The Indianapolis journal. [volume] (Indianapolis [Ind.]) 1867-1904, 1895-03-25


Swallowed III my late weekly advices, has
appeared within the past week with a dis
tnctness and force which show that 1t IS
real and destined to be permanent. II i
needless TO here recapituiate the grounds
of my forecast; it Is sufficient that the
change is already here, and with all the
evidences OF its being the beginning of a
true revival. The change has been stimuli
taneous in New York and London. The lat
Ter market has been a free buyer here for
the last few days. and It's operations in
dictate fresh confidence and something more
than a mere temporary squirt with quick
realizings. The bond syndicate and its
operations have evidently had an assuring
effect upon foreign investors, and are Great
ing a revival of interest in our securities.
get from the London subscriptions all the
new fours for which they bid have been
which is evidence that the restoration of the
treasury finances has had a distinctly favor
On the local market. the change has not
been purely speculative. Those who have
been gong holding their means idle or on
temporary investment have come to the
conclusion that the depression in securities
has touched bottom. and are now beginning
taking up the better class of d~ividend-pay-
ing stocks at the current tempting low
prices. The speculative position has CORE
spondingly changed. The late large short in
terest seems to have been covered; the bears
have ceased their aggressiveness and some
bull side. In brief, the whole situation and
tone of the market has changed, the vol
ume of transactions has largely increased,
and within the week the general range of
prices has risen, and in some cases the adj
vance has been 204 per cent.
This, improving tendency is evidently
destined to continues; and, in the meantime,
the best guide to follow in Wall street is
the swing of the pendulum. 1t goes always
turns. The adjournment of Congress was
the signal which / proclaimed for its re-
verslng its s course from the side Of dis
The recent advance in stocks and the still
greater Improvement in mercantile business
all go TO verify the correctness of my dag
nosis of the business situation under date
of the 9Th of March, when / proclaimed that
There is a tide in the affairs of men which
If taken at the flood leads on to fortune
and that the tide was then about to take
upward current. The bituminous coal COM
panies have settled their difficulties; the
anthracite differences are on the eve of be-
ing adjusted; railroad earnings are ingreas-
ing; the reorganization of broken down
&c an ounce; cotton and wheat have gone
up materially, which are all factors that
contribute to help the stock market and
stimulate Increased buying for investment
account. The ROthschild connection with
the United States loan and the success in
placing the bonds in Europe cannot fail to
lead the way and stimulate London and con-
tinentaI buying of American railroad securi-
ties which, at present prices, are certainly
more tempting than anything offered in
other sections of the world.
In estimating the future, it is not to be
overlooked that, in some very important
respects. this country is now in a material
ly better position than it was before the late
depression set in. So far as concerns the
currency question, upon which so much has
depended, that is certainly the case. Two
years ago, we were in the midst of alarm
and apprehension that the Nation might
be precipated upon the silver basis. The
danger was all the greater because the
position and the question were not under
stood but greatly misunderstood, and much
education of public opinion on the subject
s was need our a Alarm a nat legislation paf isn on thee
question was undertaken with utter lack
of qualification to deal with it intelligently,
and Congress accomplished virtually MOTH
ing towards a settlement. But all this fear
and agitation has been attended with a
profound examination iato the principles at
issue; already public opinion has become
intelligent if not fully matured; false prin-
ciples have been discredited and steps are
being taken for bringing public sentiment
to a point at which a broad and sound
policy may be formulated for the future
guidance of political leaders and Of the
new Congress. In this way the people are
being trained to a standard at which a large
majority of them may be trusted to stand
this large national question, therefore, we
may feel assured that we have passed from
a condition of positive danger to one of pros
1.-THE tariff question. which two years ago
was havingta paralyzing effect upon indus
8 ary w ays l nse cal aast + to mas di seer sg busine an
than was at first feared; the manufacturing
interests have already found ways for
adapting their business to the new condi-
tons; and it can hardly be said that the
new state of affairs is really, upon the
whole, obstructive to the progress of our
Industrial interests. Thus in the industries
there is a vast gain upon the condition of
distrust and paralysis that existed two
There are other points at which our
industrial position has, in certain impor-
years ago we were at the climax of a
worldwide o~verprOduction of manufactures.
It was the :, result it, Of the the og growt tn of Oro modern
far in excess of any possibilities of con-
sumption, and was at the same time a con-
sequence of an OVERRIDING of trade IN the
rawer and semicivilized populations of the
world. Our own country directly SYM
pathized with this initiation of trade in
other countries and had, at the same time
it's own forms of oversupply. Two radical
changes must be made before the begin
must be a reduction in prices in order to
admit of an enlarged consumption; and
production; while. at some later stage.
when these reliefs had been realized, there
would be a chance for the development of
new consumptive wants. The first of these
necessities has been met by a general and
large decline in The prices not only of goods.
but also of raw materials, most of the latter
being now selling at prices unprecedented
within the present generation. The reduc-
ton of production has been brought about
cess. The older plant. being unadapted to
cheapness Of productions, has had to be
as in a large measure extinguished, as under
the reduced scale of prices it can now be
worked only at a loss. In this way bank
rupt competition has been eliminated, and
the remaining active machinery is of the
most approved and economical type, and is
qualified to run at a profit upon the lower
scale of prices that has been established.
This change IS of immense value to our
industries; for it not only admits of earn
ing profits at lower prices, but also puts
us in a position to compete with other
countries in the markets of the world, the
effect of this transition being already APP
parent in many surface indications of the
probable opening of new foreign outlets
for our manufactures.
1.-THE facts above reviewed reveal a situa-
ton in our Industries full of hope for the
future. and afford promise of an early
healthy development of the trade of the
country"
Saturdays Bank C~learings.
At NEUTRALITY-SUSPICIOUS., $12. 1926, 9SS; bal
ances. 81 2s9, $40. For the week-Clearings.
$63, Isl. ZIG; balances, $3.50, 0S0.
At MISUNDERSTANDING, SIP, S63, 90S; total for
week, $S1, 379, 315. Corresponding week last
year, S71, 440. 106. New York exchange, zoe
premium: sterling. posted rates, $3.50 and
$4.Ss1s. Money, 4@41s per cent. on call; Sos
on time.
At New York-Clearings. $50, O37 .060; bal
ances. 81, 1882. For the week, $524,5S2,642
balances, $31, los, 52S.
At. SIG. 379, OF; balances.