Evening star., 1933-06-27
BONDS IN DEMAND
/; ON D. c. EXCHANGE
w. R. & E. as Featured, With
Z Issue Moving at Slight
. Recession.
BY EDWARD C. STONE.

ton Stock Exchange today, Washington
good demand.
These bonds figured in one $4,000,
five $1,000 and one $500 sale. all made
at s612, off 4 for the last sale yester-
day.
Georgetown Gas SIS appeared on the
local board again today, 81 900 chang
ing hands at 1882, a gain of 3s owe"
the last previous sale. Washington Gas
SIS, 1858, noted a $500 sale at 8S.
Stock trading was confined to one
issue today, Potomac Power 6 per cent
preferred recording IL 10-share lot
sales, all made at Ill. This was the
same as yesterdays selling price in this
popular issue
Local Wholesale Trade Booming.
Wholesale trade in the fifth Federal
Reserve district in May rivaled retail
trade and scored the best comparative
record in more than two years, the
Richmcnd Reserve Bank states.
- Dry goods, shoes and hardware showed
the best gains as compared with
NAV. 1882. The percentages, respec-
lively were 65.8, 418 and 357 Gro
ceries gained 11.6 per cent, but drugs
dropped off 48 per cent.
The increase in the hardware sales
was due partly to an Improvement IN
agricultural and industrial condluonS
in the Carolinas
Dry goods jobbers report brisk de-
snand in the face of rising prices.
- Retail business continues strong. The
movement of Summer goods has been
highly satisfactory.
So Advertising is picking up in the larger
cities of the district and is nearer nor
NAL than al any time in two years, the
Richmond Bank says.
BerIe Lauds Glass -Steagail Act.
Prof. A. Berle, jr, member of Presi-
: dent Roosevelts so-called brain trust,
praised the Glass-Steagall bank bill in
an address before New York bankers
yesterday, calling it the connecting link
between the present harasSed banking
condition and future American bank
ing. 1t is a transitional measure, he
said, and predicted more banking legls-
1ation which he hopes bankers will as
sist in formulating.
He believes the day has passed when
a banker should attempt to be banker
and at the same time surround himself
: with many other interests which VIII
. add greatly to his income. In England.
I he said. a banker lis almost not allowed
. to make a fortune" by engaging in
{, business outside of his own bank.
I There should be three great objectives
to bring about sounder banking, he said,
namely: First. to arrive at situation
where every unit was as strong as every
other unit Second. cessation OF COM
i petitive banking in connection with
either deposits or credit. Third. stop
ping the condition which permitted the
control of banks to be thrown around
from hand to hand with entire ire
sponsibility."
Z BENJAMIN M Anderson, economist OF
the Chase National Bank, urged extern
sion of branch banking under careful
restrictions, asserting that a new i'm
petus will be given this issue by the
!, Glass act provision requiring the guar
1 lanteeing of bank deposits.
! Maryland Bank Recognizing.
i The reorganization plan of the Bernie
Trust Co. of Taneytown, Md, which
4 calls for an increase in the capital
stock to $4,000, from $4,000, and the
paving in fun of all deposits under S25,
State deposits, certain charitable IN
stitutions and school deposits, has been
approved by John c. Ghingher, Mary
! land State bank commissioner. Other
depositors will receive 70 per cent of
. their deposits, the other 80 per cent to
: be in certificates of beneficial interest.
Z Wholesale commodity prices recorded
+, one of the largest weekly advances in
many months, according to the index
of the National Fertilizer Association.
When computed for the week ended
June "a, this index showed gain of Is
points, sending the general index num-
ber to 62.7 (the three-year average,
. 1926-1923 equals 1000, new high rec
: ord for 1888. The latest index number
T. is 26 points higher than it was month
4. ago and % points higher than it was
+: at this time last year.
: Gold Hoarding" Discussed.
!. The Bankers Magazine, just out.
+. has this to say on the boarding of
+. gold" which is just now being given
I. special attention:
(. Desiring to get gold into the Fed
: eral Reserve banks, the Government
(. has prescribed severe penalties for any
one holding more than 500 in gold
coin or certificates. This would seem
to be in the nature of an eX post facto
measure. If, for example, one had law
fully acquired $1,000 in gold coin or
certificates on January l. 1888, the
possession of this sum. in either of
the forms mentioned would have con-
stituted a crime, subject to severe pen
alties, on May /, 1888.
More serious than the reputation
OF a promise printed on its circulating
notes (for be it remembered that Fed
eral Reserve notes are obligations OF
the United States is the possible de-
fault OF the Treasury as d trustee of
the gold held against gold certificates.
For how else can one characterize the
case? If the lawful possessor of gold
certificates had, for some reason, been
unable to present them for redemption
until the penalties above mentioned
had been prescribed, he would have
found that the Treasury, if it refused
TO redeem the certificates, had violated
its trust agreement.
On patriotic grounds. all loyal cit-
zens would probably readily have sur
rendered their gold to the Treasury and
tho penalties mentioned could be de-
Tended If at all only on the ground
that they were necessary for the coer-
c!on Of the recalcitrant. It must be eX-
tremely doubtful if these penalties can
be enforced. Making it a crime to in
siSt that the Government shall keep its
promise is a proceeding Of doubtful
legality"
Heard in Financial District.
The Morris Plan Bank of Virginia has
declared a 25-cent seml-annual divi-
dend payable July l to stockholders Of
record June 20
Among recent local dividends is one
declared by the directors of the Lincoln
National. a so semi-annual dSbursc-
ment, to be made on July l to share
holders Of record on June %.
Notice has been received by the
New York Stock Exchange from South
ern Dairies Inc, of a proposed reduc-
ton in the authorized class B stock from
100000 shares to 235 900 shares.
Cars loaded on the line of the Chesa-
peake & Ohio Railway in the week
ended June "a showed an increase OF
1872 per cent over the corresponding
week Of the precious year. compared
with an increase of 32.6 per cent in
the preceding week over the like week