The semi-weekly messenger. [volume] (Wilmington, N.C.) 1897-1908, 1905-06-23
THE EFFECT OF PEACE.

Henry CIews & Co. in their current
market letter discuss the effect upon
the stock market and commercial BUSH
ness of this country of the establish
! ment Of peace between Russia and ia
! pan. Because of the stock markets
to ocur cessation of hostilities will
have little effect on the honey market
| or values of stocks and other
ties. The greatest effect Of peace
would be to open up markets now clos
ed to manufactures and other products
of this country. Also our shipyards
would probably benefit by Russia's ne
cessity to rebuild her navy as soon as
possible. In n "a peace might af-
feet American interests in a yery slight
degree. There is a good deal Of
in this country on loans secured by
exchange collaterals. II Russia has to
pay a large indemnity she would negO-
tate this in Paris and Berlin. This
would cause the calling home Of these
loans. Clews & Co. say in part:
The financial markets of the world
are jus o in a sYnical state OF
mind. especially IN the instance Of the
Russo-Japanese war-a SkeptlctSm
predicated upon medieval standard
of diplomacy that still obtains in st.
Petersburg and which furnishes such
a distinct contrast to the blunt.
ST. aightfOrdWard. matter-Of-faCt, and
withal truthful diplomacy SO charac-|
t~eristic of u own government at
Washington and which the japanese
with their natural aptitude are copy
ing. 1t must be acknowledged thar
ample opportunity exists for a con-
siderable display of skepticism. and
from the military activity on the partI
of Cyama it is evident that JAPANESE
estimate of Russia's good faith in the
current 2eace negotiations fOlloWSl
very closely the estimate of Wall street,
When these nesOtlatiOnS result
in the proclamation of an actual ar
mistice Wall street may be expected tOI
SHOW whatever the definite
termination of hOStiljtieS may justify
Th+ measure Of this response is, howl
ever. apt to be disappointins toI
those not familiar with the stock eX-l
change habit Of discOunting Important
a. SlACCI hllS"o .LJucy ltd
Russia is beaten to the point Of hui
miliatCn. and that any efforts the,
car may now make are merely att
temptS to retire With a degree Of dig
nifty from a disastrous situation. Furl
all practical purpcses-which means
for all the influence the formal cOnclu-
sion of reace may IL a broad sense ex-l
ert IEon stock exchange values-the|
war has ceased TO be a New York;
stock aYnhonoo inH11oneo &c ra nv-I
clude. first. the sentimental reaction Of
the influence On the London aEd con-
tiner.tal money centers. which nave a.
much more vital interest in q declara-l
ton Of peace: and. second. the partic-
iratiOn that American producers andI
manufacturers may eventually secure
in the reconstruction Doth in JapanI
and Russia that will follow the war.
AS the warm friend Of Japan the Unit
ed States may expect, and will! un-I
doubtedly receive. the very best treat-l
men from. a commercial standpoint:i
and. so far as Russia is concerned. it'll
will be extremity surprising if Ameri-
can shipyards are not actively employ
ed in the necessary restoration Of the
cars naval power. In addition there
is the Ultimate benefit Of the now per-
nanently assured "open door" in the
far east. meaning almost intmeasura-l
BILE expansion of foreign markets for|
the American manufacturer. But ALI
these are matters OF future develop-I
ment-of future rrOSDerity-t0O dis
TAM even for Wall street to inmedi-|
ately discount.
The decision by Secretary Shaw to|
defer until July 18th his call upon
ank Throughout the country for
government deposits has delayed al
moderate adverse influence over the
mNnaU Situation To oil rnlar thu
current call, New York banks will ray'
about S12,000,e 600 over to the govern
-nent; but as the July disbursements
will in large measure have returned to|
circulation by the middle Of the MONTH
the withdrawal Of government funds
should be made without substantial
influence on the banking situation.
There is also good reason to believed
that Stcretady Shaw-himself Q form
er hank officer Of prominence-will
conduct his future Withdrawals Of
n in such a way as to interfere
as little as possible with the cur
reauisitions invariably made
upon New York for moving the crops.
At any rate. usually We'll informed
banking interests Of this city are con-
fdent that this will be Mr.. ShaW's
pCl:cy. 1t is. however. not entirely
wise to lock upon this action rs cont
pletely clearing the none situation.
AT the present time q considerable
amount of French and German capt.
tai is in this country in the form of
loans On stock exchange collateral.
Should the peace negotiations be con-
summated with greater speed thar
now aprears probable the ear
| will probably seek banking ia
| cilities fer financing his war indem-
nifty in Paris and Berlin. which would
| in tI1rn he Pnn1np1taI tn 1roy II, i1l fhnir
reserves n call back their funds
fra.o 4l;~ ao,,~t,