The Indianapolis journal. [volume] (Indianapolis [Ind.]) 1867-1904, 1898-08-15

In his review of the situation in Wall
street Henry Clews says values on the
Stock Exchange are strong and advancing
Peace developments were an important
stimulus to the upward movement; but
cheap money and excellent business pros
poets have been much more potent in
tluences and their effects have been but
partially realized, At this moment there is
a great plethora of idle funds seeking in
vestment, and money is phenomenally easy
in all parts of the country First-class in
vestments are on 31s to per cent. basis
while second-class stocks and bonds are
selling at figures which bring the investor
per cent. and less. Holders would like more
profitable investments, but they not to
be had. AS enterprise revives new oppor-
tunities will be offered. and rates for money
must advance. Our new Professionalism
Porto Rico and possibly the Philipines-will
afford some new outlets, but these may
easily be overdone; for neither Cuba nor
Porto Rico has large population, and time
will be required to increase the latter, de-
velop resources and create order out of
chaos. These islands can only afford very
limited outlet for the energies of the United
States for some time to come. Cheap money
is always an important aid to a bull cam
palgn, and two sources of supply encourage
belief in its abundance for period of con-
siderable length. The banks, aided by the
new per cent. bonds are likely to mate
rally expand their circulation as soon as
rates for money advance. The large in
crease in gold production and the aspect of
gold imports also tend to ease in money and
higher prices in the stock market
1T is almost needless to enlarge upon i'm
proven business Isl, prospeGts as these are UNI
readily confirmed by those familiar with
conditions in the interior, especially in the
wheat-growing and iron-trade sections. The
/ august government report Indicates a VlpI1
of wheat amounting to COZ 10000 bushels,
against 5900O0,0OO actual last year; and a
yield of corn amounting to 1896 $4,000 BUSH
els, compared with 1902 900 bushels last
year As a whole the agricultural sections
prospect of its continuance another yea.
Our industries are also rapidly reviving, and
their promise is for continued activity for
some years to come; in fact enthusiasts an
ticipate "a positive boom. which is neither
desirab BILE nor probab BILE yet While the rail
roads are doing heavy traffic-much of it
at a SenSeleSs Sacrifice-and putting them
selves in good financial condition, the in
dustrials are coming to the front as profit
1 They offer i'D tempting Inducements to the
spectators, but must be handled with dis
elimination. Trade conditions favor larger
earnings. but it must be remembered that
many of these concerns are particularly
exposed to new competition in good times
from establishments having lighter capital
izatiOn and the most modern equipment.
We believe the stock market will reach a
still higher level accompanied, of course,
with the usual setbacks.
Peace has come just at time to give its
full effect of stimulus to the autumn trade.
Henceforth, the will be a thing of the
past; the present will be occupied with
what promises to prove the most remark
able period of industrial development ever
realized i'm our history. With the advance in
American citizenship of at least 90 per cent.
above par. a result of our recent great
naval achievements and brilliant victory
over the Spaniards, who have never been
known to surrender. or even give ask
quarter. to any country before, it is not
surprising that the people of this country
are full of pride and hold their heads in
lofty way. and that fact makes it unnatural
for a bear attitude to be taken at the
present time in Wall street. A bear cam
paign can only succeed when there is good
ground for a pessimistic feeling, and con-
sidering that a cessation of hostilites has
just been ordered by the President, which
brings a return of peace to the Nation on
our own terms. that the crop prospects all
over the country are so brilliantly most en-
couraging. that the supply of money is SUI
perabundant and that exports continue on
large scale and promise to materially in
crease after harvesting. which cannot fail
to result in fresh imports of gold on an inn
portant scale, there is nothing encoura ging
for such position on the market at the
present time. The country is now headed
for a prolonged period of prosperity"