Ottumwa tri-weekly courier. [volume] (Ottumwa, Iowa) 1903-1916, 1904-12-27
HOLIDAYS gu IL 7
"FRENzIED FINANCE" ARTICLES
HAVE MADE THE MARKET Elk
TREMELY SENSITIVE.
The Outlook for Year 1905 According to
Henry ciews Is Better Than 1t Was
for 1so4-The Year Is Closing in
Splendid Shape.


New York, Dec. 26. - A good deal
of hesitation prevails on the stock ex-
change and at times prices show
sagging tendency in spite OF the
strong undertone and a generally hope
full situation. Buying of stocks is
checked by the flood Of highly colored
literature on ''frenzied finance by the
indisposition to undertake new ven
lures until after the holidays and by
agitation emanating from Washington
concerning railroad and trust legisla-
ton. Quite naturally. such discus
sions are unsettling, and the market
can hardly be expected to advance
while they continue to threaten. For
months we have been free of such dis
fractions; so the market is the more
, sensitive for the time being. So lar
as legislation is concerned nothing rad
ical need be expected during this ses-
sion of congress. A good deal OF talk
may be INDUCED in concerning the
tariff and trusts, which will no doubt
be stimulated by recent exposures re-
present session will be short one
and not very fruitful in Important
legislation The issues of the day are
largely economic and conservatism is
likely to prevail as against radicalism.
President Roosevelt is quite alive to
the serious abuses which exist In our
Industrial and financial systems; and
while he is eager for remedy that
will deal justice to all, he Is by no
means the radical or destructionist In
his ideals that his opponents would
have others believe. Sound business
concerns have nothing to fear from the
Presidents policy.
The year Is closing in much better
shape than expected. Since the har-
vest, Improvement has been so marked
that much OF the ground lost during
the panicky year of 1903 has been re-
gained. Railroad earnings, bank
clearings, pig iron production and
other trustworthy indicators all tell
the story of revival; and there are no
signs yet of the onward movement in
business having reached it's climax.
The outlook for 1905 is even brighter
than. that of 1904, the only hindrance
to activity being the universal high
level of prices. This would suggest
that 1t is time to call halt were 1T
not that owing to the national growth
our industries are still unable to meet
demands. We still need more houses;
more food, more clothing and better
Transportation, and until these de-
mands are satisfied there can be no
serious recession in values.
Stock market values, 1t is also true,
are exceedingly high; in many cases
too high. But it must be remembered
that many properties have increased In
value, not merely because of improve
ments and expenditures, but because
of the country's growth. There is, too,
an excellent investment demand, which
is not likely to subside until after the
increased January disbursements, ag-
gregating over S150,000,000, are made.
These possibly have been partly anti
cipated, but they are still O. supporting
factor. Money continues plentiful.
and while somewhat f1rmer rates may
rule next year there Is no prospect OF
stringency, credit being sound and
capable of expansion equal to all legi-
innate requirements. Foreign exchange
showed hardening tendency and gold
4
not the season when such movements
are important. In any event, we are
likely to make heavy shipments Of
breadstuffs and cotton during the next
few months, which will insure a lib
eral supply Of commercial bills. Should
Europe continue to buy our securities
as freely as lately, this too will dis
courage gold shipments. So far there
has been an excellent foreign demand
for our railroad bond issues, and If
more of these are forthcoming a con-
siderable share will unquestionably be
placed abroad
For the time being the most influen-
tial issues in Wall street are the dis
cussions on "frenzied finance" and on
railroad and trust regulation. Until
the former disappears the market is
likely to remain either quiet or un-
settled AS for the latter problems,
they will be subjects Of agitation for
many months to come. and the securi-
ties of concerns most likely to come
under the ban of the law had best be
handled with care by speculative buy
ers.
The war between Russia and Japan
has thus far exercised but a slight dis
turbing influence. 1t should not, how
ever, be lost to sight, as with the APP
proach of spring both contestants are
likely to again knock at the door OF