The Cairo bulletin., 1908-11-09

som uch as rest from threatened
radicalism, it needs a free chance to
recover from the inertia begotten OF
Hast years panic Of course, the re-
suit of the election had been to a
considerable extent discounted in the
stock market, hence there has been
no such speculative rebound since,
as some very hopeful but ineXpef-
fenced observers anticipated. rms
however. should cause no disappolnl'
Iment for the defeat of radicalism has
, been so complete and the demand
for sane, sober and honest govern
ment so emphatic, that farreachlng
results to all business interests must
follow. These will not be seen at
> glance and will nto come in oversight
Weeks and months will be requisite
ito bring out the full benefcent results
of the political tidal wave, which
Iswept the country on November .,
and left al lively realization of the
dangers escaped. So much for the
sentiment effect of the election
which is important What Of the
practical effect which is more impor'
tant?
The last few presidential elections
have been followed by a considerable
rise in stocks, so it remains to be.
Iseen whether this election has or has
mot been already sufficiently discount
led. The conditions this year are 50
radically different from previous post
election periods that little analogy
can be drawn between them, and this
Iyear must be Judged largely by Itself,
In the first place it must be remeni-
bered that security prices are now
quite high; especially considering the
diminished volume of business ami
the lessencd profits which both rail-
lroads and industrials have endured
The only thing that makes securities
look cheap Just no win cheap money.
which combined with hopefulness are
the main factors in sport of the
Istock market What stocks may DO
when interest rates advance, as they
lurst With the increasing demand for
7 NJ, -cau,Ho credits. cannot be predict
TED at .ih's time. but it Is evident that
| ne lii ing power Of cheap money
! tan..t lie relied upon Indefinitely, and
Itt must be realized that this support
Twin gradually disappear as business
improves. Just now money is plenti-
full and cheap.
Our railroads are exceptionally well
situated; some croaMng managers TO
the contrary. Recent depression has
drought about many economies that
were never dreamed Of; traffic is rap
: idly recovering, and at the present
; rate will soon reach last years vol
: uue: rates are being advanced, and
if rumored intentions are true rail-
; road revenue will be considerably in.
. creased next year from this source,
alone: so that with increases in gross
earnings and decreases in expenses,
met results in 1909 should be exceed
Imgly favorable The outlook for in
dustrials is also more satisfactory
= Here. TOO. expenses have been cur
: tailed as far as possible, and with The
resumption of business profits VIII
, lrapidly recover from recent loses.
. The iron industry is still a good trad"
barometer: and, if the orders re-
ceuved by the United States steel
Corporation are any indication, the
Ioullook Is certainly promising. Or.
ders for about 100000 tons OF iron
valued at S2j,0oo.0ou 10 S3o.0oooA'
, were placed in October, he sales OF
copper were unusually large; de.
cIded improvement has taken place
i'm the cotton goods trade: the gro.
CORY trade is more active, and the
4 general revival Of enterprise is shown
in the large increase of new incorpor
iatious. An of this activity was slim
Iulated by the expectation Of MI
Tans election. so that a burst OF az
: .tieity now would be unreasonable
Another boom is the last thing TO be
desired
There is every reason. however. ia
. take a cheerful view OF the future
IMNlAp the eiftiIUN NH~ NFtu NAA 80
3. discounted. an important stimulus has
lbeen largely discounted. an important
stimulus has been given 10 recovery
: which later on viii assert itself u b.
l0uite possible that the stock market
lwiU show some irrogularify owing ia
the great temptation 10 take profits
The unsettled condition Of iuteiua
. fionai politics iu Europe also affects
2 our security markets. because Amer
Z jean stocks are The be-t on which tf
: realize when others HeeI protection
, lLondon has already returned som.
Siderable blocI~ uf our ~scurI'-"-
lfhouEh 1ratdrI at orr eleeti1n re
+. -rlts. aHd uouiI undoubtedly rcHurt
Icaa-e tEem urrr g. not for she BalEar
2 situation a. wei as the uuceuaiuti
recarIilg Ire attitude of Germany
Forthcoming security issues viii ais
iieui to restrain ans further eNceS
vi -ire advance Al home an obserf ias
d ere invest BE- Kept uunn Congress aH