The morning news. [volume] (Savannah, Ga.) 1887-1900, 1892-12-12
BANKER CLEws' VIEWS.
The Financial Outlook as Seen From
Wall street.

able feature of the stock market is its sta,
bility and underlying firmness. Fol
month past the market has been exposed K
succession OF disturbing influences and
dtsappolntments, calculated TO unsettle con
ldeuce and induce realizing. Among those
influences may be mentioned an unex pected
outflow of gold; an exhaustive drain upon
the reserves Of the clearing house banks; a
shrinkage of our foreign trade; exception
ally low prices for several leading staple
products; the decision of the presidential
election IN favor of tariff changes caIcu-
lated TO produce at least a temporary
serious disturbance of our industries and
home trade. and especially threatening to
the trusts and combines whose issues are 80
largely dealt in at the exchange; the grow
ing seriousness of the silver question, not
only to TINS country but still more so 10 the
financial arrangements Of Europe and Asia
and the apparently increasing probability
that the Brussels conference may fail to
provide for any settlement Of that question,
whether immediate or prospective.
These factors constitute combination OF
complications of such an important char
acter that nothing short OF a serious dis
turoance OF conhdence and a disposition
to get rid OF everything but the most stable
securities might have been expected to re-
suit therefrom. That. however, has not
been the effect. The successive blows have
produced momentsry depressions, followed,
however, by prompt recoVerles; and to-day,
while there is a generally conservative feel
ing and 9 certain degree OF caution, there Is
no really discouragIng lack OF confidence,
and the ''bears" are oircumspect while the
''bulls" show a steady hrmness in hold
ing on.
This feeling Is not the result OF any short
| sighted Indifference to the grave features of
the situation. 1t is rather the consequence
of a serious and intelligent estimate of the
significance Of these special influences, the
result of which seems TO have been to as
sure Wall street that there are no dangers
in the situation which. with due prudence
and steadiness of nerve, we may not hope to
surmount. The dangers are not ignored
nor lightly watched. but they are regarded
as so possible of being avoided that 1t would
be weakly premature 70 treat them as
certain occurrences.
The silver question is viewed as possess
ing an Importance perhaps equal to that of
all the aforementioned factors combined.
But 1t has so long been the subject Of con-
sideration, that financial leaders can hardly
be taken by surprise at whatever may come
out of it. Few Wall street men, perhaps,
have expected that anything really impor-
tant would result from the international
conference, except a demonstration that no
sound international settlement Of the prob
lem could be hoped for out of such a con-
hict of interested opinion. Such failure
would, of course, be a misfortune of the
deepest Importance; but there is no disposi-
ton to regard the United States as likely TO
be the most seriously suffering party in
that event. To US, the final abandonment
OF the hope for prolonged time at least, of
estau lishingi international bimetallism
would mean that we must but stop the adj
Gition Of silver coin or silver notes
to our currency system, If not that we must
also get rid of a portion Of our silver money
that, In short, we must commence to take
steps in the direction Of becoming gold
standard nation. That does not strike any
body, except a few ultra silver men, as a
very serious misfortune. Il might do SO if
there were any serious doubt about our
being able co conform our currency arrange
ments to such a necessity with comparative
ease. But, rightly or wrongly, not one
tnancier In ten has any doubt about our
stock of gold sufficing TO keep our present
holdings of silver money from depreciation
in its home use. We are larger and richer
nation than France, but our stock of silver
Is far from eQualing the French stock
France, however, has experienced no change
in the current value OF her silver and is not
likely to do so even II silver should fall still
lower; why should the United States be less
secure in this matter than France7 Nor
from the popular bugaboo Of scarcity
OF money" in case OF our abandoning silver;
for any required substitute for the gradual
increase in the volume of the currency that
is now provided through silver could be,
with entire safety, provided by relaxing
some of the restraints upon the issue Of
national bank notes. The assuring feature
in this problem is that within late months
opinion, both public and legislative, has
undergone such a thorough change that
there would be little difficulty in securing
the enactment Of these protective measures.
Within the first week of the sitting Of con-
gress, one bill has been introduced in the
Senate and another in the House providing
for the early and complete abandonment
of our past silver policy, and the silver fac
ton now finds fewer influential opponents
at Washington.
The foregoing considerations have a
strong influence in terrifying confidence
against any adverse outcome OF the Brussels
conference Indeed there are not a few
capitalists who see distinctly "bull" side
to the silver situation, They argue that, as
our credit in Europe has suffered serious
damage from our silver policy, so our
change fayoring the position of a gold
standard country would be followed by q
great and permanent accession of foreign
confidence In our investments and a quick
retransfer TO Europe OF the securities which
have been returned home under the appre.
tensions excited by the Sherman silver act
of 1890.
/ have here aimed to present what, as il
appears to me, is the preponderate estimate
of Wall street on the silver problem and
other minor questions. To me the estimate
seems to be, on the whole, a sound and a
safe one 1t accounts for the calm and
steady tone that now pervades the market.
and although 1t may not foreshadow any
specially active movement nor offer any
strong motives for buying on q large scale,
yet it affords no reason for expecting large
declines or disturbing surprises. A situa-
ton made up Of so many unusual factors
and at the stage of an eventful elimination
can hardly fail to produce active transfers
Of securities, and so far 1t is favorable to
speculative operations, but It would be
prudent to restrict operations TO buying ON
the raids which are likely to be OF frequent
occurrence.
INDIAN OUTRAGES IN MEXICO.