The Tacoma times. [volume] (Tacoma, Wash.) 1903-1949, 1939-12-19
BEHIND The
TICKER

ent l. reliably informed that al
though trading with the enemy Ia
Illegal in belligerent countries. COM
mercial ties between such countries
have not been completely broken.
It's factual that the Bank of
England accepts German CONNER
cial paper as good collateral for
loans to commercial banks. The
Maxi owned Kreditgesellschaft does
20 on British and French paper.
The Goldiskontbank-subsidisry of
the Observation-Disclosures that which
the mother bank can't because Of
banking statutes.
Here's the way government
banks clear enemy" commercial
paper: The Bank of England sells
In Italy and Switzerland. Nazi
banks do the same. Thus trading
goes on between belligerents while
neutral countries net a profit be-
cause of clearance charges.
That's modern warfare.
Union-The British pound ster-
ling and the French franc have
been coined" at the rate Of 176is
francs to the pound. The move
was made to keep currency specu-
lators from taking advantage Of
spreads" and help both govern
ments In war supply purchases in
foreign markets. The action in
unison didn't surprise Wall Street.
Profits-In the trading game,
one must not bear political grudges.
There's proof. Early last month
as reported here-secretary Wal
lace did predict higher cotton
prices. Wall Streeters accepted
the statement as a tip to buy cot
ton contracts. Result? They are
happy because they are now ac-
cepting handsome profits.
Commoditics-Here's why COM
modities are doing better price,
wise:
The British and French govern
ments have already covered nearby
war needs on various commodities.
Price restrictions are being lifted.
II advances run far. there will be
selling on the part Of these gov
ernments for two reasons: To
prevent prices from skyrocketing,
and to net trading profit. thus
reducing original costs.
Liverpool says there's no reason
why the British and French gov
ernments should not profit from
trading in commodities. It's pointed
out that Japan has been doing 1t
for years in the silk market to
offset the cost Of her war on China.
Blue-Quite recently S. e. C.
Chairman Jerome Frank implied
that Wall Street should be netting
nice profits. But that isn't true.
Revenues are unusually small due
to low volume Of trading in stocks
and bonds. AS a result. Wall Street
employees face blue Christmas.
Moreover-there'll be layoffs soon
after the turn of the year.
Reports Are That: Mohawk Car
pet management making hard play
TO cut into business handed out by
automobile industry There's
some switching from Atchison
shares into Clark Equipment
truck manufacturing industry at
best levels In years Cleveland
Tractors 1899 financial report will
show deficit of about $3.50 a share
At current levels Walker
Gooderham 4 Worts discounts ad-
verse factors-others prefer shares
of Distillers-Seagrams
Speculative positions retained in
Fairchild Engine 4 Airplane E.
Detroit people like DIESEL wemmer-
Gilbert--for possible price appre-
citation Long-pull positions in
Cupboard Marine not being dis
turbed :. Magma Copper to show
81 share for the final three month
period making net of $3.50 a share
for 1899 American Smelling
4 Refining to show 81 a share for
full year :.
Speculative positions retained in
Nickel Plate preferred Atlantic
Refining shares being switched into
American Airlines Some switch
ing going on from Crane Company
shares into Yellow Truck & Coach
:. And. that Mengel Company re-
Gently established economies save
organization about $50. 1000 per
year, or about IL cents q share.