$294 051 less from sale of securities
charged to surplus account, comparing
With net income in first half of 1881 Of
$3,3l8,3l6, exclusive of $3.50 profit
from sale of securities.
Other Recent Earnings Reports.
Net earnings Of International Busi-
ness Machines Corporation for the first
six months Of 1882 were S3,542.1l7, or
S504 a share on 703,345 no-par COM
mon shares outstanding, compared with
S3776 ,492, or S5.37 a share, on a like
number Of shares for the first six
months of 1881.
George A. Fuller Co and subsidiaries
(building contractors report for six
months ended June 80. 1882, net income
after taxes and charges of S28,936 be-
fere deduction of dividends on the
per cent guaranteed and participating
preferred stock Of George A. Fuller Co
of Canada, Ltd, and before dividends
on the participating prior preferred
stock OF George A. Fuller & Co. This
compares with net income of 1892, 76j
in first half Of 1881.
Notes in Financial District.
Charles A. Miller, who has Just beer
appointed a director Of the ReconStruc-
tton Finance Corporation, is a banker
from Utica, N. Y.
Bank ciearlngs in this city for tht
week ended July 27 to,alled SI4,236, ,00(
compared with SIG $4,000 for the Weel
ending July 20.
The American Tobacco Co. has de
clared the regular quarterly dividend
of SIPS each on common and common
B stocks, payable September l to stool
Of record August 10.
The United Stores Corporation de
clared a quarterly dividend of 81
cents on the preferred stock, payable
September Is to stock Of record Angus
o5 Similar amount was paid thre,
months ago
The Baltimore & Ohio Railroad ha
asked the Interstate Commerce Com
mission to modify a previous order s.
as to permit the carrier to pledg
certain securities of the Reconstruc
ton Finance Corporation as collatera
for a loan to the Alton Railroad.