The Austin weekly statesman. (Austin, Tex.) 1883-1898, 1892-09-15
ITS EFFECT ON TRADE.
HENRY cLEws & CO., ON THE PRESENT
CHOLERA EPIDEMIC.
Shipments Of Cotton is Seriously Intersered
With, But the Commerce Of the United
States is in Healthy Condition and
Can Stand the Strain Imposed.

| proving tendencies In the investment
markets have sustained severe
check from the wide prevalence OF
cholera in Europe and the danger OF
it's getting a foothold in the United
States. 1t is true that, thus far, we
have been able to keep the pestilence
outside our gates, and so long as the
means of warding it off are applied
with the same promptness, vigor and
intelligence as for the last two weeks,
there is good reason to hope that our
city populations may be saved from
invasion by the disease. Moreover,
the governments order subjecting ar
irving vessels to twenty days deten-
tion in quarantine has had most sal
utary effect, inasmuch as it not
only insures the prevention OF
infected persons from landing on
our shores, but has the still more i'm
portant effect of causing the European
steamship lines to suspend the west
ward transport of emigrants-the
chief means of conveying the infec-
tion until the scourge has run it's
course. From this time forward,
therefore, only first and second class
passengers will enter our ports, which
will reduce the chances for cholera
getting inland to comparatively
light affair. Still, the presence of
the gloomy paraphernalia of quar-
antine right under our eyes, and the
constant cable reports of the devasta-
tiOns of the disease in other countries,
together with the possibility
that its subtle blight may find
it's way through all our Instructions,
are matters calculated to keep up q
feeling of insecurity until the plague
has disappeared by process of natu-
raj exhaustion. Nor Is it the mere
horror of the disease that affects busi-
ness confidence. Its spread in Euro
pean ports has very direct tendency
to check imports of American pro-
ducts; for not only are merchants at
the infected ports desirous of holding
the smallest possible stocks of goods
that may carry contagion, but their
trade is crippled and their means of
meeting their liabilities are becoming
seriously impaired; so much 30, in
the case of Hamburg, that the bank
ers of that city have found it neces-
sary to allow thirty days. grace on
Obligations maturing in September.
These causes are visibly checking
our exports of cotton and Of food pro-
ducts generally, with corresponding
effect upon the prices of those staples.
And the curtailment of those ship
ments reduces the supply of export
bills, which has tendency to cbrre-
spondingly stimulate the export of
gold. Hence it has been argued, in
some quarters, that we shall be ex-
posed to gold drain at the very time
when the West will be drawing on
this city for currency. This conclu-
sion, however, ignores the fact that, to
the extent that the exports may be
curtailed, the forwarding of products
from the interior to the seaboard is
likely to be interrupted, thereby di-
minishing Eastern remittances to the
grain states.
All these possibilities are of TOO
weighty character to be ignored; for
certain period they must have their
business at large; but, taking the case
at it's worst, it is only the matter of q
few weeks when the troubles will end
and the effects left behind will be
confined to the loss of SO much popu.
lation, whist the movements of trade
and finance will be resumed with
their usual confidence and activity.
Really, therefore, as the situation
presents itself to Wall Street, it is
mainly a matter of ability to endure
and to sustain values for a compara-
tlvely brief period. Had the calamity
come during period of inflated val
ues, of over-burdened markets, or of
unwholesome speculative enterprise,
the visitation would have been q much
more serious affair; but it had arrived
in the midst of wholesome reaction
from just such elements of danger,
and when affairs are being put upon q
sound and conservative basis pre-
paratory to fresh revival of the pro-
ductive enterprise of the world at
large. This is the view that Wall
street is likely to take of the present
situation; and although occasions may
arise favorable to transient attacks
from "bear" operators, yet we see no
reason to fear any important declines
in solid securities.
Apart from the transient effects of
this alarm, the general position of af-
fairs in This country is an eminently
satisfactory one. In almost every
of industry, production is in full and
healthy swing. The harvest, together
with the large surpluses of agricul-
ture brought over from last year, gives
us a supply of products for distribu-
tion not even surpassed by the unpar-
alleled abundance of 1891; so large in
deed that we must expect to again
carry over large surpluses to next
year. When that can be said, and
when in addition it is true that the
spirit of enterprise is in every direc-
tion conservative, what more need be
adduced to give assurance that the
situation of our great material inter-