The Indianapolis journal. [volume] (Indianapolis [Ind.]) 1867-1904, 1898-04-25
Conditions in Presence of War.

Henry Clews in reviewing the situation in Wall
street last week, says: 1.-The absence OF panic
or sensation in the very presence Of war is some
thing remarkable and has rarely been witnessed
in the worlds money markets under the influence
OF like conditions. Such catastrophes are invari-
ably attended with panic the bourses and
violent fluctuations in the money markets, which
extend to other countries than those directly con-
cerned in the hostilities. In case, we have
stood peculiarly exposed to suffer from effects Of
this nature. We are probably the most largely
debtor nation in the world. England, Germany
Holland and France hold, according to common
estimate, fully g. 100000 Of investments
These creditors have recently had their confidence
severely tested by the late silver agitation; and
it might be expected that those fears would be
acutely revived by the financial strain to which
this war may subject the country. That such APP
prehensions would cause more or less impor-
tant return of corporate securities from Europe
naturally to be expected. and in fact has
been looked for. But no such movement has APP
peared to any appreciable extent. The foreign
organs Of financial opinion, which at times have
had much TO say about the possibility Of our
drifting upon the silver basis. have had nothing
to suggest about that danger being increased by
the contingencies of finance; American
curities have held their own by the side of the
issues of other countries, while Spanish fours
have declined thirty points, and the amount Of
stocks and bonds returned to our home market
experience is the more remarkable in view of
the fact that the floating Indebtedness Of Europe
to the United States is so altogether extraordt-
nary to furnish strong motive for influencing
the return OF securities in order to avert ship
within a few weeks about $s5 coo 900 of gold
have been sent hither in settlement Of trade ball
still remains to be liquidated. Under ordinary
conditions such a state of the exchanges would
sent home but no such movement of any mo-
ment has occurred. This fact can be accounted
for only upon the superstition that the foreign
holders OF these investments feel satisfied that
at present prices they are sound and safe. even
in the prospect OF the uncertainties or war
This tacit verdict expresses the opinion of the
banking and investment interests Of Europe upon
commercial and financial stability of this coun-
try. 1t would not have been surprising had our
foreign creditors deemed 1t a wise course to sell
their holdings of securities in anticipation
of the war, with view of buying them back
full effect upon them; and the fact that they
have not done so can only be regarded as inn
plying confidence not only in the future value
of these investments but also in being able
to sustain the burdens of hostilities without seri
the struggle to an early and successful issue.
These foreign estimates agree with the general
view held in financial circles at home; and at
the same time they afford a most welcome
frmapon of the prevailing sentiment on the
Stock Exchange. The effect of the struggle upon
the material interests Of this vast country cannot
be accounted as very disheartening factor. The
vast superiority of our resources over those of
Spain cannot ~ermt the conflict to be a pro-
longed one And If short its cost whilst possibly
ruinous to Spain, cannot be OF really serious mo-
ment when distributed among vast popua-
ton, with their wealth exceeding that of any
other nation. If the struggle should cost us $780,
600 900 it will have it's compensations not only
in indemnity from Spain, or Cuba. or both, but
with the island which is lost to
The success of our arms will give us status
hitherto little aspired but in which we can no
longer afford to permit our influence to remain
unfelt For many Nreasons it will pay US TO give
exhibition of our military and naval prowess.
There is more than one country and more than
one question in respect 10 which it may be we'll
for the world to understand that the United
States may have to be reckoned with; and 1t
can do US no harm to give this exhibition of our
fighting mettle. In such concerns an outlay of
$500 0G0 000-though it may be all loss-is no mat
ter to Brighten seventy millions of prosperous and
productive people. There is no reason why when
the is in progress. our mines should restrict
their output or our mills cease their running The
theater of the struggle will not lie in the midst
of our accumulated property. In this respect war
viii differ greatly as to it's desructiveness from
one of invasion or civil conflict. In addition
TO our providing for the ordinary wants of con-
of wants; and although those wants may be con-
nected with waste yet for the time being they
will give a stimulus to trade.
There should be no check upon the ordinary
activity OF our industries; but there may too
possibly be such interruptions If men of bus-
ness indulge in narrow and pessimistic views OF
fairly prosperous business throughout the war it
will be due either to an unintelligent timid;ty
which waits for business instead of seeking or
making it, or TO a narrow conservatism in credits
which paraiyzes business at It's source. The ex-
tent to which business may be ruined through
cessiye apprehension is illustrated in the four
years of depression produced through fears OF
silver catastrophe which has not yet come and
never will The true way for the country to
bear itself under these conditions is to face bust
ness problems with the same courage and resolu-
ton as we are facing the less inviting problems
or war and foreign politics. The difference he
tween timidity and confidence in this matter is
the difference between prosperity and depression
Foreign Money Markets.
NEW YORK. April 2s.-The Evening
Posts London financial cablegram says:
There was general recovery in the stock
market here to-day. led by Spanish tours
and Americans. on further bear closing here
and from New York. The Paris bourse
pnrtrclIese. which were sold heavilv Bra