New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1898-05-15
financial.
The Financial World.

A
broadening tendency; and this is the way Il viii
continue for some time to come. The h,gher
prices made last September will be considerable
exceeded by the prices to be made this year
This will come because the causes which eay.
us those prices last year. operative this yea,
with greater force. II their dynamic force WA
represented then by. say, 100; they are repre
sented now by 80. The effects must be In cor
responding ratio
1t Is not the war which Is doing this 70,
countries do not get rich by strife though soma
| Of It's indirect effects may be strongly stimula
! tive of wealth production. The cause lies 4.
the great rise In the values Of our articles OF ex.
! port. which adds to the value Of every farm IN
the country. The purchase price of farm 4
| higher this year than last and last year wa.
higher than 1t had been the year previous; be.
cause the products Of the farm have create,
selling value in the markets. In May 1894
! wheat at Chicago ranged between 81 and 81
cents per bushel in May 1897. between 6S and
81 cents: and it has sold this month at Sl0S
July wheat. which takes in the new white,
! wheat crop. two years ago sold between a ane
~ cents last year between 6S and 70 cents
this year it has sold high 81 90 Corn
cattle, hogs. provisions In short, all that Z
farmer has to sell. have been lifted more or lea
by the rise in wheat by the causes OF IL
rise.
This Is the second year the advance has bees
continuing. Therefore the effects are cumua
tive. AS consequence we shall see some Ole
time prices restored for securties-say 1875 TO,
Burlington, and the others in Ike proportion
II the economic situation had not been OF
strength like that which gave US the faruou,
bull markets Of 70 50 and 81 It never could
boy Of wa ell,
stock market has had TO advance OF late in III,
face Of political events which had nothing 10
themselves but a depressing influence; for be II
remembered that there is nothing far and
there will be nothing. Of the sort which caused
the enormous advances occurring in the Civr
War, namely great imitation OF the currency
The position Of the Government up TO this time
is simply that OF intending borrower Of
money not a manufacturer Of IL; and also a.
taxer.
The certainty that IT would soon come int
the markets a competitive borrower against
all other borrowers. did for three or four weeks
cause contraction OF credits and decline in thu
stock market. Very soon, however, IL became
apparent that money was flowing in from
abroad in volume sufficient 10 meet all require.
ments. for with export articles Al ruling prices
and continuous demand for them. the making
OF exchange goes on rapidly ard largely Peo
pie who had temporarily withheld their loanabs
funds let them loose again. Therefore time
money rates are easing up. ard the rule OF pei
cent for all dates. which recently obtained Is no
longer enforceable. Rates are now about pei
cent and accommodation much easier 10 OBJ
tain.
Unless get into row with some hrst-claa
power which is not likely there will be nothing
in this war TO disturb the country seriously
now that the first shocks are over and its et
fects on the stock market will be confined to
making rallies IN good news. and reactions on
news the other way. When there is apparently
a decisive engagement pending. at this mo-
nlent. the market will incline TO be nervous and
the trading to shrink It is good speculation
however, II you believe in the success OF YOU
own side TO buy on the eve OF an engagement.
Discussion is lively on the probable duration
Of the war. There is even talk that the market
Is already discounting peace. Every one says
short war but one mans ideas may be that q
short war is one which brings peace after the
next big fight, another that It Is short II Il ends
by October. The Government plans seem "a
contemplate the latter. The action OF the Span
ish Government in sending its fleet to this sld'
OF the Atlantic tends strongly 10 bring hostilh
ties TO a speedy close II seemed incredible thai
It should be sent here The earlier reports thai
the fleet was at Cadiz. were accepted In thu
Street as truth. for there is where 1t should ba
When the later and authentic reports followed
there came to ones mind the exclamation o.
Cromwell at Dunbar, when he saw the Scotch
army abandon its strong position on the high
ground and pour down to meet him on IN,
plain The Lord hath delivered them into oW
hands"
1t seems safe TO calculate that the war Wit
not be thoroughly cleaned up. peace settlements
made and general quieting down effected. be.
fore October even though Sampson be success
full In finding the Spanish feet. which we as
sumo means smashing It. Spain must make
peace after that" said a prominent operate,
yesterday She won't have q feather to fly
with The answer 10 this is given us at Ma.
Mia Here was victory complete in It's an
Of the enemy. effected with such I'm
munity to the victors. that it has no parallel II
history. Nevertheless find the Commodan!
on shore. after this wholesale destruction. I'M
dismayed and defiant; and forcing the victors Il
go 10 the expense. labor and loss OF time In.
voved IN sending a large force several thou.
sand miles to compel a surrender which he must
know IN the end to be inevitable. This Philip.
pine business will use up good deal OF time In
its settlement; and we may have to win Cuba
by inches. as 1t were. This also takes time. The
only thing the Spanard seems able to 90 WELL
Is to die. He does that like a man. He insists
on being killed before he will surrender: and so
It may happen that 1t may take US to October TO
do the killing.
Apart from war news. II is possible the mar
ket will be somewhat affected this week by the
debates in the Senate on the revenue bill II
has been aptly said that the Senate has large
contingent Of Spanish fnanciers, who seem 10 10
80 In love with Spains financial methods that
they want to conduct the fiscal policy OF this
country on the same lines. Their success In this
direction. or in delaying the passage OF the BILL