Evening star., 1935-11-02
BANK SHARES WIN
!. ATTENTION AGAIN
Sales More Frequent Here,
, With Quotations Well
Maintained.
BY EDWARD C. STONE.

have been more frequent and prices
have been well maintained. While
bank earnings have not yet advanced
to a point to cause any furry in the
securities, 1t is said that some bank
stocks are being bought and put away
for long-term holdings. The latest
Huston Bank letter, from Chicago,
presents these timely comments along
this line:
THE market for bank stocks has
settled down to more moderate tone
and volume since the heavy trading
that carried prices to the highest
values of the year early in September.
The remarkable feature is the ease
with which the market advances
whenever buying orders appear indi-
eating that an increasingly large
amount of stock is being laid away
for permanent holdings,
THE heavy buying was probably
induced by the ending of the uncer-
tainty which hung over the market
pending the passage of the 1885 bank
ing bill The large amount Of public
ity and propaganda carried on while
this act was before Congress frighten-
ed many holders of bank stocks into
selling their shares at a fraction OF
true worth, and their efforts to repur-
chase had a considerable influence in
the run up of the market
The review calls attention to the
fact that double liability on national
bank stocks ends on July l, 1887.
Bank stocks issued since June, 1888,
are already exempt and number OF
States are taking steps to end double
liability on the stock of State banks.
The survey continues:
Insurance of deposits will eliminate
any danger of panicky withdrawal of
deposits and since banks no longer
need to be go day liquid" this war
rants their making investments in
long time. sound loans or securities
and adopting a broader long-range
viewpoint in dealing with customers.
The amount paid to the corpora
ton by banks will be regained many
times over through the added security
and stability of deposits"
New Call Rate Encouraging.
Washington bankers consider the
advance by New York banks in the
rate on call loans from a of l per
cent to 3. of / per cent a move IN
the right direction. The advance will
mean actual money and increased
earnings to the banks in Gotham but
to Washington financial institutions
the effect of the upturn is only an
optimistic factor, psychological, as it
were.
Banks in this city have not been
sending money to New York for loans
In the call market for long time.
New York banks charge outside in
stitutions Il of per cent for putting
out the money. Up to the other day,
the rate has been so low that transac-
tions were impossible, as the banks
here would have lost 4 of per cent
on every dollar loaned
The new rate in New York was not
adopted because of larger demand
for money. 1t is hoped, however. the
rate will gradually work higher When
it gets to IA per cent Washington
banks will be interested, local
financier said today The banks here
could then pay the half of l per cent
for having the funds handled in New
York and have l per cent profit on
money that is now idle.
Insurance at 1929 Levels.
Reporting a gain of nearly 20 per
cent over the business of october,
1884. and more new business paid for
in 10 months this year than in the
entire II months of last year, the
local agency of the Mutual Benefit
Life of New Jersey expresses the opin-
ion that the life insurance business in
Washington is back to pre-depression
volume. In fact, H. Lawrence Choate,
general agent, predicts that the total
new volume for 1885 will exceed that
for the boom year of 1929.
James A. DeForce was presented
with desk set in appreciation of his
leadership of the agency in October
in volume of new insurance, as we'll
as amount of new premiums collected.
Electric Output Advances.
Potomac Electric Power and other
units in the North American Co. re-
ported a total electric output for the
third quarter of 1885 of 1885, 1855 ,366
k1lowatt hours, an amount greater
than for any three-months period in
the history of the company's present
subsidiaries. and an increase of 1920
per cent, compared with the third
quarter OF 1884. For the IL months
ended September 80, the output was
5,209, ,030,508 kilowatt hours. an in
crease of 8.28 per cent, compared with
the corresponding period ended a
year ago.
Gas output showed increases of 3.76
per cent for the third quarter of 1885
and 500 per cent for the II months
ended September 80, compared with
corresponding periods a year ago.
Revenue passengers of transportation
lines increased BAT per cent for the
third quarter and 1.27 per cent for
the 12-month period.
Residential electric customers of
North American subsidiaries at the
end of September, 1885, numbered
e87,102, an increase of 27,459 since
the first of the year. President Fog
arty reported this week.
Bank Candidates Announced.
Chairman w. w. Hoxton of the
Federal Reserve Bank of Richmond,
announces that member banks have
placed two candidates in the field to
fill class A dictatorship, group 3,
and one candidate for class B direc-
tor, group 2.
L. E. johnson, president First Ma
tional Bank, Anderson. w. Va, has
been nominated to succeed himself as
o class A director for the term be-
ginning January l. w. NJ. Talbot,
president Bath County National Bank,
Hot Springs. Va, has also been placed
In nomination.
Mr. Talbot. the new candidate, has
served as director of the National
Bank of Cuba, National Bank of