The morning news. [volume] (Savannah, Ga.) 1887-1900, 1892-08-29
DAILY, $40 A YEAR.
5 CENTS A COPY.
WEEKLY 81 25 A YEAR.
BANKER CLEws VIEWS.
The Financial Outlook AS Seen From
Wall Street.

The Financial outlook AS Seen From
Wall Street.
NEW YoRK, Aug. 27.-The stock market
did not disappolnt expectations. Prices
have experienced good advance. and indi.
cations are still favorable. AS already
maintained in these advices, the basis Of the
present advance is the confidence Of the big
holders of stocks in the future development
and resources Of the country. Our com-
mercial and industrial interests are now en-.
joying very fair share OF prosperity.
Business is notsonly on larger scale than
ever before, as demonstrated Dy clearing
house returns and railroad earnings, but 10
Is also in exceptionally sound condition,
this statement being confirmed by the small
number as well as the character, OF business
failures. Agricultural interests are also In
good shape; as, In spite of smaller yields OF
wheat, corn, cotton and other products, we
shall, with last seasons surplus. have suf-
flcient and to spare.
Tho railroads ara not likely TO suffer from
any insuficieucy OF freight for some time TO
come, judging from the small additions to
mileage during the last few years; and the
Increase of traffic and population, there ia
more likely to be a scarcity OF facilities than
of tonnage. Another factor to be consid-
cred is that many Of our roads are yearly
growing less dependent upon few staple
crops for traffic. The multiplication of ins
dustries; the growth of passenger tariff, and
even the development of new crops, as, for
instance, the carrying east Of California
fruits, all tend to the stability Of earning
power and consequently to theValue OF rail-
road stocks. These facts are particularly
true of lines in the east and northwest; I;
while they apply in Lesser degree 10 some
of the southern and transcontinental lines.
The Chicago exposition promises to be
source OF great proht to all the principal
roads entering that city, provided managers
abstain from reckless competition. Stock
holders should make themselves heard on
this point before harvest time is at hand.
Two events happened during the week
under review which very materially
strengthened the market, viz, the Texas
railroad decision and the collapse OF the
Buffalo strike. Judge McCormick's deol-
sion that the state has not the power 10 pre-
vent railroads from earning reasonable
profits is one of the most important and
far-reechinK decisions OF the day. It will
undoubtedly be confirmed by tue supreme
court of the United States. OF its absolute
Justice there can be no question; besides
which it will be a lasting and necessary re-
buke to the oommunistic tendencies OF legis-
Iation in several Of the western and south-
western states. The chief beneficiaries will
be the states themselves; for capital, which
had left these sections severely alone for the
last few years, will again flow In those
directions with les reyiving tendencies. The
effect of this decision was shown in the ad-
vance of the southw estern group of stocks,
which will of course benefit directly by the
decision. Instead OF doing business at
loss, with prolonged bankruptcy constantly
fronting them, there IL now q prospect OF
interest being earned, and even a fair divi-
dend on such of the lines as are not handi-
capped with overcapitaliLation. The de-
feat of the switchmen's strike materially
simplifes labor troubles for railroad mana
gers; the refusal Of the engineers and other
railroad organizations to participate in a
sympathetic strike having considerable sig
niticance The strikers have thus learned
an unwilling lesson; that while they may
have a right TO strike at will, they must
also recognize the right of employers to
fill their places with others without moles-
tation.
The future Of the market certainly seems
favorable. In addition 20 the facts just
mentioned, stocks are in strong hands and
money promises to remain easy, even
though rates show more hrmness. The re-
newal OF gold exports attracts little atten-
ton, because each day brings US nearer
larger supply OF grain and cotton bills usual
In the latter half Of the year. Upon any
sharp or extended rise l would advise reallz-
ing; but in the absence Of unfavorable de-
velopments good stocks are purchase on
the breakR