The San Francisco call., 1898-05-19
WAR AND BUSINESS.
EVERYTHING BRILLIANT IN SPITE OF
 THE SPANISH WAR.

EVERYTHING BRILLIANT IN SPITE OF
 THE SPANISH WAR.
 The circular of Henry Clews, the New forK banker under date of New York, May H. says; Tt is now nineteen days since the declaration of war with Spain. Under ordinary condl- tIons the beginning of hostilities upon a large scale and with imperfect preparations might be expected to create dtsturoances or confidence and serious prostratlon in all our markets This is no more than has been com mon in the experience or other nations. But, in our case. war has thus far been attended with a marked recovery of confidence Tn finance and a revival of activity in trade The Government is devising plans of heavy taxa ton and considering the authorization of large loans; but the country finds in all this no reason for contracting its industrial operations, the people no necessity for reducing thelr eX- penditures Labor is well employed, and there Is no shrinkage in values to indicate a falling off in demand. but rather a general nrmness in the commercial markets, and. in some, material advance in prices Nor is this rise from other countries, for the Spanards have so far been unable to check the current or our
 'tThe state of feeling in the financial markets surpasses the most sanguine expectations. In anticipation of the war there was some anxiety among the lenders Of capital, when showea itself in material contraction of the loans Of the metropolitan banks and disposition among the interior banks to draw home de- posits from their agents in this city. Money on call cheap, but only because there was an indisposition to employ it on time loans or discounts Within three short weeks all this is changed. From the interior all reports show a settled and confident feeling, and currency
 
 centers. The note brokers of this city, who in April found it almost impossible to secure buyers for their paper, are now able to dis pose of 1t in about the normal volume The city banks are discounting quite freely and have reduced their rates on time loans by IF 10 2 per cent In brief. credit operations have resumed their normal course. New enterprises. requiring large investments Of capital. which have been held in suspense for many weeks in view of the possibilities of war. now coming to the front again. and bankers in the Notation business seem to be quite hopeful of the prospect of investors supporting meritor- undertakings
 Tn the stock market the reaction from the ante-war depression exceeds all expectation. Expressing my view in genuine Yankee phrase and spirit. 1 should say that American citizens have enhanced in the worlds valuation at least 90 per cent through the result of the American Spanish war and everything Amerf can will appreciate in the same ratio after the war is over. Admiral Dewey marked up American history 100 per cent by smash ing the Spanish fleet and at the same time silencing Manila $ guns in the short, sharp and effective way he did it. IL was the American way of doing It. you know, and not Spanish. We take Manila, Cuba Porto Rico the Canary Islands and bang the Spanish coast all to pieces whenever we want to- We have the naval commanders; We have the gun ners. have the sailors; have the ships; have the pluck have the skill; We have. the weapons; we have the food supplies, and we have the money too, to back us all the way through. What, therefore, is the use of Spain pretending to fight such foe? It is simply evidence of imbecility."