The Minneapolis journal. [volume] (Minneapolis, Minn.) 1888-1939, 1906-04-22
COMMERCIAL RESULTS

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With the first shock over and the sen
tlmental effect spent, Wall street is
setting down to careful consideration
OF the probable working out Of the
great Pacific coast calamity. So many
elements enter into it, that are unlike
anything met before, that the street
was unable at once to grasp the prob
lem in full and many diverse opinions
have been heard, tho optimism charac-
terizessall, and scarcely anyone doubts
that San Francisco will be rebuilt, and
that the work Of reconstruction and Of
rehabilitation of the outlying country
will result in activity great enough to
losses. Naturally there has been ref
erence to the past, and the files of the
financial papers have been gone over
for evidences of effects in former
cases of great disaster. The Chicago
fire of 1871 caused panic. The
Charleston earthquake had but slight
effect, and the Galveston food did not
materially check a bull market IN
stocks that was then on. The Balti-
more fire had it's unfavorable effect,
but worked out for greater activity in
lndustrials later on. On the whole, the
country has stood up well against cc
currealees of the k,nu, business general
~ continuing without serious Interrupt
ton except where directly affected, and
Wall street has kept itself free from
lal:c. s4aEga4 B.
= The immediate thing after heavy
fire losses is liquidation in the market
and lower prices, for insurance com
panles naturally turn some Of the sur
plus, usually invested in securities, into
cash. This is first effect common to
any great fire loss, and it was expert.
enced again. Such declines as followed,
however, are in no sense representative
Of final feeling. 1t is necessary to take
some time to look thoroly and calmly
into the matter. :. H.:
Assuming that San Francisco Will be
rebuilt, even as was old LisEon years
ago, and Charleston more recently, and
that American pluck will win out
against all odds, there still remain
some uncertainties. Ours is a country
of great extent, in which the channels
of commerce are shifting. This is
| especially true of the west. Certain
cities have geographical positions that
make them centers, but in the matter
Of predominance there is nothing liked
1beyord change Within the past few
years the Pacific coast and the trans
| Pacific trade have been the subjects
of deep investigation, and possibilities
in the orient are found to be almost
iHimitable. ~. ae...e.s F.
The 9gateways to this trade are rivals
The mex Whc, head the great transcon-
t;Ianta railway lines are rivals Re
cent plans have been formed and re
formed subject to natural conditions
yet with thought, in mind also Of secur.
ing points Of vantage and9 shutting out
competitors. One great system with
out a Pacifc/coast outlet to this time
is building to the coast, and another
| transcontinental linessis planned farther
north. The lines serving San Francisco
will naturally bend their every effort
to the rapid upbuilding Of the city anc
the holding Of their; traffic. Bat the
cs lamity is expected IN many quarters
to shift business to the northwaro Il
some degree. where ambitious cities
rivals, aEJ in ordinary times SHARP
ccmpetitors, and with financial backing
no less than that behind San Francisco
will foster it and try to hold it against
the time when San Francisco shall
again come into her own.
D. All this Wall street is puzzling over
It is not the question Of the rebuilding
of city. That will be done. Nor cai
any calamity overcome the natural ad
vantages Of position. Yet it is an opel
question whether traffic may not. be di
verified to the northward, in degree per
manently to change the point Of com
mercial predominance on the coast.
Men whose interests lie largely il
western railroads, or in the countr.
west of the Missouri river, have thes
things to take into account. Their
will always be competing north am
south routes, for domestic business an
fer the oriental trade, but the c6ndi
! lions are SO unfxed at this time tina
" important advantages might be game
: within year or two, advantages tina
would be held. y
This would appear to be the prob
sense. However prompt the work
upbuilding, it would seem that som
things will be lost to San Francisco be
yOnd recovery. The north racine port
hnd the northern trade routes will gai1
San Francisco was unfortunate in he
loss and scarcely less unfortunate i
that it came upon her at time whe
great plans not wholly definite and SUI
iect to modification or change, may b
! crystallized to her disadvantage an
! The permanent advantage Of her rivals