The Tacoma times. [volume] (Tacoma, Wash.) 1903-1949, 1940-01-23
BEHIMD The
TICKER

NEW YORk-Despite the con-
tinued heavy deficit of the federal
government. which will almost GER
tainly be bigger than President
Roosevelt's budget estimates indi-
cate. the treasury will probably
do little - II any new financing
this year by public offering Of it's
own securities. II raised only
$500. o00. 900 In that way In 1899,
yet its working balance at the
end Of the calendar year was
around s1.750. 000. 900.
Two important factors minimize
the treasury's need to borrow In
the open market. One Is that So
cial security reserve funds provide
about $3.50. 600. 900 to be invested
in special issues Of federal securi-
ties. The other il the amazing
growth Of the demand for baby
bonds" Approximately $500 .000,-
900 Of them were sold last year,
and this years figure will prob
ably reach $1,000. o00, 900 or more.
The treasury will thus obtain
about $3.50. 00o, 900 from these
two sources without lifting
finger. II tax receipts come up
to expectations, the government
won't have to worry much about
raising cash on the outside.
This situation has two signifi-
cant implications. The banks will
not be called upon to absorb large
additional issues Of government
obligations. This means that there
will be no large inflationary ex-
pansion of bank deposits. More
over, the relative absence of new
treasury financing will tend to
strengthen the quotations for out
standing federal securities. The
government bond market may
therefore resist the downward
trend anticipated for bonds in
general.
Closer - General Electric and
Westinghouse have jointly organ
lied the Electrical Export Corp.
to handle new identification
project In Brazil. Details are be-
ing kept under cover. but informed
sources understand that an impor-
tant railroad job Is involved.
Most Of Brazils electrical equip
ment purchases were formerly
made in Germany, but American
manufacturers are making the
most Of the opportunity given
them by the British blockade. The
G. E.-Westinghouse venture ties
In to some extent with u. S. Steel's
program described in
yesterdays column. Closer Geo.
nomic relations between this coun-
try and Brazil are developing rap
Idly behind the scenes - British
term 1t Americanization of
Reports Are That-Consolidated
Oil earned close to $4,000, 900 in
second half OF 1899 against loss
Of S743,661 in first half Net
for year amounted to about 55
cents a share Walworth had
profitable final quarter r. II.
Macy & Co. weak In recent mar
kets on doubt that 1899 earnings
will cover common dividend
Commonwealth Edison bought for
yield American
Steel Foundries amply priced at
current levels
New York Central earned its
fixed charges los times last year
against o.59 in 1888 Menasco
Mfg. charging production capac-
ity for aviation business-backlog
In engine division at record level
Celanese 1889 net close to |
1915 a common share Fire
stone Tire So preferred bought
for income Continental Can
rated moderately attractive spec
ulation at prevailing prices ;
Fertilizer shares have acted well
lately = sales outlook promising
. Engineers Public Service COM
mon dividend may be resumed
this year - earnings have shown
steady gains Continental Mo-
tors avoided as radical specula-
ton Fruehauf Trailer earned |
close to IS share last year
more than double best previous
record lin 1885, S. And. that the
4 Ohio-Gulf. Mobile a
Northern merger will be completed |
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