The Republican. [volume] (Oakland, Md.) 1877-current, 1894-04-05
FINANCIAL REVIEW.
Henry CleWs's Weekly Letter on the
Business Outlook.

EN Ofh, mdTCll oil ne
past week has shown distinct symp-
toms Of improvement in the tone o.
the stock market. There has been
more settled feeling of confidence;
broader interest has been developed
in both the speculative and invest
ment departments; transactions
have become more general outside
the mercullar "lndustrials;" and
some of the prominent "bears" have
turned over the long" side of the
market.
In general sense, this improve
ment is due to the many influences
that have for some time been work
ing towards a better condition of
business, and it is to be regarded as
one Of those spurts of cautious hope
which mark the stages of the steady
process of return towards Il normal
conditions Of affairs, and which are
preparing the way to a really active
upward movement IN values
There is, however, one special cause
for this improved feeling, which is
quite important The general con-
fidonce in the President vetoing the
seigniorage bill has had notable
effect IN Europe. The main fact
which has kept London unInterested
in American investments during
very marked recovery in other Sc
curlties on that market, has been
fixed apprehension lest there
might be more or less recantation
of the decided anti-silver policy in
Dictated in the late suspension of
silver purchases. That is the
one point on which tae European
markets are sensitive and wary to-
wards our corporate issues; and
that distrust has been exhibited in
an almost total cessation Of foreign
demand for our stocks and bonds
for considerable time past.
Even the Paris Bourse seems to
have delayed its contemplated ad-
mission Of "AmcricaaS" to its
call principally on this account.
" hat has most concerned these for
cign centres is chiefly the question
rs to what may be the PRECEDENT
attitude on tine silver issue; for they
have felt that, if he could be trusted
to prove faithful to the policy Of
the repeal act, 40 serious harm
from the unsounded money danger
could come for the next three wears.
which would cOyer these contingent
cles far enough ahead to serve all
present purposes The assurance
sent across the Atlantic that the
President could be depended upon
to veto the Bland bill, have had the
effect of bringing large London
orders for bonds and stocks durIng
the past week, thereby stopping the
export Of gold. 1t is reasonably
argued that If such in portant
transactions have been made IN
simple anticipation Of the Presi-
dents veto, the demand is likely to
prove much larger when the expec-
tation is contI med by the fact.
The matter of the possible Lon.
don demand is more important
than might be supposed at first
sight. The continued increase in
British trade and the active specu-
latlon on the London exchange are
accepted as clear evidence of d new
era Of confidence and enterprise in
Great Britain. The suspension of
new creations Of corporate capital
for the last two or three years has
resulted in IL real scarcity of invest
ments, aud prices of certain kind
Of securities are becoming abnor-
mally high. Alert bankers and
promoters are on the lookout first
for bargains in existing issues, and
next for opportunities for new en-
terprises. London agents are now
in this couLtrv prospecting for
business of this kind. They are
likely to find plenty of chances
growing out of the very marked
curtalment of railroad construction
during the last four or five years
Schemes of that character are now
in process Of formation and, at Il
later stage, Europe N capital is
likely to have its opportunity for
participating in their fruition.
Evidence as yet beneath the surface
indicates that, SO soon as pending
obstructive legislation is out of the
way and business has resumed its
normal course there will be
launching of new enterprises that
will give employment to the large
amount of now idle home capital
and at the same time attract active
cooperation from foreign money
centers. 1t therefore would not be
surprising if twelve months hence,
W. find the United States and
Europe IN the midst of marked
revival of investment and specuIa-
tiOu WuIl Straat haUinC 70 J;oo,,.nr