Arizona republican., 1898-04-28
Unprecedented Financial Con-
 dition in War Time.
A Certain Presentiment That the War WiIl Add lustre to American
 Arms.

New York, April 27.-(Special.)-
 This absence of panic or sensation in
 the very presence of war is something
 remarkable and has rarely been wit
 messed in the worlds money markets
 under the influence of like conditions.
 Such catastrophes are invariably at
 tended with panic on the Bourses and
 kets, which extend to other countries
 than those directly concerned in the
 hostilities. In our case, we have stood
 peculiarly exposed to suffer from eff
 fleets of this nature. We are probably
 the most largely debtor nation in the
 world England, Germany, Holland and France hold, according to com
 mon estimate, fully $2,0O0,O0O,O00 of
 our investments. These creditors have recently had their confidence severely tested by the late silver agi-
 tation; 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 apprehensions would cause a more or less important return of cor 1 porate securities from Europe was nat
 urally to be expected. and in fact has
 ment has appeared to any appreciable ] extent. The foreign organs of finan- cial opinion, which at times have had
 much to say about the possibility of cur drifting upon the silver basis, have had nothing to suggest about that danger being increased by the con- tingenoies of war finance. Aberican securities have held their own by the side of the issues of other countries, while Spanish 4s have declined 30 bonds returned to cur home market ! has not been at all abnormal in amount This experience is the more l remarkable in view of the fact that the floating indebtedness of Europe to !! the United States is so altogether ex- traordinary as to furnish a strong
 motive for influencing the return of i our securities in order to avert ship
 ments of gold. Within a few weeks, ! about $65, 1000, 900 of gold have been
 sent hither in settlement of trade bal ances and balance of not less than | $30,000,00O still remains to be liqui- i dated. Under ordinary conditions,
 such a state of the exchanges would
 have caused large sums of our securi
 ties to be sent home, but no such
 movement of any moment has oc- cured. This fact can be accounted !; for only upon the suppOsition that l the foreign holders of these invest ] ments feel satisfied that, at present ] prices, they are sound and safe, even i in the prospect of the uncertainties i of war. This tacit verdict expresses
 the opinion of the banking and invest ment interests of Europe upon the ef-
 feet the war is likely to have on the commercial and financial stability ot i this country It would not have been
 surprising had our foreign creditors
 deemed it a wise course to sell their i holdings of our securities in antic1pa- i tion of the war, with view of buying
 them back after the pressure of the i struggle had worked it's full effect up ! on them; and the fact that they have |. not done SO can only be regarded as 1 implying confidence not only in the ! future value of these investments but
 also in our being able to sustain the burdens of hostilities without seri- , ous consequences, and in our being