Evening star., 1934-01-27
TRADING SPEEDS Up
ON D. c. EXCHANGE.
Actual Sales and Inquiries
Are Much Better Than in
First Month of 1888.
BY EDWARD C. STONE.

BY EDWARD C. STONE.
Business on the Washington Stock
Exchange has taken on new life since
the entry of 1884. The corner has
definitely been turned. in the opinion
of the members. Judging by January,
business this year will eclipse the total
for 1888. OF course it is bit too early
to make any sweeping forecast for the
other eleven months, but actual sales
and inquiries are much better than in
the last part of the old year.
The addition of five new members
already has had a stimulating effect.
Four were elected this week. Robert c.
Jones, Karl r. Kurtz, George M Ferris
and James M. Lemon, while Paul P.
Rodler was added to the roster few
days ago as the first new member in
this year
Most Of these new members bought
seats which had been tied up in estates
for long period. Seats in estates do
not help trading activity, only retard it.
The active new members are certain
to do q lot of business in the run OF
q year. This trading, added to that
OF the former members, will swell both
bond and stock totals.
When the volume of trading suddenly
Increased on the New York Exchange,
it was said that the aroused investment
and speculative interest would be felt
in other exchanges all over the country.
And so II has been.
Prices on the Capital board have held
their own and in some instances ad-
vanced so far this year. There has
been plenty of bidding in the bond list,
but not very many bonds offered, unless
at higher prices. This would indicate
that holders expect values to advance.
Stocks, too. have done well. Several
are selling we'll over $lOO per share
Lower priced issues, like Mergenthaler
Linotype and Lanston Monotype, saw
a large turnover this week Capital
Traction scored a new high on the
present move, closing at ID. At one
time last year it was down to 6. What
Q gain!
Brokerage Offices Consolidate.
Consolidation of the Washington
Offices of Hemphill. Moves & Co. and
Goodbody & Co.. New York Stock Ex-
change firms, was announced today, the
new deal to go into effect next Mon
day. The business will be carried on
under the management of Hemphill,
Noyes & Co., in the Shoreham Office
Building The local managers of this
firm are Chester A. Lockwood and
Thomas J. Mangan, jr.
Hemphill, Noyes will expand their
Offices and their staff. Additions from
Goodbody & Co. include G. Shelton
Buchanan Alexander McCook Dunlop,
Pierce Martin and Joseph Sheehy.
They have all had much experience in
the brokerage business A large and
completely equipped board room will be
opened to the public Monday morning.
The Goodbody Offices in the Wash
ington Building were to be closed after
todays market and the accounts trans
Goodbody & Co. have maintained
Offices here for about two and half
wears. They have been under the man
agement of Bernard A. Smyth, who is
widely known in the financial district.
1884 Finds Stronger Banks.
There has BEEN in recent months, a
general return of confidence IN the
banks, the Bankers Magazine declares.
In the opinion of those Who belleVe
In the guaranty of bank deposits, this
confidence will be greatly strengthened
by the temporary guaranty provision
which became generally effective on
January l of this year. While this
guaranty covers deposits to the extent
OF $500 only in amount, taking the
number of deposits thus protected 1t
extends to more than 80 per cent.
The technical and temporary i'm
provement in the banking situation, as
compared with year ago, cannot be
doubted. Whether this improvement
will become actual and permanent will
depend upon the course OF business,
which now seems definitely to be up
ward. although the progress IN that
direction is extremely slow.
In this country, with numerous small
banks, a prolonged depression brings
about a process of purgation, with
resultant of greater strength IN the
survivors. This same remedial process
has not, in this instance, the magazine
concludes, been limited to the smaller
banks, but has affected number OF the
larger institutions as well. Since they
have survived, it Is a reasonable in
ference that they are now in much
more healthful condition.
RI C. to Pay Cash to Banks.
The R. F. c. has discontinued offer
ing its debentureS in payment OF pre-
ferred stock in banks in order to avoid
snv interference with the Treasury's
financing program.
Action was taken about week ago,
Chairman Jones of the R. F. G. eX-
planned, when the bond market position
Of Government securities made the
r. r. c. debentures yield higher re-
turn than that paid by Governments.
To date the r. F. c. has issued about
S175 ,000,0 900 of debentures, excluding
outstanding commitments, which will
not vary the figure considerably. In
the future, the r. F. c. will pay cash
TO the banks.
The chairman disclosed that the
corporation has purchased preferred
stock, debentures and capital notes IN
b,653 banks calling for S909,870,O00.
Loans aggregating $63l $4,000 have
been approved to assist in liquidating
deposits in 1854 closed banks.
Gold always Will be good, always
will be used as monetary base, and
always nave buyers for all that can be
produced, according to booklet just
published by the Twentieth Century
Press, 40 Clinton street, Chicago.
These authorities find that while
the world may have to resort to various
expedients, due to the fact that the
gold monetary base is insufficient for
the worlds industry and commerce, it
will inevitably return to gold because
gold meets the requirements of none
tary base to an extent approached by
no other metal"
Those who believe that the standard
price for gold is near sacrosanct will
be surprised by the statement in the
book that gold has advanced six fold
in the last six centuries: the price has
never gone back after a legal change,
but always ahead.
The brochure presents resume of all
the gold activities, mining methods and
statistics anent production and supplies.
The earliest record of a gold mine is
one which was opened by CadMus