Archive for the 'Economics' Category

Introduction of Personal Loans Part 1

A Bank Taps a New Stratum of Customers THE National City Bank, the largest institution in the United States, has opened a new era in banking by the establishment of a Personal Loan Department which will make personal loans without collateral to salaried men and women in amounts rang-ing from $50 to $1, 000. Interest [...]

The Four Year Bull Market Part 3

STOCKS declined about 5 or 10 per cent in October and it looked as though the depression in business was to be the dominant factor. The recession, though, was brief. Prices soon headed upward once more. Since speculation was becoming rampant and foreign countries had taken all the money they needed, the Reserve banks started [...]

The Four Year Bull Market Part 2

THE most serious interruption to the stock market advance came in the early spring of 1926. The conditions which apparently brought it about are worth reviewing because they resemble in many ways those which have prevailed for the last few months. There was no let-up in business activity. The records show that commerce and industry [...]

The Four Year Bull Market Part 1

OBITUARIES of the “Coolidge bull market” may be premature but the long and persistent advance in stock prices that has lasted for four years has already become one of the major events in American financial history. To the speculator who trembles when one of his issues drops five or ten points, its course may have [...]

The Recent Market – Bull or Bear Part 3

Those who would “talk down” the bull market when the more obvious part of the record is against them have eagerly seized upon the figures of stocks which have declined and of stocks which have gone up. They contend that in reality we have been having a bear market. On the other hand, they neglect [...]

The Recent Market – Bull or Bear Part 2

Last month did something to improve the record. The same list of stocks rose approximately 60 points from late May to early September, placing the average price level at a new high record. The average price appreciation was one and one-quarter points, or $1.25 a share a day for each trading day in June, July [...]

The Recent Market – Bull or Bear Part 1

WHETHER HE HAD ever bought or sold a share of stock in his life, Mr. Average Man was aware that the stock market conducted on the New York Stock Exchange slumped rather badly last spring. If he owned stocks he needed no other evidence than that which came to him in computing the apparent value [...]

Credit and the Federal Reserve Part 3

A LITTLE LATER, Governor Young of the Federal Reserve in his speech in Cincinnati, reviewed the expansion in speculative credit in such a way as to make it obvious that he expected deflation. The stock market, however, was not alarmed because he said that he favored raising rediscount rates only as a last resort. He [...]