Evening star. [volume] (Washington, D.C.) 1854-1972, 1910-09-18

| more cars, no more rails and no more
anything than they can help. The effect
| of this Is directly apparent in the iron
and steel trade and allied industries. The
| railroad-equipment companies are doing
next to nothing, and the United States
Steel Corporation is running on 81 per
cent of capacity. the very lowest point
reached In several years.
In truth, the iron and steel mills are
doing less business in proportion to ca
pacity than they were during the extreme
depression of 1903 and 1904. This statement
may not be literally true as applied to
every individual concern for some of the
closely managed Independent companies
| are doing fairly we'll under the circum-
| stances. Where this is the case the good
luck is due to local conditions or to SUI
perior managerial ability.
In some lines Of merchandising the
| usual seasonable activity is reported, but
the. rule Is restriction in the volume Of
business. Commercial agencies and banks
bear substantial testimony to the accu-
racy of this statement.
Don't Expect Higher Prices.
Taking all kinds of conditions into ac-
count conservatives in the stock market
say they do not feel encouraged to look
for higher security prices or any perma-
nent increasing speculation or investment.
On the contrary, they do not hesitate to
say that the current range Of prices rep
resents at least the full value of the
goods, and that they look for declining
prices instead of higher AS rule it Is
safe to go on the theory that market
prices on any given day or hour or
week are a correct general appraisal of
actual values at such time. Because
there has been a protracted decline in
prices is no valid or convincing reason
probation.
To such an extent does this feeling
prevail that many important and far
seeing people are shaping their opera
lions In the expectation OF general
scaling down in the dividends Of the
and Ohio. Atchison. st. Paul and the
Hill roads have been singled out as those
likely to take the lead in this matter.
Farm Mortgages Popular.
A recent development OF broad applica-
ton is the increasing interest which in
surance companies and other combina-
tons in control of large private capital
are taking in western and southern farm
mortgages. For many years this class
Of investment was In disfavor in the east.
but now that the field for safe invest
ment of accommodations Of public capital
along recognized lines has narrowed
there Is a growing tendency to go back
to the farm.
The remarkable success OF the Union
Central Of Cincinnati. which has special
lied in farm mortgages for at least forty
years is being held up as an example to
eastern institutions and combinations
The increasing ow Of this kind OF money
into tho west and south for investment
in farm mortgages promises to have an
important bearing on those sections. In
the first place 1t may give the relief
which the banks seem to be In need or
and to help generally In the development
of natural resources throughout large
areas.
The prediction made by President For
gan of the First National Bank of Chi
cago that there would be a glut OF money
after the crop-moving season Is over is
food for earnest thought in Wall street.
Mr.. Forgan is recognized as the leading
banker Of the west, and his views carry
weight. If his prediction turns out to
be true, and the banks become again
overloaded with surplus funds. 1t will be
because Of hard times in the business
world When business is jumping and
the country is experiencing prosperity
banks never complain of having too much
money.
Western Railroad Deal.
The purchase Of $4,000 shares Of Rock
Island preferred stock by the great copper
mining and railroad owning firm of
Phelps. Dodge Co. is looked upon as a
deyeIonmf of considerab BILE inheritance