The Indianapolis journal., 1898-07-11
STOCKS AND THE WAR
VIEWS OF BANKER CLEWS ON THE
FINANCIAL SITUATION.
Revival in Every Branch of Enter
prise May Be Expected, Now that
Spain Is on Her Last Legs.

course OF the SlOCk llidIh6t the past
week has been in some measure disappoint-
ing. 1t was pretty generally expected that
the disbursement of the unusually large
July dividend and interest money would
bring into the market a considerable amount
for reinvestment; but it was overlooked that
those disbursements do not usually find their
way to the Stock Exchange until after tine
lapse Of few days When the news came
of the destruction of the Spanish fleet at
Santiago, even then the market failed to
show any sharp response; which seems to
have been mainly due to the fact that, at
the same time, came the news that the
Spaniards had been reinforced by 5000 men,
that General Garcia had miserably failed to
hold off those reinforcements, and that con-
sequently our attack on Santiago must be
| deferred until our forces could be
strengthened The unfavorable news thus
| Offset the favorable, and the net effect was
almost nil, prices being little changed,
| though the tone of the market was stronger.
The total destruction of the Spanish San
| tiago fleet, with a loss of only one life on
| our side and the capture of l. 300 prisoners,
| including the Spanish admiral, was victory
| quite equal to that of Admiral Dewey in
| Manila harbor Both of them for their
| brilliancy stand unsurpassed in the annals
| OF naval warfare. surprise mas D66n uuilS
general that the last victory was not as in
| huential in the stock market as the former.
1t must be remembered, however, that prices
| Of stocks went up on the average at least
| 10 per cent. on Deweys magnificent sue
| cess, and that advance has been maintained
since. When at the opening of the ex
change last Tuesday it was found that out
| side buying was not responsive ex-
| pected, the big operators who had over
| bought previously avaled themselves of the
| demand that did exist to supply it with
| their long stocks. This alone was sufficient
| to check what otherwise would have been
| rising market.
AWAITING SANTIAGO'S FALL
The tendency now is to await the fall of
| Santiago, and the effect it is likely to have
| in causing Spain to sue for peace. The
| stubbornness of the Spanish government in
| that direction is, however, against such
| action. 1t is a well-known fact that the
| character of the Spanish people is very
| piratical. Their chief characteristic is
| never to surrender-never to ask quarter or
| give it. A nation of such people, therefore,
| is difficult to make terms of peace with,
| hence the provoking delay when decency,
| common sense and civilization unqualitiedly
! justify and absolutely demand that Spain
| surrender to prevent further loss of life and
destruction to property. For the war now
to continue is mere brutality for which the
| government of Spain is solely Responsible,
| and each day hereafter will make very
| black record against that nation. 1t can
only be accounted for by the lamentaole
| stupidity of the government of Spain IN not
| keeping up with the worlds advancement
| her method of warfare represents the SIX
| teenth century while ours IS UP 10 GATE III
| every respect.
| Apart however, from this dogged persist.
| ence in barbarous warfare, the hopes OF
| Spain are no doubt buoyed up by the poor
| chance that she may be enabled to enlist
| some kind Of aid from European powers
which will at least enable ner 70 make bet
| ter terms in settlement than might other
disposed to make the most of the slim pos
| sbility that some false step on our part
may bring us into difficulties with neutrals
| who would only be too glad to tlnd goou
| excuse for intervention. All sucn posslolh-
| ties, however, are growing less each sue
| cessive day. There are plenty of govern
| mentS who would be glad to nave the
chance for clipping the wings of our ex-
panding power; for they fear our future
proWess and competition, and see little nope
| that we may favor their belligerent policies,
| but much reason to fear that we may long
stand in the way of their military aggres-
| sons. Our victories, however, are compell-
| ing their respect for our military and naval
| power. Contrary to all their conceptions OF
| the creation of armies, they see that we can
| create army corps at our pleasure IN a
| few W. eks, capable of defeating the trained
| these evidences of our military ana naval
| power constantly accumulatirg, Spain
would now be backed by other powers; powers;
| Now, however that danger may be counted
| as passed, and it would be much to the in
| terest of Spain if she opened her eyes TO
| that fact. In a few days more we shall
| Eave given new evidence of our fighting
| ability in the capture of Santiago. For the
completion of our work, there Will then
| the occupation of Porto Rico. The latter
will be an easy achievement, and to Spain
it is only question OF how many llves she
| fense of the island. Havana can be safely
allowed to await our convenience, and 1t is
quite as likely to to be o seDqned ~ nder tine
foregoing conditions it may be concluded
that the rough work of the war mas peen
DONE leaving behind consequences that may
any day compel the exhausted and despair
ing enemy to accept the transfer OF Cupa,
Porto Rico and the Philippines to the
United States, which must De the MINIMUM
of our peace conditions.
REVIVAL PREDICTED.
| We have thus reached a point at which
the end of the war is brought much closer
within sight. Barring the remote possibil-
ity that we may have some diplomatic
sparring with the powers over the appro-
priation of the Philippines, we can easily
measure the work to be done before peace
is achieved. We have now but to await the
formal consummation of a settlement the
essentials to which have been already won.
The time for anxiety for great military un-
dertakings and for further large drains
upon our war resources has thus passed its
climax and the country may therefore be
expected to give it's attention less to the
achievements of conflict and more to the
pursuits of peace. From this time forward
we may consequently expect a steady elm
ination of abnormal elements from the
financial markets and a gradual return to
natural conditions. In proportion as we
denotes we may expect revival In every
branch of enterprise and an Improvement
in the value of all good securities.
The fiscal year upon which we are now
entering promises to be one of prosperity
unparalleled in the history of the country.
The tendencies towards industrial recovery
the last six months have been so vigorous
and large increase or taxation nave
scarcely produced any visible check upon
business Everywhere throughout the
country the trade feeling is hopeful. Our
factories are better employed than at any
time since 1892. The export trade is expand
ing faster than ever, yet the falling on in
imports shows that we are Increasing on:
cations of the last two years OF foreign
trade point to our becoming a great creditor
nation The present splendid crop pros.
poets look to another year OF foreign trade
corresponding in its results to 1878. The
country is therefore naturally becoming
impressed as it never was before with a
consciousness of its power of wealth, its
productive resource and It's ability to conn
pete with the great commercial nations.
All This must cOnyiuce to the creation of