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-1 FINANCIAL AND CLASSIFIED I News of Markets flW* if ~ Classified Ads Pages 1 to 4 f ^ 5 to 13 ■ Part 5—14 Pages WASHINGTON, D. C., SUNDAY MORNING, MARCH 31, 1935. BANKS DISCLOSE SHARP INCREASE IN I - New Total of $275,226,285 Well Above December and Year Ago. PRELIMINARY FIGURES ISSUED AFTER CALL t, Controller’s Selection of March 5 Bate to Stress Advances From Totals in 1934 and 1933. * BY EDWARD C. STONE. Controller of the Currency J. F. T. O'Connor issued a call yesterday for the condition of all banks in the Dis trict of Columbia and all the na tional banks in the United States, as Of March 4, 1935. Following issuance of the call, it was learned in the financial district £ that deposits in the 22 active Wash ington banks have mounted to a very much higher aggregate total than the amount on deposit in the banks here at the time of the call of December 31, 1934, the end of the last calendar & Fear. ■r Futhermore desposits in the 22 na £ tional banks, savings banks and trust companies are far ahead of the ag gregate deposits one year ago as re ported after the comparable call of J March 5. 1934. First figures obtainable yesterday, which may undergo slight changes before the banks send their reports to l the Treasury, revealed aggregate de posits of $275,226,285, as compared with a total of $256,844,807 three » months ago, or a gain of about $18, ,, 481.478. This figure also compared with $245,453,915 as a result of the call a year ago on March 5. Deposits on March 4, 1935. The 22 individual banks yesterday reported the following deposits on their books on March 4, 1935: Banks. Deposits. Anacostia Bank. $1,308,119 American Sec. & Trust... 41.333.255 Commerce & Savings. 2,107,836 , City Bank. 5.188.581 Columbia . 4,538,175 East Washington Savings.. 830.653 Hamilton National . 17.333,746 Industrial Bank. 287.973 Liberty National. 4.841,470 S Lincoln National1^ . 8,058,263 McLachlen Bank .. 3,313.031 Morris Plan.. 1.045,022 Munsey Trust . 5,149,877 National Capital . 2,643,624 National Bank of Wash... 10,340,641 National Metropolitan ... 25,320,520 National Savings St Trust.. 15,522.252 } Riggs National. 82.750,139 Second national . 6.292.296 : Security Savings <fc Com.. 5.948.991 j Union Trust . 9,596,947 j Washington Loan St Trust. 21.474.974 It is understood that the controller's call was dated at the close of business March 5. in order to make an extra good comparison with the call of March 5, 1934. and with March 4, 1933. March 4, 1933, was the last day before President Roosevelt de clared the bank moratorium all over the country. Consequently, these three calls dates make possible accurate comparisons revealing the progress made by the banks since the national holiday. Along with the marked increase in total deposits, the figures reflect a return to confidence in the banks highly gratifying to officials. Money Awaiting Investment. a lie can ui maim •* iuuuu tut; lucai banks in excellent condition from the standpoint of deposits. Deposits have been climbing steadily for a long time. A great deal of the money Is being held by depositors who are awaiting what they consider more favorable invest ment opportunities. Should such op portunities arise In the not far dis tant future, bank deposits would un doubtedly turn downward. The great number of checks given out for the payment of income taxes had not been returned to the banks in large numbers until after March 15. This fact helped keep deposits at a higher figure than they may be today. Almost every bank in the Capital re ported a gain in deposits since the first of January. Riggs National re ported the highest deposit on record and several other banks appeared to have reached new deposit peaks. The controller of the currency has to make three condition calls each year. He usually sends out four. Treasury records show that the state ment of condition has been asked on March 4, only five times since 1914. In the past the Spring calls have gen erally been later in March or early in April. Two calls are always dated December 31, the end of the calendar year, and June 30, the end of the Government’s fiscal year. The Spring and Fall call dates are much more un certain. Reports from other cities indicate that higher deposits will be the rule all over the country. D. C. UNDERWRITER PAID HIGH HONOR Thomas P. Morgan, Jr., Will Be Delegate to Chamber of Commerce Meeting. President Theodore M. Riehle, of the National Association of Life Un derwriters, has announced the ap pointment of Thomas P. Morgan. jr„ as a delegate to represent the associa tion at the twenty-third annual meet ing of the Chamber of Commerce of the United States. The National Association of Life Underwriters has a membership of 20,845 throughout the United States and Hawaii. Mr. Morgan is a grandson of a for mer president of the District of Co lumbia Board of Cimmissioners. Thomas P. Morgan, last year was president of the District of Columbia Life Underwriters’ Association. Is now ' national committeeman, and is a member of and secretary of the com mittee on Law and Legislation of tha national association. | Granulated Sugar Raised to Highest Level Since 1930 By the Associated Press. NEW YORK. March 30.—Leading refiners of sugar today raised the price of fine granulated from 4.70 to 4.90 cents a pound. The advance was made effectiverby local and out of-town refiners. At the new level the commodity is higher than at any tffhe since May, 1930. Actually, however, the price of refined sugar sold above the current level last year, making al lowance for the processing tax of slightly more than one-half cent a pound. The price of fine granulated has been showing an upward trend for some time in response to steadily rising raw sugar costs. During the last month quotations on raw supplies have risen around four-tenths of a cent a pound. FIRST PROFITABLE YEARJINCE1930 Bituminous Industry Now Faces Labor Troubles and Control Bill. BY JOHN A. CRONE, Special Dispatch to The Star. NEW YORK, March 30.—The vol ume of bituminous coal produced this year, around 360,000,000 tons, is well , above the previous coal year, which ended April 1, 1934. Present prices j of all bituminous grades are above the levels existing prior to October, ; 1933, when the N. R. A. code became effective. Bituminous coal producers, taken as a group—for there are many small mines in a desperate financial j plight—have enjoyed, in the coal year just ending, their first profitable year j since 1930. This is a rough economic outline j of the industry which faces a walk- I out Monday, if demands of the United j Mine Workers of America are not met by the operators, or if some sort of compromise is not reached through conciliatory efforts of the N. R. A. j The miners want a 30-hour week- [ at present they are on a 35-hour j basis—and a 10 per cent increase in j utuiu pay. GufTev Bill Awaited. The coal trade, however, seems less | interested in strike prospects than in an event scheduled for Tuesday. On that day the Guffey bill, which would restrict profits and management of coal mines, will come before the Sen ate Interstate Commerce Committee I for a vote on reporting the bill. The Guffey bill, which is supported by the United Mine Workers of Amer ica, would put the soft coal industry ; on the same basis as a public utility, and would control that industry through the National Bituminous Coal Committee. The coal Industry has been adversely affected by competing fuels and by various government proposals for con struction of hydro-electric plants, especially in regions where cheap coal abounds. Furthermore, it has been hit hard by transportation charges. Nearly all large consumers through- j out the country have on hand a 60-: day stock of bituminous coal, which | would prove ample unless a strike were protracted. There has been heavy industrial stocking of coal for some six weeks. N. R. A. Stops Practice. This buying explains why, even after a comparatively good Winter, the coal mines produced at a steadily increas ing rate for more than six weeks. The j N. R. A„ a few weeks ago, put a stop to a practice, prevalent hereabouts since early in January, of booking orders and promising a discount on scheduled prices after April I. With a wage increase in sight—and wages constitute about 65 per cent of coal operating costs—either through a strike and the usual wage agreement or through passage of the Guffey bill, which, among other things, proposes that the Government buy up and withhold from production marginal mines, it was logical for consumers to anticipate coal needs. Several of the heavier industries stocking up coal, however, emphasized future needs for the fuel, rather than higher prices for it, as the factor which motivated their more liberal buying attitude. It would be heresy to say this in Wall Street, where coal stocks have discounted just about any possible future, but some of the big coal consumers believe the industry will experience a brisk upswing in the next six week. (Copyright. 1935.) COPPER PRICES RISE ON EXPORT MARKETS Accord for Redaction of Output Already Cause of Favor able Results. By the Associated Press. NEW YORK, March 30.—Announce ment of an accord by the International Copper Conference for reduction of foreign production was the outstanding feature of the week in copper. News of the agreement prompted active European buying at advancing prices in the export markets. The European price reached 7.50 cents a pound, as against 6.82 Vi a week ago. Better domestic buying appeared, and the trade expects that total March sales will reach the code allotment of 30.000 tons. The international agreement affect ing producers outside of the United States would reduce output abroad by 240.000 tons annually from June 1 to July 1, 1938. The agreement also pro vides for uniform trade practices. Tin rose approximately iy2 cents per pound. Lead advanced $1 per ton in reflection of continued absorption of smelter production by diversified consuming trades. Zinc was firm, but sellers held firm, in apparent expectation that consum ers would soon be forced to buy for replacement. Antimony was quiet and unchanged throughout the iweek^ STORE SALES RISE. INDUSTRY PLAGUED BY UNCERTAINTIES Retailers Sell Merchandise in Good Volume From Coast to Coast. LABOR STRIFE RESULTS ARE WATCHED CLOSELY Auto Output Climbs Further. Seasonal Building Upturn Stirs Trade Observers. BY RADER WINGET, Associated Press Financial Writer. Old Joe Public dug down in his pocket this last week to give retail trade a substantial shove forward, but basic industries at the same time were badgered with conflicting de velopments. Barring local Impediments such as rain and dust, retailers sold Spring merchandise In good volume from coast to coast, evidence that the late Easter trade definitely Is appearing. Automobile production was esti mated last week by Cram's at 103,286 units, against 100,065 units the pre vious week, a continuation of the rise started In December. Analysts predict the high produc tion rate will continue longer this year than In any year since prosperity peaks, although curtailment is antici pated as the number of automobiles manufactured equals potential public demand. Consumer buying of cars now is becoming the barometer of auto business. Carloadings for the week of March 23 pushed up to 607,780, the second weekly rise which was more than had been expected at this time. Coal Shipments Soar. Commentators debated the extent strike threats in allied lines have had on both automobile production and carloadings. Most agreed motor makers are not boosting production to have substantial stocks in the event of a shutdown during a strike, but coal shipments have been unusually neavy in recent days as workers grumble over working conditions. In any event, It has been pointed out, coal mining will decrease with warmer weather. Electric power production dropped a fraction, but it still Is at the best point since 1830 on a seasonal basis. Steel production, however, declined 0.7 of a percentage point to 46.1 per cent of capacity, a continuation of the downward move started in January. Some have attributed the drop to les sened demand from the automobile centers and a delayed demand from builders. Textile makers were the third major industry faced wil^ strike threats. A proposal to curtail production by 25 per cent for a limiter period brought protests from labor leaders. Since the year-end spurt, textiles have been in the doldrums with the exception of filling of Spring orders, a demand now ended for the most part. Follows Usual Trend. Statistics show the number and extent of strikes usually increases each year to a peak in mid-May, and it has been pointed out by analysts that strike talk this year is simply following the usual trend experienced over the past several years. Of greatest hope for the near future, in the opinion of many com mentators, is the seasonal increase in building construction. For the first half of this month, residential contract awards were 31 per cent ahead of February, and from many sections of the country there was strong evidence of a growing demand for building and modernization ma terials. Proposed devaluation by 25 to 30 per cent of the Belgian belga and sus pension of the gold standard by the little nation was disconcerting to both exporters and importers, some of whom viewed the situation as a pos sible prelude to general abandonment of the gold standard and the begin ning of a new confusion in foreign exchange. A few exporters reported Inquiries tor war materials, but the ‘‘feelers” were not strong enough to be reflected In prices. Detailed Reports Given. Detailed reports from individual Federal Reserve districts for last week follow: BOSTON.—Wool markets were bet ter than normal in the first district, but cotton markets reported buyers uninterested and production unsettled by the outlook on the processing tax situation. NEW YORK —The Easter wholesale trade started in the New York mar ket, and reorders by mail from the Interior of the country were strong, buyer registrations were greater than the previous week and a year ago. National retailers said Easter business was higher but no more than ex pected. PHILADELPHIA.—Retail trade in the third district was reported sub stantially better in Easter lines, and calls for home modernization and im provement materials exceeded last Spring. Industrial operations leveled (Continued on Page 3, Column I.) BRITISH PREDICT GOLD BLOC’S END AND PARLEY CALL Period of Currency Chaos Expected to Force Move for Conference. FURTHER DOLLAR CUT IN INTERIM TALKED Paris Centers Attention on Hitler Plans—Germany Pleased by Firm Stand. Special Dispatch to The Star. NBW YORK, March 30—Cables and wireless dispatches to Business Week give the following survey of business abroad for the week ending today. LONDON.—“Troubles in Europe— foremost of which are the weakness of the Belgian currency and the un settlement which has followed the Hitler move—have slowed British business, though London is probably less disturbed by the German move than most continental capitals. Lon don is committed to no definite policy in Central Europe and is likely to consider Hitler’s demands s little more impartially than Paris or Rome or Moscow. The British public is definitely anti-war, and British of ficials are likely to go a long way to bring about some peaceful adjust ment of differences. “London is of the opinion that with Belgium off the gold standard. Hol land and Switzerland will follow soon, with France unable to hold out for long alotu. British exporters are already worned over the new com petition which Belgium will offer in world markets with the advantage of a cheaper currency. The British tariff on iron and steel products will be increased from 33>3 per cent to 50 per cent to protect the home market from a flood of Belgian specialties which would come Into the country as soon as the currency was officially devalued. Chaotic Period Expected. "If the British expectations for the gold bloc prove true, there will al l most inevitably be a few weeks of , currency chaos which would lead i quickly to a calling of a world i economic conference to consider re stablization of currencies, probably at j parties somewhere near present levels. In the interim, Europe will not be surprised if Roosevelt devalues fur ther. "Industrial company reports con tinue to show excellent increases in both profits and dividends, and the new-issue market is still active. "London is genuinely excited over the ‘ideal home’ exhibition which has just opened with a flourish. The King has paid an official visit to the ’king's house,' a prize model planned as the ideal home for an English man. There is an extensive display of modem bath room and kitchen facilities.” France Is Worried. PARIS.—“Prance is worried over the week's developments in relation to Germany. Sir John Simon's inabil ; ity to win a single concession from Hitler; the bold demands issued in Berlin, particularly affecting Prance’s satellite, Czechoslovakia, and swift moves by the foreign office to cement pacts with Moscow have all been watched by business with some mis givings. "The threat is not immediate, but there will be no recovery of business so long as war seems inevitable ulti mately. Next big decision is likely to come from the Stresa Conference of French, British and Italian officials April 11. “France almost certainly will de nounce the Hitler move at the League of Nations meeting April 15. Noth ing so well indicates the seriousness of the situation (as far as the French are concerned) as the move by the government this week to ban exports of certain raw materials considered necessary for national defense. "In the midst of this diplomatic flurry, French industrialists and poli ticians are attempting to negotiate new trade bargains with Italy, Ger many and Russia, but little has been accomplished. All interest for the moment is transferred to the big na tional issues. It is rumored, but not yet confirmed, that several big French industries are planning a 2,000,000,000-iranc loan to Russia for rail equipment purchases. "Internally, the government has moved to make money more plentiful by ruling that loans in France cannot carry more than 5 per cent interest, for Algerian, 6 per cent. This pro posal is in a Dill which is now being considered by Parliament.” Reich Business Nervous, BERLIN.—"While Germany as a whole is pleased with the firm stand which Hitler has taken, business is nervous over the nightmare of Franco Russian and other military alliances which are oeing made with all speed. Germany’s stand is not likely to be altered by any move which the former allies may take at their meeting in (Continued on Page 3, Column 2.T T3o] III II 111 |l?0| , WEEKLY AUTOMOBILE PRODUCTION IOQ / . IN THOUSANDS OF CARS . |00 "w4f-Jri~H [ 11 40 —if—-:4# r ' ft . / 20—JV—-Hglg20 . o__ ___© JAN - FEB MAR A>^ M/tfJUN JULY AUG SEPT OCT NO^ DEC £ HOLD TIGHT TO THAT ROPE, MR. PRESIDENT | CLEARINGS SHOW D. a TRADE GAINS March Total of $74,112,669 Is $11,902,795 Ahead of Previous Year. Bank clearings in Washington In March revealed substantial improve ment over March, 1934, standing at $74,112,669.72, as compared with $62, 209,874.10 a year ago, or an increase of $11,902,795.62, the figures being reported by Charles E. Bright, mana ger of the Washington Clearing House Association yesterday. The advance of nearly $12,000,000 in checks passing through the Wash ington Clearing House indicates no table business progress over the same month last year, as the picture painted by bank clearings is considered as one of the very best barometers of trade and banking conditions. Clearings in this city in the first three months of the present year to taled $204,635,874.42. against $167, 039,095.93, or an upturn in the first quarter of $37,606,768.49, an even more striking step forward than the monthly statements. Clearings in the first three months of 1935, compared with the like months in 1934, are as follows: 1935. 1034. January . $69,566,923 $55737.297 February .... 60.956.281 49.091.924 March .. 74.112.669 62.209.874 Trade Is reported as going along unusually well, while Easter visitors already have swarmed into the Capi tal until the hotels are crowded to the doors. These and many other factors are certain to keep clearings on the Increase. FINAL CONVENTION CHAIRMEN NAMED A. S. Offutt and Mrs. Siddons to Aid in Hot Springs Bank Program. Frederick P. H. Siddons. president of the District Bankers’ Association, announced the appointment yester day of A. Scott Offutt. vice president of the City Bank, as chairman of the Sports Committee of the 1935 conven tion of the association, to be held at Hot Springs, Va., May 30 to June 2, inclusive. Nelson B. O’Neal, assistant vice president of the Riggs National Bank, will serve as vice chairman. Other members of the committee are: R. Earle Haycock, auditor. Riggs Natiohal Bank: S. William Miller, treasurer of the Union Trust Co.; C. D. Ratcliffe, vice president of the Munsey Trust Co., and James A. Soper, vice president and cashier of the Lin coln National Bank. President Siddons also has appointed Mrs. Frederick P. H. Siddons as chair man of the Ladies Committee. Mrs. Charles H. Doing will act as vice chairman of this committee and Its members will be Mrs. Karl W. Corby, Mrs. Thomas J. Groom, Mrs. Albert S. Gatley, Mrs. H. G. Ho6kinson, Mrs. Ord Preston, Mrs. William Simmons, Mrs. L. P. McLachlen, Mrs. Bamum L. Colton, Mrs. Robert H. Lacey, Mrs. A. Scott Offutt and Mrs. Robert L. Flather. It Is customary for the Ladles Com mittee to be composed of the wives of the association officers and com mittee chairmen. With the an nouncement of the complete selection of the convention committees, plans will progress rapidly. SHOE DISPLAYS PLANNED. NEW YORK, March 30 (A5).— Fall lines of shoes, it is announced, will b4 opened simultaneously by members of the Shoe Fashion Guild In their show rooms o^Msy IS. Bureau Reports Drop of General Farm Price Level By the Associated Press. A drop of 3 points In the general level of farm product prices since February 15 was reported by the Bureau of Agricultural Economics. The price index stood at 108 pier cent of i he pre-war average on March 15, compared with 111 per cent os February 15. The drop was attributed to “a general decline in crop prices and seasonal downturns in prices of ] dairy and poultry products.” Live ctock prices continued to ad-! vance. hogs reaching $8.10 per hun- 1 dred pounds and beef cattle $6.55 pier hundred, the highest point since 1930. Prices of most goods which farmers bought increased by 1 point during the month to 128 per cent of the pre war average, bringing the “parity” level—or purchasing power of farm commodities—to 84 pier cent of pre war. I FOR TRADE FEARS Business Men Hold Back Because of Uncertainty Over Legislation. Special Dispatch to The Star. NEW YORK, March 30— In its weekly summary of the general busi ness situation, the Standard Statistics Co. of New York, currently comments as follows: “Business sentiment continues to suffer from the multitude of over hanging legislative uncertainties which have been threatening since Congress opened its present session three months ago. Industry, at the present time, is in a greater state of confusion as regards future legislation and its effect on profits and activity than at I any time since the inception of the New Deal. “The fact that business is dominated by piolitical trends rather than by its own individual problems is a clear indication that the future course of activity rests largely in the hands oi our legislators. It is obvious that such a condition is unhealthy. As long as it prevails, managements will limit purchases to a hand-to-mouth basis; funds will not be borrowed for ex pansion purposes and new productive enterprises; and private initiative will be largely eliminated. “Statistics for March indicate that activity for the full month was mod erately below that for the preceding month, after correction for the normal sharp seasonal increase. April volumes will be below March on both an actual and seasonal basis, although auto mobile production will continue to be a supporting influence. This support will diminish in the succeeding two months, however, indicating that a fairly substantial decline in activity will then be witnessed. The degree and intensity of the decline will be either tempered or accelerated by political developments.” • HARDWARE VOLUME RISES. NEW YORK, March 30 VP).— Reorders for Spring merchandise as sumed volume proportion in the wholesale hardware market here this week. All types of Spring items were in demand, along with builders’ hard ware and tools. SHOE GAINS EXPECTED. NEW YORK. March 30 VP).—Shoe producers anticipate a sharp spurt in the demand for shoes during the two weeks preceding Easter, despite the fact that sales since the first of, the year have been somewhat disap- I pointing. 41 IF NIEATFORESEEN Live Stock Experts Give Adverse Reports for Western Areas. By the Associated Press. CHICAGO, March 30.—America, the National Live Stock Marketing As sociation was told here, faces its greatest meat shortage during the next two years. Twenty-four marketing managers, reporting on live stock conditions in their areas, made the prediction to the association, which represents 250,000 live stock producers. The most dour report came from F. E. Hanks, manager of the Inter mountain Marketing Association at Denver, Colo., who said grazing lands east of the Great Divide for hundreds of miles are in worse condition than a year ago. “In this area, normally the finest grazing land in the Nation, only cactus remains for cattle feed,” Hanks said. “Fifty thousand head of cattle must be moved out immediately.” Western Kansas. Hanks said, which Is normally a green lawn of new wheat, looks like “no man's land.” Dust Storms Spread Ruin. P. G. Evans, manager of the Pro ducers’ Commission Association, Kan sas City, Mo., reported dust storms have ruined feed lands in Kansas and Nebraska. Dick Arnett, jr„ general manager Df the Texas Live Stock Marketing Association, at Fort Worth. Tex., re ported acute shortage of cattle andi hogs In that State. Lower receipts and predictions of further new lows came from Iowa. Indiana and the Chicago areas. Most of the managers reported good stocks of lambs and sheep. Drastic reduction of live stock pop ulation. besides affecting meat prices, has been reflected rather sharply in the operations of the packing in dustry. Jobs Index Starts Down. This was shown in employment and pay roll figures for the Industry in the Nation as a whole, indicating that employment and wages have turned downward from near an all-time peak established last Fall. Government figures gave the em ployment index for February in meat packing at 87.2, compared with 94.3 in January and 95.5 in February, 1934. An index figure of 100 would oe equivalent to the average employ ment for 1923 through 1925. Pay rolls in February had an Index of 76.5, eompared with 84 in January and 78.6 in February 1934. Production during February was at the lowest level for any month in the Chicago Federal Reserve Bank's rec ords. which have been maintained since January, 1921. REFUNDING CONSIDERED FOR DUQUESNE LIGHT By the Associated Press. NEW YORK, March 30.—WaU Street investment circles hear that the flow of new bond offerings for re funding purposes may Include some ictivity by the Duquesne Light Co. jf Pennsylvania. The company is reported considering plans for retir ing its outstanding $70,000,000 first mortgage 4 '/2 per cent series A and B xmds, due in 1967 and 1957, respec ;ively. If refunding is attempted, the lew issue is expected to carry a con siderably lower coupon rate. I _^ METAL WARE ACTIVE. NEW YORK, March 30 0P) — With current demand for sterling ind other types of metal hollow ware romparing favorably with last year's rolume, manufacturers this week, It s reported, turned attention to solicit ag orders lafrlete Spring delivery. STOCKS TEND UP DESPITE CLOUDED WORLD PROSPECTS Uncertainties on Domestic Industrial and Labor Fronts Increase. SIGNIFICANCE OF GAIN IN MARKET UNCERTAIN Factors May Have Been Discount ed Previously—New Financing Brings Ray of Hope. BY J. G. DONLEY. Special Dispatch to The Star. NEW YORK. March 30—In a week which has produced increasing cloudi ness upon the domestic labor, European military, international ex change and domestic industrial fronts ■t seems strange to report some bright ening on the domestic financial front. For the first time since the decisions in the gold clause cases were handed down by the Supreme Court, late In February, stock market averages have scored a two-point rally. In fact, the rally has amounted to three points in the general average of 50 stocks, composed of equal numbers of indus trials and rails. The previous unin terrupted decline in this average from the peak reached following the decis ions had amounted to 11 points, or something more than 12 per cent from the top of 89. It is still too early to say whether there may be any lasting significance in this action of the speculative mar kets. But at least it points to the existence of some support and may suggest that the market, as it quite often does, has worked itself into a position where it has largely dis counted some of the unsettling Influ ences which are worrying industrial, trade and Government leadera. Capital Market Astir. There is also a ray of hope in indications that the recent reopening of the capital issues market Is some thing more than a flash in the pan. Financing announced or put under way in the last week is expected to top $150,000,000. This is the largest total for any week since the passage of the securities act of 1933—in fact, since June, 1931—and it is calculated to bring not only some long-needed income but also renewed courage to investment firms. , Most of the financing now being done, of course, represents refunding of old obligations at lower Interest rates, rather than the raising of new capital. But in the past, refunding lias always paved the way for new financing. But the stock market’s temporary turn and the greater Investment mar Ifot arHtritv aro hilt ctroire in tha of current events, which, unfortu nately, seems to be blowing most persistently in the direction opposite to recovery. The foreign exchange situation, long held to some semblance of order by the seeming integrity of the gold bloc, hai gone completely "crazy quilt" with Belgium's defection. What the final outcome will be no one can now say. But it is obvious that the immediate result will be a further disruption of international trade, with perhaps a temporary ad vantage for Belgium. Only ultimate stabilization will remove the maze of quotas, tariffs and two-party agree ments between nations which now throttles world commerce. Labor Situation Troubled. The most unsettling Influences at home are the threats of labor trouble on four important industrial fronts— soft coal, automobile, rubber and tex tile. In this situation the concession recently made to organized labor, whereby it now has equal representa tion with industry on the National Industrial Recovery Board, may have some bearing upon the final outcome. For Federal intervention in the mo6t threatening labor situation, growing out of the inability to arrive at new wage agreements to become effective April 1 In the soft coal industry, has taken the N. I. R. B. At bottom a great deal of the labor unrest grows out of a "planned econ omy” which, being opposed to a tradi tional individual economy on the side of labor as well as on the side of em ployers, has not worked out very well. And the present difficulties on both sides are aggravated by uncertainty as to the future of this “planned econ omy” in so far as its right arm—the N. R. A.—is concerned. In the textile Industry the problem is particularly acute. Planning to cure certain evils has produced others. Artificial prices have reduced domes tic consumption and opened the way for Increased imports from Japan. The difficulty seems to be that, at least in the domestic market, cotton textiles have had to carry the price burden of relieving the cotton growers. And by Government loans the price of the staple has been kept above the level at which world markets will take It. One remedy would seem to be lowering prices all around by turning Govern ment aid to cotton growers into an outright subsidy, which In the end might prove less expensive to all con cerned. Workers Take Cuts. tinder the present arrangement cotton growers are cared for, but mills and workers must suffer through an arbitrary horizontal reduction of 25 per cent In operating time. Such a move Is uneconomic In that It reduces all to the same status, regardless of the relative strength of their posi tions, and so holds out no hope of re ward for the more efficient. “Planned economy” has seemed all along to Imply an omniscience In the planners which they do not possess. The A. A. A. has paid farmers not to produce the things they might have produced, and now our foreign trade reports indicate that we are paying foreigners for food products which we might better have bought from our own agricultural population. At the same time our exports of farm prod ucts have dwindled. February trade totals showed that our exports of meat products, as com pared with the month in 1934, had de clined 36 per cent; lard 57 per cent; unmanufactured cotton 37 per cent, and tobacco 13 per cent. Wheat ex ports, which were relatively small a year ago, have fallen to Insignificant (Continual on Pass S» Column 7J