Show LOAN PROMISES CHANGE CHANDE TREND New Federal Reserve Policy Enthuses Big Business and Bankers By RICHARD RIHARD L. L GRIDLEY United Press Financial Writer Wrier NEW YORK Feb 13 UP UP UP-BusI Busi Business I ness men awaited effects today of the thc latest move by government authorities author Hies to stop destructive deflation The bipartisan action of governmental governmental govern govern- gover mental and congressional leaders in planning more liberal use of the it resources of the federal reserve system was expected to have an immediate im mediate helpful influence Big Dig business and d banking banking- approval of the move already has been shown in irs the sweeping advance in security and commodities values since the plan was made public Wednesday night night I Greater eligibility on collateral I loans made by the federal reserve to tOI member banks bank and more liberal use of the reserve systems system's huge gold holdings for healthy credit expansion arc provided by the bill bi Sponsors believe beleve bank failures will willbe willbe wJ be cut sharply b by the banks' banks own ability to borrow more readily on sound collateral They Tey expect an carl early stabilization of commodity prices Many bus business ness leaders believed that I the he bank bill bi was wa the administrations administration's trump card in its is battle batte against de dc dc- lation naton Investment funds would be drawn to o the bond market by the credit rc rc- released leased Present low price levels have made it i almost impossible imposible for mate business enterprises to obtain necessary new funds except at exorbitant exor exor- bitant prices pries The Te credit moves also should hould bring to an m end the disastrous of bond investments by banks faced with wih heavy demands from depositors Economists Economist sensed constructive developments de de- in other directions this thi week particularly the waited long announcement of the Ford Motor company of its it new four and eight cylinder models models Fords Ford's announcement announcement announce ment was expected to release a large potential consumer demand for new cars ars show other producers just where the they hey stood and indicate that Ford considered con con- the time propitious for a large scale cale selling selig campaign According to Detroit advices thousands thou thou- sands ands of men will wi be on the he models and the steel rubber glass glassand glassand and other industries es dependent upon the he automobile industry will wi short shortly feel eel the effect of material orders Business activity this thi week showed I little ittle Ite change from recent levels le Industrial In In- operations showed little change chance from the previous week eek and normal railroad traffic continued well wel below In the eastern part of the country the he boom in security values that add add- ed d to listed values was expected to be bo felt feI in retail trade channels within a n few weeks weeks |