The Saint Paul globe., 1901-07-08
HAVE LOST COURAGE
ENGLISH SPECTATORS WAITING
FOR THE INITIATIVE OF U. s.
SPECTATORS
BEGGING
MONEY GOES
American Securities Are Given De-
c1ded Preference and Still
Maintain an Upward
Trend.

LONDON, July 1.-GarduOAlCdl dS IL
may seem, the conditions Of the Lon
don stock exchange during the past week
have improved, while actual business has
been worse, if possible, than ever. Money
has been exceedingly plenty and price
generally better, but dealings from var1-
GUS causes, have been at about the low
est ebb. An annoying feature OF the
weeks stagnation is the fact that large
sums of money are actually yearn'ng
for investment, but the public, from ehe
force of many weeks habit, refuses to
do anything but "sit tight" The heated
period in New York, together with the
holidays there, largely contributed to the
hesitation of inves timents here.
The spectacle of England, waiting for
the initiative of the United States in fl
nancial matters has become strangely
familiar of late. The races at Henley
this week furnished a fresh excuse tor
the absence of many members of the
stock exchange, but the fact is, any ex-
cuse nowadays serves those who are
anxious to ignore the inherent and nerv-
Gus weakness of the English market
Consols were a shade better the past
week and nearly two points above their
quotation during the gocent slump, home
rails, as predicted, improved slightly.
Northern lines were from one-half to one
and one-half better, while Southern lines
remained stationary or had but frac-
tlonal losses. Interest centered in the
forthcoming announcement OF dividends,
and traffic reports show an improve
ment in the number of passengers
handled, but also heavier working ex-.
penses and falling off in freights. The
latter feature is important as indicative
OF the general trade situation in Great
Britain. The fact is the railroads are
largely themselves to blame for the kill
ing of this trade by the imposition of
excessive freight rates, the poor service
rendered and their callous indifference to
the appeals Of overburdened shippers.
American securities, with few excep-
tions, quietly continued their upward
trend during the past week, although
the actual dealings during this time were
comparatively small. 1t is interesting to
note, however, the c.Iange in the tone
OF English financial writer's toward the
American market. These writer's say the
American boom created a rush of specu-
lation, which as now become legitimate,
and the consequent enhancement of
values resulted in investment by power
ful financial interests 1t is simultane-
ously pointed out now English capital
has suffered, some writer's say ng it was
hoodwinked by the present development
1t is further said that American rail-
road managers for years sacrificed divi-
dends to the improvement OIL equipment
equipped lines are now fully ready to
cope with the present immense American
industrial development The railroad
lines were largely financed WI~-I British
money, but the lapse of many years
with scanty dividends induced the Brit
ish investors largely to cast off their
stocks as rubbish. Shrewd americans
bought In Elese stocks at the prices the
Englishmen sold at and have been
steadily he rA Of
ent advance in values.
REVIEW IS PEssIMISTIC.
The Investors Review, which is no.
toriously bearish in it's tone also dis
sents from these favorable commentaries
on the American markets. The news
paper in question declares that under
the surface a financial crisis is impend-
ing in the United States and warns
bankers Of the enormous amount of
American bills af1oat here, and suggests
the throwing out of a certain class of
these bills in order to precipitate am i'm
mediate panic which, the Investors Re-
view says, could be better met now than
after more American securities have
been fioated here.
In connection with the tightness of
money at the end of the year, some au-
thoritieS have been seriously urging the
banks to consider establishing half-year-
ly settling days, Jan. 81 and July 81, so
as to bring the settlements after instead
of before the semi-annual government
disbursements, as these naturally ease
the money market. In this connection
the authorities in question, compliment
Secretary Gage on his alertness in help
ing the financial situation by the re-
demption of bonds and the forestalling
of interest, ETC.
The Belgian outlook is exceedingly
dark and fears OF serious Industrial com
plications are held, and the news of the
financial reoFganizations has been favor
ably received.
South African mines show a steady i'm
provement, while West African mines
are apparently on the verge of a boom,
on the strength Of recent reports of the
blanket formation of ore, but it will
probably take years to develop the pres
ent prospects in West Africa on sound
basis.