The Washington times., 1902-12-08
HENRY CLENS' WEEKLY
FINANCIAL REVIEW
Unsettled Condition of the
Stock Market.
MESSAGE WELL RECEIVED
Railroad Earnings Compare Well With
Last YeaT-Future Not
UnpTomising.

Henry Clews' weekly financial review
says:
NO real Improvement in the stock
market is yet in sight. An unsettled
tone prevails, and the monetary situa-
tion continues unfavorable 10 operations
for the rise. While this condition con-
tinues the bulls are likely to remain
under cover and await more favorable
opportunities. Call and thirty day
money rates have been especially firm.
and there is a disposition TO wait until
preparations for January disbursements
and settlements incidental to January
are over before assuming any new obli-
cations
"LOanable funds are relatively scarce
and command good rates, lenders still
showing sharp scrutiny and conserva-
tism 30 as to loans and collateral As
expected. currency is returning from the
interior more slowly than last year be-
cause OF great activity in the West and
because OF the large corn crop, com
pared with a failure last year. Even
the contraction OF loans enforced by the
banks during the last two months has
afforded no visible relief, though 70 may
have averted more dlsagreeabIe conse-
qUences.
Increased Supply of Currency.
The supply Of currency increased
sl6.5C00C0 in the month OF November.
but this. too. had no apprec.able effect.
The truth is that trade activity crop
demands, and syndicate operations have
practically exhausted the available sup
ply o. money, and until the demand from
some OF these sources abates, no perma-
nent relief can be expected
Very soon crop money viii come back
more freely; but any easing IN rates Just
now would apparently facilitate gold ex-
ports, which have already begun on a
small scale so IL is evident there are no
large sums in sight for stock market
purposes. and this is the key to the
situation, the prospect for an active
buying movement is somewhat remote
The Presidents message was well
received. His utterances on trusts
tariff. currency. and other questions
were about what were expected. and lad
no effect upon the stock market The
prospects OF any OF his recommends
tions being acted upon during this ses-
sion Of Congress are very remote The
trust question seems likely 70 bring On
a prolonged struggle, the issues being
too numerous and complex to admit OF
hasty or radical Legislation
AS to currency the chances OF early
action. desirable as that may be, are
very remote. There rs a keener appre-
citation OF the necessity of currency re-
form. the result OF recent experience
and a clearer idea OF what legislation IS
most needed; but the clash OF opinion
between the advocates Of different meas
f- al
during this session Of Congress. In fact
no important legislation IS anticipata
this winter, so the stock market ought
to be comparatively free OF disturbances
originating in Washington.
Trade Reports Satisfactory.
Trade reports continue satisfactory
The crest OF the boom seems 20 have
passed from the East across the AppaIa-
chians. and is now under full headway
for the Pacific Coast Near the At
lantic seaboard the signs Of recession
during the last six months have been
unUistakable. only another season OF
good crops saved us from unpleasant
consequences. Now that irrational spec
ulation has been checked there is a
chance for a readiustment OF values
upon a more normal basis. When that
is accomplished We shall have a better
and safer market than the present. Bank
clearings are showing smaller gains than
last year.
Railroad earnings. Of course. max,
good comparisons with 1901. for trafh'
is heavy and equipment is overtaxed. but
net earnings are often showing signih-
cant losses, not including the coal roads
which suffered severely from the strike
AS previously stated the high cost oi
labor and raw materials Is MATERIAL!
swelling the expense ratio Of the rail
roads. and when business falls back ia
normal proportions less will be spen
for improvements and wages will hav,
to come down and dividends be reduced
unless the railroads can squeeze more
money out Of shippers. which is very i'm
probable. The outlook for the indus
trials is much less iattering than for III,
railroads. for these are handicapped by
stock watering as we'll as the excessiv,
demands OF labor.
Gold Exports.
Gold exports to Argentina attracted
some attention. not so much because oi
the amount, which was small. as fol
the fact that London was able to shift
the demand from that point upon New
York. II is fortunate that payment t
British holders OF White Star STEAMSHIP
stock on behalf Of the steamship com
bination was financed without gold ship
ments.
In spite OF this transaction it is nov
believed. however. that American indebt
edness 70 Europe has been largely re
euced In the last two months, and tha
some OF the loans held IN Paris. Lon
don and Berlin have been transferred tc
New York II this be true the hnancia
situation may be better than Il appears
to be. still there Is so much mystery con
nected with these huge and secret trans
actions that prudence demands a eau
tious policy until the outlook Is NOR,
clear
The future rs not UnpTOmising by an
means, but safety demands readjustmen
upon lower level Speculative opinion
on the market IS about evenly divided
and as both sides are confident in theil
Views the opportunities for tradin,
should be ample. Perhaps the new year
will see a change for the better"
SONS OF HAM" CONCERT.
The Sons OF Ham" company gave
concert az The Empire last night IL
which the following members appeared