Ottumwa tri-weekly courier. [volume] (Ottumwa, Iowa) 1903-1916, 1904-06-04
NO POLITICAL INFLUENCE.

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The one noticeable features of Henry
Clews' review of trade and business
conditions for the week ending May
2S is the lack of any mention of present
political conditions as having any ma
terial influence thereon. Such condi-
ton in a presidential year is indeed I'M
usual and is unquestionably Indicative
of the feeling that exists throughout
the country that there will be no change
in the national administration this year.
AS the time for the republican conven-
ton in Chicago draws nearer no new
developments arise, Indicating that
there will be any hitch in the car
rying out of the decision of the people
that President Roosevelt is to be nomi-
mated and there is nothing in the po-
litical situation that gives any en-
coura cement to those who would re-
joice in his defeat at the polls.
1t is to other sources, therefore, that
Mr.. .Clews looks for the influences on
the financial conditions of the country
In fact there were few developments
during the week apart from consid-
cradle decrease in loans and small
increase in the surplus reserve. The
most satisfactory element in this par
ticular feature was in the reflected
closing up of certain syndicate opera
tions, which had necessarily tied up
considerable capital. One by one these
syndicates are being closed up and
more are likely to follow and since
these commitments have to do with
the expansion of loans it would not be
surprising if there should be further
contraction.
But Mr.. Clews sees another influence
in the contraction of loans and that is
the diminished activity of general
business. According to his statement
distributors report a lessened demand
in consuming markets, manufacturers
are experiencing falling off in orders,
railroads announce frequent declines
in earnings and the bank clearings may
be taken as proof that the reaction
which began in the east is gradually
extending to the west and south.
Touching upon the reasons for the
check in new enterprises Mr.. Clews
believes that the most important con-
siderations are, the general recognition
Iof business reaction, that costs and
wages are often prohibitive, unsettled
crops. However, he sees no reason
why these considerations should dis
turb the stock market because correc-
tive influences are already at work and
If allowed free play will result in re-
cuperation and a fresh forward move
ment when conditions become more
settled and when prices and wages
reach more normal level.
He puts the mind of the over anxious
at rest in his concluding statement.
He admits that much depends, of
course, upon the crops, but believes
that SO far the outlook for corn, cotton
and spring wheat is favorable, al
though the season is generally two
weeks late Crop failures this wear
would be disastrous; but with gooa
average harvest we are likely to wit
ness reasonable recovery next autumn,
preceded perhaps by a further period
of quiet and rest in businss. There
lis no unsoundness in sight, and we are
simply climbing down the dizzy heights
of the boom of 1902 to more natural
and normal conditions. Gold exports
have partially subsidized for the present
owing to better rates for money here
and easier conditions abroad. There
is also a good demand for better class
investments, as witnessed by the read
mess with which the Cuban, Japanese
and other bond issues have been taken
up. This is an excellent symptom, and
would seem to promise better market
for railroad shares as soon as other
conditions permit.