The Saint Paul globe., 1905-01-30
TROUBLES
R[PRESS MARKETS
Choatic Conditions In Cars
Empire Are Widely
Felt

Felt
Special to The Globe
NEW YORK, Jan. 29.-The New York
financial situation has been more or less
affected by the outbreak in Russia. For
period it was impossible to tell what
would be the extent and consequences of
an uprising which has long been feared,
and which has not yet by any means, cul-
ernment at st. Petersburg had taken rig
0rous methods of suppressing disorder,
and with considerable success, tended to
partially restore confidence; and there was
much less uneaSineSS in the latter part
of the week than when the outbreak first
began.
1t is quite premature, however, to as
sumo that the trouble Is over. While the
final outcome is beyond human foresight
1T is practically certain that the enlighten-
ed political freedom which Russia needs
and must have for her natural develop
ment is only deferred and cannot be post
poned Indefinitely. Whether it will be
obtained by peaceful or by revolutionary
methods remains to be seen. The car, a
humane but weak ruler, is unfortunately
under complete control of the bureaucracy,
and no concessions of Importance are ex-
pected at present from that quarter. The
revolutionists, which include all classes
from anarchists to the zemstvos are a
body thus far incapable OF organization
and entirely lacking in able or forceful
leadership. Such being the case, the gov
ernment may be able to maintain order If
the army continues loyal; but the whole
situation is highly volcasaic and contains
all the elements of a great revolution
the natural uprising Of a long suffering
people who have been held down by the
iron rule of an arbitrary and autocratic
government. Evidently the time has come
for the Russian people to rise up and as
sert their human rights, to be more in
keeping with this enlightened age The
car should not hesitate TO liberalize gov
,ernmental methods for the benefit of the
people and so restore contentment and
make his subjects truly patriotic.
Depressing Influence
Such chaotic conditions must exercise
a repressing influence upon European
:bourses, Paris being the center of interest
from the financial standpoint. French
holdings Of Russian bonds are said to ag-
sregate about 81, 800, 100000, which have
only been saved from sharp depreciation
through the most powerful support on the
part of the great European bankers. I'm
fortunately, short sales have been made
Illegal, and the means of support adopted
instead may well be likened to the dam
ming of stream, which only intensifies
the flood in case of a break. Partisan
bankers, however, have been unquestion-
ably Strengthening themselves, and much
of the gold withdrawn from this and other
markets during the past few months has
gone to Paris for the purpose of giving
support where most needed, and more
who recently took the Berlin issue, and
those who are expected to take the forth
coming issue at Paris, will succeed in find
ing market for these new issues re-
mains to be seen. In any case the stu
alton is a delicate one and requires close
watching.
The most hopeful aspect of the whole
question is the proba bllity of the Russo
Japanese war coming to a speedy close.
Russia is evidently unable to carry the
conflict to successful issue, her credit
needed at home to prevent dissolution of
the empire. This crisis permits an hon
orable retreat. If such be the outcome,
it will largely counteract,z temporarily at
least the effect of Russia's internal trou-
bles.- The stoppage of the enormous
waste of life and capital which the war
involves would. be an immediate relief to
the International money markets; while
tory and immense populations to the more
beneficent influences of commerce will
rapidly restore confidence and stimulate
industry in all parts of the world.
The great value to all civilized nations
of the open door Of the far East and the
integrity of China, both of which would
is not yet fully appreciated except by the
few. Japan has fought and won a war
that will benefit other nations equally
with herself, and the United States will
not be the least thus advantaged, thanks
largely to our able and farsighted sec
retary of state, John Hay.
Local Situation Good
road earnings and bank clearings both
testify to the heavy volume of business
in progress. Farmers North, South, East
and West are unusually prosperous. Man
ufacturers are generally well employed,
and the great iron industry shows an al
together unexpected degree of activity at
this season, having booked orders in ad-
vance that will keep furnaces and mills
busy for several months to come. There
is, consequently, no diminution of earning
capacity In sight for either railroads or in
dustrials. The only drawbacks are that
good dividend paying stocks seem exceed
ingly high, and the investment demand is
abating. although desirable bonds still
find ready buyers. Such conditions divert
attention from established dividend pay
ers to those which have recently entered
the dividend list or to those which have
good chance of SO doing If present pros
perity continues.
Speculation has, consequently, been
most active in these two classes of stocks,
and operations were thus confined to a
few specialties manipulated by their re-
easy and gold shipments had little or no
influence. Bankers look for easy rates
right along, this being one of the strong
Bullish enthusiasm had been materially
checked by recent events and moderate
decline followed; but there is a general
indispOsition to part with stocks while the
ticularly as any Improvement in the Rus
sian situation or a genuine peace move
ment would impart additional strength to
the market. Vice versa. aggravation of
revolutionary symptoms in Russia would
induce fresh selling, especially abroad.
For the time being legislative movements
at Washington are OverShadowed, al
though an extra session for the purpose of
railroad and tariff legislation is probable
next October. AS said in our previous adj
vices. no radical legislation seems likely.
Henry Clews
THE IRON TRADE
Reported by Rogers. Brown & Co.