The herald., 1896-05-01
cLEWS' WEEKLY LETTER

1 --
NEW YORK, April 25-There has been
q decided change for the better in the
| stock market, both in temper and con-
ditionS, and we confidently anticipate
| its further continuance
The advent of more Seasonable wealth
er has been an important factor. Spring
| invariably cheers the spirits and lets
| loose pent-up activities in all lines of
| enterprise, and it is never more well
| come and invigorating than after a pro-
| longed and depressing winter such as
we have just passed through. Country
roads are being opened. seed time is at
hand, building operations are pushed
! with greater energy, navigation will
| shortly be fully resumed-in short, the
| spring trade, which is always the busi-
| est period of the year, will soon be under
| full swing. 1t is quite natural, there
| fore, that the depression resulting from
| the untoWard events of the winter of
| 1896 should give way to more hope
| full feelings among the general public.
and that this change of sentiment
should first reflect itself in the stock
market. Wall street always anticipates
the future and just now it is engaged
in the laudable occupation of looking on
the brighter side of affairs and admnis-
tering a timely rebuke TO the chronic
grumblers, as well as a stimulating
tonic to the timid and hesitating.
AT the same time present rise in stocks
it than mere sentiment. The early ad-
journment of congress and the abate-
ment of jingoism will have very i'm
portant effect in restoring confidence at
home as well as abroad. While the Ven
ezuelan and Cuban questions still con-
tain germs of danger. there is much as
surance in the fact that they have now
been taken out of the niiammatory
field of party politics, and will i'll all
probability be quietly and satisfacto-
rily settled by the trained and prudent
hand of diplomacy. Another factor of
encouragement is the aggressive atti-
tude of the sound money party. There
is great need of every believer in sound
money doing his utmost to insure
sound money plank in both of the
forthcoming national conventions. In no
other way can universal disaster be
averted. and the growing realization of
this fact gives some aid to reviving
hope. AS we all know. the threatened
breakdown of our currency system and
the outbreak of jingoism have together
caused the withdrawal of hundreds of
millions of capital from the United
states. Just as soon as the country puts
itself right again on these questions.
just so soon will the current turn in this
direction, and foreign capital will seek
American investments with greater will
lingness than before. British conso,s
at III are very emphatic testimony of
probably speculation and other infu-
ences have carried consols above their
normal value, yet, making allowances
for all such influences, it is evident that
immense sums of money are held in Eu-
rope for safe and profitable investment
1t is our own fault that these funds are
not coming this way. and that we are
not sharing the prosperity now expert
enced by Great Britain.
Gold exports are much smaller than
expected, and the outward movement |
usual al this season seems likely to be
small. The reasons simply are that the |
trade balance is running much more IA |
vorably than year ago. for exports are |
increasing and imports diminishing,
while our Indebtedness abroad has al F.!
ready been reduced to a minimum. |
Should the present efforts of the inter- |
national bankers towards creating a |
better feeling respecting American Sc
curities prove successful, that, too, will |
have a favorable bearing on our eX- |
change market, provided London buys |
our stocks and bonds with more free
dom. as now seems the disposition. The |
treasury reserve is already very high, |
so that the prospects of smaller gold ex
ports than Hast year relegates all doubts |
on that score to the distant future. |
Railroad affairs generally are in more |
satisfactory shape. Reorganization
matters are making satisfactory pro-
gress, and favorable developments in
this direction are not improbable. Rail-
road earnings in March were somewhat
disappointing. but some improvement
may be looked for. even if trade shows |
only partial revival, and as the corn |
crop is finally beginning to move, that |
must inevitably increase future earn |
ingS. The easier rates for money and |
better market for commercial paper are |
also indications of the general improve |
ment upon which the present rise in |
stocks is based.