Omaha daily bee., 1902-10-20
STOCK MARKET IS EASIER
Settling Of 0ssl Strike an Important Factor
in the Situation.
WHOLESOME LIQUIDATION IS ANoTHEF
IndustriRis show Decreased Fronts on
Account u Increase In the
Cost OF Materials and
Labor.

80 ASANENH CNAs
Clews, in his weekly letter. says:
"A much better feeling prevails on tn
stock exchange, due of course to easie
conditions In the money market, caused bI
the decision of the secretary of the treasury
to buy a large amount of bonds and thu
settlement OF the coal strike. For the lattei
a full share Of credit. At first many ques
toned the wisdom of his Intervention in
dispute between capital and labor, but tn,
outcome has justified his action. The In
trusion OF this question Into party polite,
Is unfortunate, but fortunately Presiden.
Roosevelt cannot be accused of politica
motives, the reason Cor his Intervention
being rather a recognition Of the fact tina
the public have rights superior to those Of
monopolies OF labor or capital when thes,
parties take positions which prevent tn,
public from securing a common necessity
The public must lave coal, and there beint
no legislation for removing the deadlock
between proprtetors and miners the presi
dent, In the absence of suitable laws, was
justified In overstepping the usual con.
vy~ennonsilties and using his great influence
should not generally come before the execu.
tive for settlement; It is a dangerous prece.
dent. and would lead to serious conse.
remedy Is the making OF new laws to meet
the new conditions arising from recent
great economic changes.
Monetary Conditions Improve.
Monetary conditions show decided i'm.
provement and easier rates now prevail,
WAA6 W Wy ntdNN nQulQdt1On OF EneCula-
tive accounts during the last few weeks
and to the efforts of the treasury, especially
secretary Shaw's decision to buy bonds.
The prospects, Notwithstanding. are that
money will remain firm until after the
January disbursements, as funds are In
actlve employment in the interior and will
the close of the year. There has been no
serious stress in the money market: the
demand for relief comes chiefly from those
who have Inconvenience themselves nv
excessive speculation. The recanf ofriny-
ency, very largely was the result OF the
overdoings of the last two years, which are
Wen understood In Wall street, and II is
far better that a natural Correction shouid
De applied In the form of higher rates for
money than that such commitments should
great deal of forced liquidation Of the
wholesome sort, and more may have 10
come later before the congestion prevailing
IN wa street Is fully relieved and thereby
the money situation permanently adjusted.
me prospects of gold imports do not ma
terially Improve. Our large borrowings in
these loans, together with slight distruct
on the part of European bankers in the
speculative situation here, all tend to dis
courage an influx of gold. Hence the only
road to easier money and stronger hank
Is the steady withdrawal OF funds
from speculative purposes, which has been
policy OF New York banks.
Industrial Profits Decrease.
A striking feature of the annual reports
OF industrials now coming before the public
ls decreased profits. Gross earnings con-
unue large, generally in excess of last
years big totals, but expenses are rapidly
the increased cost of materials. The same
tendency has repeatedly been noticed in
railroad reports and is highly significant
regarding the future status of the security
market II the rates of profit are beginning
to decline. as the facts very strongly sug-
sest, mat Is not an in favor of
nT1Clg- MQnaUaTC mil H., NIYt-zl
TO take into consideration the Increasing
cost OF doing business and aggressive atti-
tude OF organized labor. In fact, II the
they Will meet with increased resistance.
for the simple reason of diminished ability
to meet such demands.
Mercantile situation Good.
During the next few weeks the outlook is
TOT a good trading market. The mercantile
Is satisfactory, and with the end
ing of the coal strike Industry will be re-
lieved of a serious uncertainty. Good har-
vests insure a large eastbound traffic for
perity equally insures a large westbound
which is usually profitable freight
ana OF great Importance to railroads. The
disposition OF many operators to plunge"
which easier money win stimulate is not
a satisfactory feature and stocks exposed
TO such manipulation should be left alone.
Inc most conservative and strongest in
terests In the street are not vet enlisted on
the bull side of the market for very plain
ana SOUND reasons. Tn time is not ripe.
Sharp fluctuations may be expected, but
no prolonged campaign for a big advance is
likely until the reimbursement between the
money and stock markets is nearer com
1t is said. that figures do not lie, so I
must submit some figures which speak
palmer than anything else In explaining
months our exports were 1882, 900. 600 less
the corresponding period last year,
while our Imports have largely increased;
the 1nCFalGa In imnnrta laaf aANNH -
was S21 100000 In excess of the corresponding
month last year. The deposits in the banks
.ast year showed an excess of $40, 600 900 over
the amounts of loans, While last SATURDAYS
a statement showed the banks to have
loans 2,7OO,000 In excess of their deposits,
for itself,