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INFLATION IN GERMANY, DUE TO PROSPERITY, MUST BREAK, SAYS MOODY. FEARS GERMANY'S PROSPERITY WILL RESULT IN CRASH Steady Inflation Mast Have Reaction, Says John Moody. SAYS FRANCE SAFE Believes Policy of Retiring Currency Only Sound One. "Germany's paper prosperity la leading to a crash." says John Moody. "But France Is following the path of safety in all her governmental finances and has turned her face definitely away from the inflation mania." Mr. Moody president of Moody's Investors Service of New York, has just returned from an extensive tour of Europe, where he made an extensive Investigation of economic and financial conditions. Hs visited all the European capitals and the important Industrial sections, interviewing more than 100 leading bankers, financier^ public men and economic experts. All Germany Dust. "The most interesting thing in all Europe today." says Mr. Moody "la the remarkable situation In Germany. The Germans are at work from one end of the country to the other. They are producing I goods in enormous quantities at extremely low costs as measured pi dollars. Thielr crops are good 'ttois year, and the whole population .appears to be fully employed, vast n timbers of men in the industrial districts working twelve or fourteen hours a day. But this Ger- j mittn prosperity is unreal; Germany . In carrying on a program of Inflation and speculation which is i lea Oing her to a financial crash latnr on. ":?hirrounded hy the adverse exchange wall. Germany Is forced to develop intensive trading activity amotng her own people. Only in the $ast can she trade with other countries on anything like an equal basip. The mark has fallen so low j the |prljiting presses are revolving so f||Lst as to make the mark still less valuable, that the one thought j of cftrery German is to get more and imore marks for his goods or labor* and then exchange his marks for teal property with lightning | * speed* <tors Deflation < on?l?*. 4^he -successful man in Germany ia the one who converts his money j into property with the greatest rapidity. This situation is forcing the inflation of prices and wages with gneat rapidity. Thus, the J present aidvantage which Germany enjoys of being able to flood the world with cheap goods is already , hp^jlnning to be curtailed. Prices j and wages, as measured in marks i ane certain to soar higher and higher, and the time is not far dis- J tant when Germany will no longer j be able to undersell other countries in the way is now doing. Then j will come the complete collapse of l?r inflation bubble, and a general j housecleaning of her finances. 'The French situation is also ex- | trefely interesting. Much loose talk is indulged Ln in this country re-j -garding France's ability to sur- , 'mount her financial difficulties. But ; 1 come back with the firm convic- j tion that the future of France is absolutely secure: that her credit is j sound and steadily improving: that, areat as are her financial problems, j i she is strong enough to solve; ' them all. Fraarr Monr (onirrvativr. "France. unliJce Germany, has ii turned her back on inflation, she is j . already making progress in retiring her redundant currency, and thia J progress will continue. French j hankers and financiers appear to I have a clearer idea of what they I are doing, and tow to do it. than ' the financiers of any other country that I visited. The French are con- : tinuing to justify their long-hon- , ored reputation of being the best ; bankers in the world. * "Today fhere is absolutely no j danger of Bolshevism spreading I utslde of Russia," says Mr. Moody. 1 "The enormous faihire of the Bus- ! sian experiment has proven to be I the biggest kind of an object lesson j to the people of every other coun- i try. Today I do not believe that I there is as much Bolshevism in Germany as there is in America, and ' certainly there is practically none j In France." Meanwhile Germans Preach And Practice Work Gospel FRANKFORT-ON-MAIN. Sept. 5. ?Sermans about work are being de- ; llvered in both official and unofficial j places, and it is being driven into j the brains of the German people that only productive labor can save j the Fatherland from ruin and free j It from the unhappy condition Into which It has come through the events of the last few years. Nevertheless, the unemployment problem ^emaina serious. Moreover. in addition to the unemployed, there are numbers emploved both t-y the government and by private concerns whose labor is redundant. All departments of the government. Including the railways and the postal service, are oversupplied with officials. The introduction of the eight-hour day and the tendencv of salaries to increase are also matters of no little conseauence. Ihis condition will lesd to certain ruin unless there is very soon an entire reorganization. The association of German engineers has worked out a program of reconstruction along the following lines: 1- The more economical ^use of raw materials. t. The use of domestic raw materlala so far as practicable, and the sparing use of imported goods. 3. The extension of the principles esrifles Bssgfct, Ssld sad Qse.*ed r#r*4*? ?ssd? mm* Foreign Eiehsase. # Call, write, er ?heae Kaia OS. R1EMER * CO. VZL2SS ? Lmam ?s LiWty Bsstfa ad LUtod aad TTsli?tW Cart Bucks carried as atrgia. C H. B11APT 4k Cs. ? ? A ' FOREIGN TRADE AND THE INTERIOR BANK ? t i . I, ? i 'i . ?1^1??rrv. _ ?^ , M^^HHMHMniHEiH^n ^^ ''' ^ * ~ **& +?-.* \ --- ^ iNOUSTBJtS OF tmC SMALL MTcaiOR .k **- ~ ' * TO vms auNiyAUMi ***T or . -?-*1ypr. ?TV>^a&?; ' eu* WMM rtuoc. ;_ - '-A- ?r^' - -?v conn- L-?(y^Vj hu I /^j|f I ^5r?ew5M|uK2c^>l^ I*IJ*IN6^THE _ - that into every WiMMCAN MMMO *??0 "n* VP?l5^^^g8^3B^^>^ ^Jfzi country, activities affect "i _ -;.. ? <^<Vr welfare the smaller the larger ^W|^^BHHi||^M8Ba|iBi|opB[BBB^^^JgMMBM^^^^B^|Ct,-> -, jJ^pBj^^^* in towns the yMK5?gjfe^5?3BB|BB|^^BP^B^B^^BBHaM}HBH^H^^^BWjHW^^^BHH^HB^M PKFojMWNC>4il^ ; United States have become 1 ^"^?W^^3yS|ft^gS|WlPSHBB^^^WBj^M^HMBHHI^HW^BHi ed in the possibilities of foreign ^Kggajfiy I }' markets. are ' " **?*.' to banks to them their ^^^IBilBflBQQHBBBHii^^^^^^^^flKB^BMBfl?fiifci?i!i?^L2L ... jff^ trade problems pn- A SOUTH AMEMCAN MW PLANTATION SIMPLY IN 4 ONE OF THE IMPORTANT " that the time PRODUCTS WHICH OV? MTpilOR INDUSTRIE9 MUST SUV FHOM AMOAO. come interior to we can run time because To dp iP8g than means homes markcts ?, ?i| th? worla are rreat- | la to in America In the . . .. ... I A. . , a . . rr steadier than the markcts v the American ner is out orders from (8|H^^^BDHj[^HRHHj^^HTCEHS^Hp8|ljp^]r^.O . ex- to change the sea- ^B^^SSp perlence that the factories of Amer- to de- vate foreign the In- I lea are today so huge and their out- mands. The manufacturer who has tenor bank. In co-operation with * * J/ put at full capacity is so great that a market for his goods in South the International bank, must be pre- A ftWAI tlipffl f-lffST IP**1* * CflWWHff I "* '* " ? the domestic market cannot regu- America, for instance, possesses a pared to offer facilities necessary SUILOIM6'THKOU6H COOPERATION WITH THESE /.-? larly absorb it. It Is only by a great advantage, because the sea- for the prompt and efficient han- INSTITUTIONS THE LOCAL BANKS AHE AIDING fP constant flow of overseas trade that sons there are exactly the reverse dllng Of foreign trade transactions >USMtg3S WEN IW VKORLO ?mo<AI*IHZJI?< Local Investors Absorb Bonds Of Western States KANSAS CITY. Mo.. Sept. 5 ?j Bond houses of the interior have been , particularly fortunate in their busi- > ness (taring the summer. In some instances where large issues^ of county I bonds issued to make special improve- J ments. mostly just now the building of hard surface roads, the entire is- | sties have been sold before the origi- j nal purchasers have been compelled to j pay for the securities, thus netting a profit with particularly no investment, j Salesmen are finding a market for; municipals among the people of the j little town*, as well as in the cities, the desire to avoid taxes impelling j such investments. Local taxes have j risen materially all through the Weit; j States have spent more and cities j have gone in for improvements rapidly. Scarcely a bond election fails to carry these times and it all adds to j the flood of securities placed on the i market. The collapse of score of promo- j tions that mulcted investors of sav-1 ings. in exchange for stocks that , promised huge dividends, has made the farmer, who was the victim in j most instances wary, and it will be t some time before he will invest in speculative stocks. Such investments j as he makes are now in sound bonds i and preferred stocks and to that ex - ! tent he Is. when he can lay aside anv. thing, the winner. At any rate the clientele of the bond salesman has materially increased and seems likely j to remain well established. of scientific management. 4. The education of the workers ; to think In terms of national ; economy. Last year the government appointed a new ftfflcial to investigate the possibilities along these various lines, but so far there has been very j little heard about the progress of j his work. For work of tTTls sort a man is needed who does not scorn j theories and new ideas, but who is i also practical and energetic. All t Germany now hopes that it has ob? ; tained such a man in Ilerr Walter Rathenan. If he finally succeeds in ' his negotiations with France, a vast , improvement in labor conditions j may be expected. gas blJstVrecks building; kills 3 DETROIT. Sept. 5.?Three men were killed here today when a threestory brick building on Mullet street was wrecked by a gas explosion. Windows for blocks were shattered. Five men were arrested, one of whom conducted a grocery store in the building. Police claim the building was blown up ii^ order to collect insuranco. ' The deed were all lsl*ep n upstart rooms. A gas meter In the cellar had been disconnected and the pipe leading from the main to the cellar stopped up with a plug. JIW. B. HIBBS] j AND COMPANY Members New York Stock Exchange Boston Stock Exchange Philadelphia Stock Exchange Washington Stock Exchange New York Cotton Exchange Chicago Board of Trade New York Ciiit> Market Association Hibbs Building Washington, D. C - BUSINESS BEGINS TO SHOW IMPROVEMENT, IN GENERAL Some Lines Quite Active, While Others as Yet Fail to Respond. BOSTON, Sept. 5.?The question larger sales of cloth, and whore a that is uppermost here is: How j few weeks ago there was a feeling shall we come through the winter?) of uncertainty regarding the win-! From all reports one gathers that ter. here is now a confidence that the charitable organizations I,.ok wi|1 ? without! for a very strenuous period. What- " ever else our decreased exports at l<?a8t further curtailments. Fori may mean, they certainly indicate certain lines of cotton goods, nota-' a sharp falling ofr in the activity bly thoS(> in which the consuming of producing agencies in this coun- ^ ... . . , try. And we have no mean, of publll; ha* bfen r'elQ,y "onomiz-j knowing how much more this ac- in4? several years past, there is tivlty will decrease. now ? really strong demand. As On the face of" reports of an in- on* manufacturer said this week: j creas? in this. that, and the other "It takes a good deal of industrial industry, our cities and towns con- activity to provide for 100,000.000 tinue to have a very dull appear- persona." ance. While city streets have per- Still, the fact remains that the haps never been more crowded cotton textile machinery in the] with automobiles, ordinary drays United States (a very considerable i and trucks are about as scarce as portion of which is in New Eng- : they were in the long years fol- land) is much in excess of our do-j lowing 1893. Some significance mcstic need*. Heavy exports of may be attached, however, to the cotton goods are necessary to keep j fact that one sees, both in the the mills running at anything like cities and on the country highways, full capacity, and at the moment a goodly number of big. long-dis- exports are very tmall. Our foreign tance vehicles, which are obviously customers art- all poor, with no Imcutting into railroad earning*. .mediate prospect of becoming richTrade Reports Vary. er Furthermore, our textile man..w*w ! ufaelarers fear that though foreign For every pro which one hears inners and w,avera are at _ regard ng the situat.on there Is ent ln poor ?hape, their ne,'d vt con. In one of our sreat ,ndus- ine.s |s find tr.es, for example, one w.U hear them ke<,npr <omp<.tttors from now that business is good in one town oj) n for markets than we have and bad in another In th.s place found |n he a manufacturer will say that his sales are well up towards normal; Liquidation of Wool Storks, in that place a man in the same j The wool textile situation is not line will say that after chasinaconsidered as bright as the cotton around all day he sold six cases goods situation. The figures reof goods, only to find on getting garding current sales in the primary back to his office that five had markets are accepted with some been cancelled. reservation. It is satd on good auWhen a bank official was asked thority, however, that considerable by an intimate friend this week progress has been made in liquidat* what his customers were talking ing stocks of raw wool. "Howabout, his answer was. "The rotten ever," cam) a student of the situacondition of business." Of course tion. "it may take three years to a colloquialism of this nature must complete the process." "In that not be interpreted too literally, but case." said a manufacturer, standin this rase it may be construed jng by, "there will be three new as indicating that our captains of clips. industry do not yet see signs of a ? vital improvement in the situation. A part of an old hotel?the barTextiles Show Well. room and poolroom?at BordenThe most cheerful signs are. per- town. N. J.. has been rented to the haps. In the cotton textile situa- board of education to provide room tion. In one of our largest cotton for all the pupils of the city to be textile cities there have lately been in school on full time. t REAL ESTATE problems Our experience in all matters pertaining to real estate covers more than thirty years. At your disposal is every facility requisite to the successful management of property of all kinds. We specialize in: The placing oj loans Insurance of all kinds Sale, rental and repair Administration oj tstates Submit your realty problems to us, and be assured of consideration. f s ? f' " The Washington Loan Trust Co. Dfwnfum Bant: 900 F St. WtU End Branch: 611 17th St. Rewvnv. orn fl 1.100.000 M. i. Ur*r. FnsMot Fordney Tariff Would Deplete Ties and Poles Notwithstanding the continued depletion of wood products in the United States, and the extreme shortage of railroad ties, telephone poles and posts, it is proposed to plaee the same restriction on these commodities entering the country as were applied in the days of the Payne-Aldrich tariff when our timber supply was in many cases in excess of the demand. Assuming that the 10 per cent ad valorem duty proposed on railroad ties is not affected by the America* valuation plan, the increase in the cost of operations to the railroaus will approach 915.000.000 a year if the Fordney duty is passed. Kailroad companies are now importing the greater number of their ties from foreign countries. In 1900 the Minneapolis. St. Paul and Sault Ste Marie Railroad was shipping approximately 30.000 ties monthly off of its railroad, whereas in 1920 this j carrier was importing on to its ralli road about 30,000 ties a month. The Pennsylvania Railroad is forced to ! go to South America and other countries for its ties. The exploitation of foreign fields is being practiced by all of the large American railroads, due to the depletion of timber in this country, and every provision, such as this proposed tariff upon wood products, which tends to increase the cost of operation of the railroads, only serves to obstruct the efforts now being made to readjust operating costs and freight charges to a normal basis. To raise the standards of dancing ! and to protect the teaching of the j art. the International Association of | Masters of Dancing propose that a national college for dancing teachers be established. |iiiiiiiiiiiiiiiiiiiiiiitniiiiininiiiiiiii ? Kelly Springfie ( Sinclair Consoli ~ Also Late News on Inr ? Baltimore & Ohio V' mmm iv SS Allis Chalmers an;) Famous Players EE General Motors E5 Endicott Johnson i == Simms Petroleum ^ 821 15th St. K. W: Phear ' 3 M. P. DK 3 NEW YORK. PHILADELPHIA, n IlllllllllllllllllllllllHlllHIlllllllllllll |f?? Can You F Could you knock ol your health demanded i cial worry entailed in si the old grind itself? answer to that situation tion to our First Mort| property in Washington I * V Swartzell, Rhee 727 15th ! Washinf The 52 Yean Without " PIG IRON TRADE IS STEADILY GROWING IN MOST DISTRICTS Holders Liquidate in Anticipation of Lower Costs. j ' PITTSBURGH. S?pt ?In the majority of districts the position of! pig: iron has improved in the past j fortnight. with distinctly higher prices being: asked and slightlj higher prices being obtained on such sales as have been made. The change occurs more by way of stocks being depleted than by way of actual consumption inI creasing, though there is no doubt that there has been a little incrase in consumption in the past thirty days. The principle underlying the pig iron market seemed j to be that holders of stocks wished to liquidate, irrespective of original cost of making the pig iron. *n anticipation of the lower costs that would rule when freight rates governing the rnst of assembling ore. coke, and limestone should be reduced. With the delay in the freight rate reduction, which may possibly not occur even by next December, the liquidation of stocks has been more rapid than necessary and consumptive requirements will force the resumption of some blast furnaces. As pig iron cannot be made, with today's freights, at prices recently ruling, the natural tendency is for the market to recover. While this analysis would not apply to all districts it does ' apply in a number of cases. iiiiiiiiuiiiiiiiiiiiniiiiiiiiiiiflniiiiiiDi! Id | [dated J portant information in our 'ckly Market letter, "Bulls Hears/* gives a full page zr: ilysis of these two stocks. zr: Write /or copy? iT't FREE?Xm obligation ~ I mbfRtertwatj i Washington. D. C. jg Main 310* ~ ALT1MORK. READING. NEWARK ^ HIHHlHHHIllllHIIIIHIIIIIIIlllimiHll -A test a Day? If business for a while if it? Or. would the fiitanlch a case be worse than Wise investment is the i and we call your attenjage Notes on improved . D. C. m & Hensey Co. Street N. W. ton, D. C. Home Tswa Lou to ai Investor ======J Thrift of French Shown in Buying Of Bond Issues N'KW YORK. Sept. 5.?Traditional thrift and inclination to save with a view to investment are. reassert ing themselves in France, according to statistics published by the National Association of French Security Holders. The most important outlet for French national savings is the treasury. Then come the industrial issues, railroads, and city and colonial loans. Advices received by the Bankers Trust <*ompan>, of New York, from its French ii.format ion service. Indicate that Including the 5.200.000,090 francs in bonds redeemable in two >ears issued in June, the amount of public savings absorbed by the treasury during the first six months of 1921 reached a total of at ^east 18.000.000,000 francs In 1920 the treasury issued 31.000000.000 of francs worth of stocks. bonds and certificates. ?1^^ f JACKSON UrprHikl. GRAIN-STO( Postal Tflfgmr BRANCHES Merchants' Exchange. St. Chicago. Bo Louii. Board of Trsdo. K*au> Mnasspslls. City. Cj.T.n>?ro? Produce Exctanr*. Kern Duluth. Bo* York. Winnipe*. O Board of Trade Detroit c , Board of Trado. Dalath. St. Loata. I Prod no. Exchaaga. Tolada changa. Chamber of Comm.ro. Kilwauhoc. Do You Kn Earning Your L Invest in the 8% i Stock of the Nati< Investment Til* Profitable Business of the by ConsenatiTr and Exp Assures Beyond Ai SAFETY OF 1 INCOME DEFI! OPPORTUNI1 OFFICERS AI H. Roxier Dulany . rUKSIOENT Real Estate Agent and Operatoi L. E. Breuninjer Vl?-K PRESIDENT Contractor and Builder President. Citixens Savings Banli Vice President. Park Savings 1 Bank WOHm D. West TREASURER n President. Rudolph & West Co. Hardware and Builders' Supplies Vice President. Cltisens Saving! Bank, and Director. Park Savings Bank L. Kemp Duval 8EORBTARY Retired Harry C. Birje Real Estate and Insurance C. S. Taylor Burke Burke A Herbert. Bankers. Alexandria. Va. Tksw Invwtw A portion of the stock of t tnent Corporation Is belnc olTei officers and dlrectora Subscriptions ?i* received b 1411 Eye Street N.W. Phone S '' . WESTERN BUSINESS BETTER AS CROPS MOVE TO MARKET Half of Winter Wheat Reported Already Shipped. ABOUT 50% IS SOLD Producers Disappointed at Prices and Draw on * Banks. I KAXSAS CTTT. Ko. S*m_ WTCfc I the records fndkattef that fin per cent of the whe*t crop of the Middle Weet ku morod to market. rompared with 25 per cent a year a*o the inrreaaed baying power of the prodorer fa evidently vt?psi|ii>il? for tbe continuance of a fair measure ?f trade. Retail atores are harts* a puatnea* that, while by mo nta/i yet normal for this ?^a?m. atfll m far better than two mrortha ajro. and the prorpect* *rm to fndLeai* tha' we ahall oe* earlier aataBo me&niy than usual. The avermce producer la. of coorw. aomewhat disappointed, and he ha* little prospect for profits owt of this Tear*a crops, hut he w>ms aM? to maintain his usual a?wwm and his credit remains suhstartia.1 The bank a are finding- a otrrmjr demand for loans In somewhat larger tilts than usual, as debts are funded and tbe customers are try In* to rot their affairs in tangible coodttMa It most be remembered that the prr>ducin* country must Uw? art of th* I income now in eight until the tutl | harvest is icatheredTh? corn crop Is smaller than . usual and cattle and boas are Iruis i ing low prieee. So there must b?> some conservation of reeourr*es meet current erpeneee. Recasa* ef this ft mar be that autumn tra<1?will be cautioua and the ependfng I of money will be restricted to the most needful commodities. Certainly there is Tittle favoraMe outlook for sale of 1 usuries in th# farm country. Trade is confining itseTf t? necessities, and in this direction ia j going ahead with a brightening out J look. Unemployment ban not yet j affected the West seriously, but the demand for help is likely to crosr -j A.A.Housman 6 Co. - Broad Street, flew York Members of All Leading Exchanges Orders executed on a strictly commission basis, in stocks, bonds, cotton, grain. xigar. coffer, cottonseed oil and provisions. Orders also accepted on give-up basis to any member of an exchange of which we are members. j Washington Office ^ MAIN FLOOR CORRIDOR WOODWARD BUILDING Telephone Main 2040 CHARLES R- AI-LET. Mgr. -> *ROS & CO. 1 f Since 1876 :KS-COTTON h Bids., Cklcaga MEMBER! ard of Trade. Mev York. Produce Ei C ha id tor Chw Baltimcre. Chamber of irt of Trad. Ctumim rain Exchange Toledo. Produce Exchange lercfcaxt* Ex I*troit, Board of Trade. Kev York. 8tock Ex Chamber of ch*n** Chicago. Stock Eachango.^f iow the Full Power of dollars? Cumulative Preferred onal Mortgage and Corporation CorparmtWa, Which Is Mmtcd erienced Waakinpton Mea, ij Reaao liable Doubt INVESTMENT <ITE AND FIXED fFOR ADDITIONAL FY PROFITS FROM THE I COMMON STOCK ID DIRECTORS Appieton P. Clark. Jr. Preaident. Washington Hotel Cc r I>irector Equitable l*fe Mnp<.rance Co.; Director. Waahingrtoh Market Co.; Director. Citisena Saving* Bank Fred T. Dobo? Former United Statea Senator. President, Capital Service and Information Bureau H. Preacott Garter Attorney. Minor. Gattey if Rowland; Director. National Saving* i and Trust Company Fraalt J. Hnfkei Preaident. Hugheg Finance Corp ; Hughea Brothera. Builders. Royal Oak. Mich. Jawi A Bailer Director of the Citiaena Savinga Bank Harry A Kilt RhI Katate Ascot u< Operator II Boatt tnt Builder h? National Msrtoct and Innit ?d at the aaroa prtc* paid by the T th. Hu|hn Finance Corporation lain *M and Main tit