Evening star., 1935-12-17
BROKERS PREDICT
FAST PACE IN. 1886
See Possibility of Further
Increase in Activity on
Security Markets.
BY EDWARD C. STONE.

during 1886, with the possibility OF the
rapid pace set in the last six months
even being increased.
Brokers for several weeks have
talked of the possibility of real re-
action which might bring prices far
below present levels. There have been
several small setbacks, but nothing
worthy of the name of a market
break has yet taken place. although in
recent sessions the New York ex-
change has been drifting more than
scoring any definite progress.
With the possibility of some re-
action in mind. Washington brokers
are less willing to talk about the near
term outlook for stocks as the long
pull chances. Quotations on many
stocks are considered high as based
on present earnings, and in many
cases future prospects are considered
to have been more or less discounted.
However, brokers point to the re-
cent increases in corporation earnings
and the large number of higher divi-
dends recently declared. They also
mention the large amount of money
that is usually reinveSted at the end
of the year when final dividend pay
ments are received. While financiers
here are careful about predicting
higher prices, they quote from many
predictions that have already been
mad, in New York forecaSting greater
activity. Several market services pre-
dict a 10 per cent increase in business
volume and eventual higher prices"
In the last six months or more
Washington brokerage offices have had
their share of the pickup in volume.
A lot of investment buying has been
reported here At the same time
there has been plenty of in and out
trading, brokers say. They are wind
ing up 1885 in very different MOOD
from that prevalent year ago.
The same marked improvement is
also reported by the leading bond
men in the city. the dealers in senior
securities expressing equally optimistic
views on the 1886 prospects. While
nobody knows what will happen next
wear because of the countless ele-
ments that enter into the financial
situation at all times the turnaoout
IN financial district views in the past
II months is worthy of more than
passing notice.
Prosperity" Sales Mount.
Significant gains in mass purchas-
ing of seven important groups Of
prosperity goods" in the first 10
months of 1885 reveal an increasing
number of American families who
again feel able to buy beyond the
bare necessities of life. according to
a surplus income barometer study
issued by Northwestern National Lie
Insurance Co. of Minneapolis.
For the period from January to
october 81, 1885, dollar volume in
creases over the corresponding period
of 1894 were: Furs, 81 per cent;
furniture, 1877 per cent; electric house
hold appliances, 1872 per cent; lug
gage. II per cent; sporting goods,
8.7 per cent; pianos and other mu-
sical instruments, 40 per cent; jeWelry'
IT. per cent. AS speciality shops were
not considered, but only department
stores in key districts from coast TO
coast, the figures reflect purchases by
the general masses of the population.
OF the seven groups of goods. turs
show the greatest and most consistent
gains over year ago.
New Savings Bond Offering.
Secretary of the Treasury Morgen-
than has announced that beginning
January 1 a new series of savings
bonds will be offered for sale through
the postal service. The issue prices
of the new bonds, which will be deslg-
mated as series B. and the terms ana
conditions of their sale will be SUB
stantiallv the same as for those OF
the bonds for series A. The yield on
the new bonds will be approximately
2 e-1O per cent if they are held 10 ma
turitv. The sale of series A BONDS
will terminate December 81.
Citing the increase last year in the
average amount of savings per in
vestor in building and loan aSSocla-
tions, Morton Bodfish, executive wee
nresident of the United States Build
ing and Loan League, arrived IN
washington yesterday with the state
1nent that those experienced With IN
vestments in mortgage loans are show
ing a quickening Of their faith IN this
type of security.
Pennsylvania Railroad reports 1or ~
months ended October 81, 1885, net
income of S18,174,176, after taxes ana
charges, equal to Sl.38 share (par
$500 on 13,167,696 shares Of capital
stock. This compares with revised net
income of s18,312,67O in first 10
months of 1884, equal to S1.39 share
Loomis-Sayles Mutual Fund, Inco an
investment fund, with offices in WASH
ington, Boston, New York, Baltimore,
Philadelphia, San Francisco and four
other leading cities, declared 50 extra
dividend payable January 2 to stock Of
record December 7, in addition to the
regular 5O-cent quarterly dividend pay
abe at that time.
Extra on Woodward Common.
Directors of woodward & Lothrop
have declared the regular quarterly
dividend of 80 cents per share on the
common stock and an extra disburse-
fnent of SIS cents share, both pay
able December % to stockholders OF
record December 81. This action
makes a total of So a share paid
on the common stock so far this
year. The board also voted the regu-
lar quarterly dividend of Ia per cent
on the preferred stock, payable on
the same date to stock of record on
the same date.
Woodward & Lothrop preferred solo
at 1I6 on the Washington Stock Ex-
change today, a gain of a full point
since the last sale and a new high
for the year. Sales totaled 80 shares
Capital Transit stock was the most
active issue on the board, opening
at 14%, for five shares. In seven more
sales 22O shares changed hands al
Is. Ten shares of Railway & Elec-
trio preferred moved at 1os, American
Security & Trust brought 2001a anc
Riggs National common again sold al
210.
Bonds were neglected. City & Su'
1tA@