The Wheeling daily intelligencer. [volume] (Wheeling, W. Va.) 1865-1903, 1898-03-14
UNDERMINED II. HAS FALLEN.
THROUGH THE INFLUENCE OF
THE STRAINED RELATIONS BE.
TWEEN SPAIN AND THE UNI
TED STATES :, ABSOLUTE srs.
pENsE IN THE SPECULATIVE
MARKET = TRADE BALANCES
STAND LARGELY IN OUR FAC
voR = FACTORS THAT IN
rLuENcE THE MONEY CENTER
OF THE COUNTRY.
OF THE COUNTRY.

shows little or no recovery from the
collapse into which It has fallen under
the influence OF the Cuban situation.
The Investment demand FOR securities,
though encouraged by the low average
OF prices, is comparatively nominal. In
the speculative market, there is an alb
sence OF outside active operators. The
uncertainty about the final outcome OF
our relations with Spain holds general
buying In aboslute suspense. and fav-
orable factors appear to have little Of
feet. On their intrinsic merits, railroad
stocks are certainly cheap at current
prices; but even Investors defer buying
them, in view OF tho possibility o: SER
ious Cuban developments. The supreme
court decision In the Nebraska suit
one OF the most important Judgments
that has get been given on the import
ant question OF the power OF the states
to fix rates Of freight and which under
ordinary circumstances would have
produced q considerable rise in prices
passed almost unnoticed and produced
no visible effect upon values, which Is
an expressive illustration Of the abso-
lutte stagnancy Of the market. Mean
while, a series OF factors are adding to
the intrinsic value OF stocks, which,
when the market Is relieved from Its
present political trammels, will be like
w to find expression In very much high
er prices. Those, therefore, who are In
dependent OF margins and are satisfied
that we shall see the Cuban question
settled withou. war, should be able to
expect IN ultimate profit on purchases
at even the present scale OF prices.
At last, the large floating foreign
balance due 70 this country has proved
too ponderous to yield to the various ar
engagements for postpon!ng It's settle
ment, and gold is therefore flowing In
from Europe In large volume. The
amount shipped and engaged for ship
ment since the influx set In Is about
s15.000,000: and the low rates OF ex-
change indicate no immediate abate-
ment OF the movement. 1t is helped by
large supplies OF produce bills; but the
main cause appears to lie in the fact
that this defermelt Of settlements has
reached the limits OF financial conve-
nlence. How far the movement may
run, 1t would be difficult to estimate. II
It We're to be measured by the amount
due to US, the Imports OF gold would be
extraordinarily large: but the European
banks could Ill afford TO part with any
very large sum in view OF the moderate
supplies now on hand and the existing
threatening arrangements in European
politics, which must be causing good
deal Of liquidation OF international ac-
counts. AS we have, on this side the
Atlantic, no pressure for money, but
rather plethora, the probability would
seem to be that, so soon as the with
drawals- begin to make themselves Sc
verely felt in London. arrangements
may be made for q further extension or
the credits we are now granting to Eu-
rope. At the same time, It Is to be con-
sidered that we have now reached q
period when the proportion between I'M
ports and exports usually causes the
foreign exchanges to balance against
US, and the factors contributing to that
condition may be expected to have n
certain influence In that direction soon,
though far from sufficient to liquidate
the balance remaining due to this coun-
try. Some allowance, however. must
be made for the possibility that we
may have to remit for war vessels or
military munitions purchased abroad;
but those payments would not be imaae-
dIatc, nor could they be really serious
amount.
1t Is most fortunate that the trade
balance should stand so largely in our
favor In the face OF the possibilities OF q
foreign war. We have now Sl23,00o,OOO
- t., hn
$169 900 of gold In the treasury,
which, with the current Imports OF sl5,.
100000, after deducting the 500, 900
gold reserve. makes a total available
supply OF 500. 100000 To this may be
added! on very moderate estimate,
$50, 900 900 represented by foreign credi-
tor balances still due to Us; which, 'in
the face OF war possibilities. gives us
total available gold resource amounting
to over $3.50, 000. O00-to say nothing OF
the other stocks OF the metal In this
country amounting to over S40O,0OoOOO.
These facts show an ample financial
preparedness for whatever may come
out OF the condition OF our present for
eign relations, and justify confidence In
the financial future from this point OF
view.
The unanimous action OF Congress In
voting s50,000000 out OF funds In the
treasury for reinforcing the national ar
maments and defenses has had most
wholesome effect upon the public tem-
per and opinion. It has given no slim
illus to such qualified wnr spirit as has
existed. but has produced more ser
Ious estimate Of the situation and an
assurance that. II the worst should
come. we shall be well prepared for Wig
orous action. In large measure, It Is
true that to be prepared for war IS 10
escape war. From this vote. Spain will
learn that our attitude means more
than talk, that the whole country
stands behind the administration, and
that II Spain drives us to the last eX-
tremity there can be but one result OF
her temerlty. The action OF Congress
will also reach Spain indirectly through
the courts OF Europe. Each government
will construe II MS conclusive evidence
that, II Spain does not bring the war 10
an early close, determined action VIII be
applied by the United States;and under
those circumstances their advice TO Sc
nor Sagasta can only be pacific; while
money lenders arc not likely TO give he's
further support except on condition that
she satisfies our demands. For these
reasons, the vote OF Congress Is direct
ly IN favor OF the maintenance OF peace.
and 1t is so construed very generally in
financial circles.
1t begins 20 look now as II the verdict
OF the court OF Inquiry in the Maine dis
aster case will be that It was caused by
an explosion from outside the vessel
the act OF some person or persons un-
known. This will call for an indemnify
from Spain, the measure. OF which will
involve the value Of the property de-
stroyed and q reasonable sum In addl-
ton as compensation for the families Of
tho men killed. In the event OF the two
governments falling to agree on the