Fort Worth daily gazette. (Fort Worth, Tex.) 1882-1891, 1890-04-10

The Weekly Financial Circular of Henry Clews
& Co., Nos. ID and 15 Broad street, New York.
April 8, says: The present outlook, financially
consiered, is more encouraging. April settle
ments were passed with but slight disturbance
the less active state of trade and speculation
counteracting all tendency toward close money.
From now on the money market is hRely to show
increasing ease as interior demands are dimin-
ishing, the prospects of gold exports are vanish
ing and bank reserves are likely to continue ms
ing for some time to come. with easier money
both here and IN London the erect cannot put De
stimulating upon stocks. 80
For months past stock exchange securities
have refused to reflect the general improvement
shown everywhere else, chiefly because capital
found more profitable employment in trade. The
great expansion OF commerce and industry d.
verified money from railroad stocks into other en-
terprises, and this in spite of the extraordinary
prosperity of railroads. Business men were
altogether too much occupied, mentally and
financially, to think of Wall street, and the re-
suit has been stagnation and depression at
time when the country was really making phe-
nomenal progress. change has taken place.
Business Is growing quieter After the rush OF Inc
past season halt has set in and it is quite evil
dent in some branches of trade that q period OF
rest IS necessary unless we are TO invite the eVls
of general oVerprodUction. In some depart
ments the effects of excess are already being
felt. The wooden trade is suffering from ex-
treme depression, the end OF which IS perhaps
not yet seen. The coal trade is also struggling
with overproduction, the mild winter having
greatly aggravated the trouble in both branches
OF industry; a weak tone is also observable IN
the iron trade. Still these really the darkest
spots in the whole industrial situation, and
there are abundant influences to counteract
them, SO far as the stock market is concerned.
Trade in general is in sound condition, ana
there serious evidences of overproduc-
mercantile purposes, they will drift back to
Wall street. The average merchant Will nave
less employment for his balances, and will be
obliged to invest them in securities, which pres
ent low prices will enable him to do with adj
vantage In short, easy money is the keynote
Of the stock market; and high rates OF interest
having held the advance IN check
during the winter months, prices
are now more likely to respond to
the removal of such drawback. 1t may appear
strange that less active condition of trade
should be bull argument, but such is the fact.
The same rapid rate of expansion il every de-
partment was impossible, and Wall street was
obliged to wait its turn, which now appears in
view. For once the ''street' failed to, or was
unable to take cognizance of outside conditions,
and the improvement which ought to follow
should be none the less substantial Tor its tardl-
ness.
The European situation must continue to be
source of solicitation, The one-man power as
sumed with such Yigor by a ruler of Emperor
Williams characteristics is constant menace
to the quiet of Europe. At time when among
all progressive nations, Germany included. the
tendency is irresistibly toward expan ing the
power OF the people and dwaring that Of the
sovereign, the arbitrary spirit of the young
emperor is not over assuring. And in case OF
discomfort at home he might easily divert the
aggravating foreign complications, even to the
point of open conflict. AS a military hero, his
power over the German people would not only
be immensely increased, but more firmly estab-
lished for the remainder of hia life time.
Two other influences may be mentioned which
affect prices favorably: list. The efforts OF
Western managers to formulate agreements
which promise success, and next the recent de-
cision of the supreme court that state railroad
commissioners have not the right to arbitrarily
fix rates at unreasonable figures; in other
words, that the companies have the right to APP
peal to the courts to decide il such rates are
.reasonable. This is most important decision;
s1or it not only checks the reckless action of
some of these commissions, but removes their
power of enforcing unjust rates in a manner that
has often practically amounted to confscation. |
Its effect will be gradual, not immediate. The |
Changers are indulging in good deal of wild de-
nunciation of the supreme court on account of |
this decision; which. however, will be taken as |
an expression of their discomfort, rather than |
any serious attack against body of such integ |
rity and dignity as the supreme court of the |
United States.
The satisfactory character of railroad earn |
ings is an old story, only worth REPETITION be- |
cause as yet this feature has had |
little effect upon the value of many |
good stocks, which in spite of |
their increased net earning power still sell |
ing at old prices. London appears to be more !
confident regarding the future, and has prac- |
tically stopped selling American securities. |
Our opinions regarding the future incline to the |
favorable, and in the absence of untoward de- |
we consider all good stocks a pur-
chase on substantial reactions