Lewiston evening teller. [volume] (Lewiston, Idaho) 1903-1911, 1907-05-09

NEW YORK, May 4.-ConvaAescence
and security markets the un3ertone
shows improvement. In monetary af-
fairs the change for the better Is
worldwide and is not confined to New
York. In consequence we have not
only had easier rates for money the
last few weeks, but bonds have been
more active and in better demand. al
though transactions were still much
less than year ago. The announce
ment of a $26, 00O,0O0 per cent Atchi-
surprise, and must exert a temporari
iy depressing effect. Not only was the
rate of interest so high as TO material
ly acct conditions in the bond mar
ket, but the fact that the road had
recently increased it, dividend from
to 6 per cent brougl on the manage
ment more or less criticism. Here
after an increase in the dividend rate
by any railroad will be apt to he re-
garded as a forerunner of a bond issue
VI a SilplN-ltIW lodH. ne AlCIlSOn-
however, is not the only road which
has adopted the questionable policy of
increasing its dividends and then COM
ing into the market for new capital.
At best such a policy Is undesirable;
for some Of the improvements which
railroads have undertaken could have
been gradually provided for out of
large net earnings, and thus kept down
capital and obligations, which have
been enormously expanded during the
last few years Apart from this fea
ture, the market shows an improving
tone. Confidence is Enthusiastically
gradually returning. and gradually
also, but surely, the money markets of
the world are righting themselves. In
ordinate speculation in Europe and
America has been substantially check
ed. and the excessive demands for new
capital, which were chiefly responsible
for exhausting our monetary supplies,
have abated because Of the universal
restraint placed upon such demands by
bankers at home and abroad. This
conservative policy by banking inter
ests has probably saved US from a
dangerous reaction, and it should be
adhered to unfalteringly until oul
finances, industries and commerce
have been once more placed upon a
sound basis, It is not too much to
say that we approach the second half
tn, fpT
condition than we did the first half
There is far less distrust now than at
. the close of 1906. Then the high level
Of security prices and the scarcity and
extreme rates for money induced gen
eral apprehension that a financial up
heaval of some sort was in prospect
There was also much uneasiness con-
corning the political outlook and the
universal social discomfort. In al
three of these directions there is dis
tinct change for the better. Tn
March collapse distinctly cleared the
financial atmosphere, while recent ef'
forts towards reform are doing mucf
in lessening the dangers in the poiltl'
J cal situation. Wall street has, o.
course. been more or less disturbed
some of the extremely radical leglsia
tive proposals: but time and discus
sion are proving that many OF tnes
apprehensions are unfounded' pecaus
the only reform which is likely to o
successful is that which runs on TN
lines of square DEAL" benefiting a.
interests alike.
Business conditions continue sa'is
factory. There is a large demand 10
all commodities except luxurles' an
M sign of important diminished our
mt or demand. The extreme conserV
atisn which began in banking circle
has extended itself to the heaos
i mercantile and industrial estaehsn
ments. For one reason or another thei
& mas been a halt in new projects Ell
II ,argements and all forms OF expaI
s,on This is fortunate. inasnuch
Il gives time to ascertain wnetner "
means of production have or have NJ
o,trun consumptive requirements.
will also give time to demonstra
whether the present scale Of consnmi
y tion can be maintained or whetn'
4 commodities must recede to a low
and more normal level WhateV'
/ views are taken of the present ou
I look. they are extremely varied; =
there is little or no reason for O.
treme pessimism. All that is needed
patience and caution. which shou
save Ms from further disaster. ca
ton is especially needed In the re
estate field, where the has been mu
i ovordoine in the development OF ne
sections-not only in the vicinity
New York. but all over the count
and particularly in some portions
4 the West
nond;4;on Of Crops.