The Birmingham age-herald., 1909-07-11
STOCK SITUATION
 IS VERY BUOYANT Prices Have Risen Steadily for
 Fifteen Months RAIlR LAD EARNINGS GOOD Crop Situation From Now Till First of Next Year Will Be DomInsnt Factor in Price Movement
 In Stock Market.
By w. G. NICHOLAS.

ness and industrial improvement are the visible reasons for the buoyant stock situation. For fifteen months the rise Tn stock prices has been going steadily on, and now with ante panic quotations re- stored the outlook is as strongly for Further gain as 1t has been at any stage of the remarkable boom. It would seem that reaction or setback is long over due, yet those who have been playing the market for reactions are sadder, wiser and poorer for their experienced
 If there Is any prospect of variation in the programme the signs are not dis cernible to the naked eye. Railroad earn 1ngs, while not up to high mark are in every way satisfactory and the record continues to show splendid efficiency in operation and management. The sloppy methods that were too general before the panic have given place to closer and bet ter work. There is small probability of A return to the old wasteful ways. Money will be spent on railroads, most likely, on more generous scale than ever before, but it will go into the property with en- larged and frightened knowledge of how and where 1t should be put to do the most good
 It will not be burned LID or thrown away. In no direction is this more evil dent than in the comprehensive plans for high class betterment and new high class equipment. The dominant policy in rail- road management these days is a deter imitation to buy only the best-to build Tor permanency and endurance. For thls the world owes much to the genius and examples of E. H. Hartman and the late MT. Cassett The great systems to which these two giants of railroad con- struction devoted their lives stand today as the models for every other manage n, t to work to. This is admitted hv practically everybody, even by those whose Judgment was often against the stupendous wfde-open expansion for which both men stood
 by common consent the crops will take rank from now on as the most important factor in the stock market Official re- ports' government and state, confirm the most glowing private information in this respect. With the exception of cotton the prospect cannot well be better. al- though there is still time for the '.killers'' to stir up trouble before harvest The crop skies are very clear at the moment and the stock markets reflect unshaken confidence in the future
 Already some people are worrying for Tear there will not be cars enough to go around next fall For wonder little Is heard on the time-honored theme of potnersome drafts on eastern banks for crop moving and for once 1t looks as though 1t might be true that the west would have enough money at home to take care of the agricultural output without drawing largely on its reserves in the east. The west is carving unus- nallV large ha1anpoo In, If 1t should be needed 1t can be spared.
 There is going to be plenty of reason- ably cheap money the last half of the year, and most likely well into 1910 Upon that point there is substantial agreement among banking authorities The de- mands upon capital for the development of natural resources and for legitimate and inevitable business expansion will tend to raise interest rates later on, but the supply has not as yet been cut into enough to be felt.
 Meantime there is more money at tho command of Wall street than can possi- ply be used in the stock market-a sit uation that promises to continue at least through the summer.
 In pressing to final knock-down finish the appeal from the decision of Steel Cor poration shares to the Paris bourse, J. P. Morgan and his associates have empha- sized tactical mistake that is likely to pIeJuuiCe AIutTlcdH securities Tn Eranc0 for long time to come
 The premature, or as 1t now turns out to be. the unwarranted announcement of the liAing of the stock, was followed by goose-like squawking in jubilation over the discovery. and uncovering of big pot of "soft' money-for so the reser- volred savings of the thrifty French peo- pie are regarded by the manufacturers and salesmen of securities. Promoters ditto.
 Now it so happens that for 100 years or more the French have been buyers of securities of home and foreign produc- tion. They look upon themselves as ex- perienced Judges of the merits of the quality of the merchandise they dabble in.
 Time and again they have been "stung" and as often they have bought wisely. They are graduates in the school of ex- perience and have certain pride in their position and skill buyers.
 To have 1t squalled and yawped into them that they. have been pulled on," as it were, by bunch of barbarian Yankees" hurt their vanity and pride and they baked. The play looked raw to them. Persuasion they might stand for, but violence never-not while awake and in possession of sense and power of .resistence. If there is anything the French, especially the Parisian French, will not subscribe to, 1t is coarse work
 Hence it is that the legitimate intro- duction of American securities into France has been set back harShly and unnecessarily. And, mind you, without regard to the merits of the goods. As a matter of fact, our Steel stocks are about the best things offered the French in- vestors in many years. It was the raw way the proposition was put up to them and the refusal or inability of the Amer ican exploiters to recognize the virtue of compliance with the established rules of the game as the Parisian financiers play 1t.
 The consolidation of the big independent iron and steel companies into one grand combine, will turn loose another batch of millionaires and multi-mllionaires. None will rank with the Carnegies or Tricks or Phipps, but they will press hard upon the records of the others sec- ond only in importance to those men, tioned. Price McKinnie of Cleveland will probably lead the newest list of 'big rich" McKinne Is little man, not much above feet high.
 Fifteen years ago he had no rating worth speaking. of. If he puts the prop critics of Corrigan and McKinnie into the combine 1t will be on a basis of not less than $500 900. and he is the whole shoot ing match, Samuel Mather, also of Cleve- land, will press McKinnie closely in point of fortune. He is Cleveland's lead ing citizen. Mather and "-le late Sec retary John Hay married sisters. the two daughters of Amasa Stone, in his day the richest vessel owner, iron master and coal miner of northern Ohio. Mather is high-class in every respect and his social rank is as high in the capitals of Europe