Evening star., 1932-07-03
Review of First Halt of 1882
Reveals EnviabIe Record
Among Capital Stores.
LOCAL BANK DEPOSITS
ARE HOLDING UP WELL
Trading on Washington Stock Ex-
change in Past Six Months
Is Also Analysed.
BY EDWARD C. STONE.

Tie F6OETdI RESERVE QSJIlCbS is Del1nO
last year, but the fifth district has made
the best record of any of the II trade
areas, according to several of the
monthly summaries. In all these
monthly statements, Washington has
reported the least receSsions from the
1881 figures of any city in this territory.
The banking situation in the Capital
has also maintained gratifying strength
during the first half of 1892 AS q
group, the local banks are in an un-
usually sound condition Bank officials
insist that they have plenty of money
with which to meet the borrowing
needs of the community. All they re-
quire is that borrowers be in a posi-
tion strong enough to enable them to
pay of their obligations when due.
Deposits Holding Up Well.
The first call for the condition of
the local banks in 1882, was issued
last Friday by Controller of the Cur
rency John w. Pole, and dated June
30, the end of the Governments fiscal
year. Early reports indicate that bank
deposits here have held up nicely dur
ing the six months, or since December
81, 1881, the date of the last previous
call Had there not been Withdrawals
for tax and other purposes in the past
few days, total deposits in Washing
ton on June 30 would have shown
quite substantial advance over the
December call With the passing of
July /. much of this money will be re-
deposited
Much more business could have been
handled easily on the Washington Stock
Exchange in the first half year, but.
everything considered, it has been
quite satisfactory for so-called dull
times. The largest volume of bond
trading has been in Washington Gas
Light IS, series A. So far this year
Sl27,6o0 of these bonds have changed
hands, the reason for the extra large
sales being due to the fact that this
issue natures in 1888
Railway S5 Electric IS, Capital Trac-
tion IS, Potomac Electric Power Con-
solidated SIS, Washington Gas IS and
6s, series B, are among the other most
popular issues with local investors
Amcng these issues the favorite has
been Washington Gas Light SIS. Most
of the local bond issues reveal only
moderate fluctuations during the past
six months.
Heavy Turnover in Traction.
In the stock division the largest share
turnover has been in Capital Traction,
1900 shares having changed hands in
year at 1877. went to 20, when :. turned
downward. 1t made low for the period
under discussion only tbs last week
when it sold at 8. It now pays ST. a
year dividend, which makes it yield 10
per cent at present prices. Capital
Traction has 500 par value and many
present holders bought it around that
fif4lre
So far this year there has been
tLruover Of 866 shares of Potomac Elec-
trio Power 512 per cent preferred,
making it the most popular utility stock
on the board. 1t opened the year at
1922, went to 105 and sold this last
week at 1922. The company's 6 per
cent preferred is also favored. the last
sale in this issue being made at f08
Washington Railway & Electric prefer
red is in equal demand. So far this
year 1t has seen turnover of 794
shares. 1t has fiuctuated more than
some other stocks. opening the year at
IS, advancing to 94l2. The last sale was
made at 1872.
MergenthaIer Leads Group.
In the miscellaneous division, Mer-
genthaler Linotype has been one of the
leaders, 1872 shares having changed
hands. Lanston Monotype has also
been one of the mcst active stocks in
this group. the last sale being made at
So. Mergenthaler is selling at Al.
Woodward g. Lothrop preferred has
figured in a 60-share turnover so far in
1882, last sale at lot. National Mort
gage & Investment preferred, now
quoted at 3, led all the other stocks in
the number Of shares changing owner
ship in the six-month period.
Trading in local bank stocks has been
very quiet, National Metropolitan,
Prince Georges Bank g. Trust Co., and
the Bank of Commerce & Savings being
the only issues in which transfers have
been recorded Sales in insurance
stocks were equally light.
Plenty of buying will come into local
investment issues, as well as into the
countrys biggest security markets as
soon as investors are convinced that a
real turn is under way. Many econo-
mists say the recovery will be well
started before it is noticed That will
make getting in at the bottom" diff
cult more a matter Of luck than judg-
ment.
Collins Lauds Glass Bank Bill.
While finding some things to criticize
in the Glass banking bill, Charles w.
Collins, widely known for the part ne
took in writing the Federal Reserve act,
sums up his views of the Glass bill in
this way:
1T strengthens the Federal Reserve
system. 1t legalizes, standaroizes and
controls in the interest of the general
public forms of banking operations
heretofore carried on in the twilight
zone uncontrolled by either State or
Federal law 1t gees further than any
previous legislation in the approach to
a uniformity of member bank opera
tions within the Federal Reserve sys-
tenn. 1t provides both emergency ana
permanent relief and safety for deposl-
tors in small country banks.
1T lays a sound basis for the future
expansion of the banking business. Its
enactment into law would have set
ting and a wholesome effect upon the
whole banking situation"
Break in GLOON" Noticed.
While the first half of 1892 has wit
messed no reversal of the long down
ward movements in business activity
and in price levels, there has at least
been a clearing of the atmosphere dur
ing the past month that gives some
promise OF brighter prospects, says the
Guaranty Trust Co. of New York.
Some dissipation Of the pail OF gloom
that has hung over the situation since
last Autumn is here and there evident.
and there Is even the suggestion that