The Washington herald., 1911-04-24
WALL STREET NEWS
Pessimism Gains Headway
Among Financiers.
BANKS IMPROVE CONDITION
Delay Causes Torpor-steel Business
Falls-Railroad Orders Reduced.
Crop Outlook Good-weather Pro-
pfttous - Farmers Against Reci-
procity-Senate Majority Doubtful.

new fork, April 23.-There Is no gain
saying the fact that last week pessi-
mistic sentiment int the financial district
made more headway. Conditions there
at least those Of a speculative nature
have so long been In a state of almost
even balance, and the stock market it.
self had become so narrow, that it needed
only a little weight thrown into the
siderably disturb the state Of equilibrium.
This force was provided in the tension
that has arisen in the relations between
this country and Mexico and in the
renewed unsettlement In the affairs of
the Missouri Pacific Railway Company.
These were matters that under ordinary
circumstances would hardly have been
noticed, but in the present instance they
save Wall street something new to think
about and talk about, and afforded an
excuse for some speculative selling of
stocks
On the decline. support was not ex-
tended to the market as freely as it had
been hitherto. and there is no doubt
whatever that some genuine liquidation
took place. The truth Is that Wall
street, or at least speculative Wall street,
aas become discouraged over the long
delay in settling any Of the questions
of financial Importance that have been
pending for such length of time and
over the utter torpor of the stock mar
ket that has been caused thereby.
Just at the moment a good deal Of at
tention is naturally being paid to the
iron and steel trade, and II has to be
admitted that the falling of in business
in this industry which began a couple
Of months ago. or Immediately after
the Interstate Commerce Commission an
nounced its refusal to allow the rail-
road companies higher freight rates.
shows no signs OF being checked.
Steel Orders Cut.
The orders rom the railroad companies,
the steel companies largest customers.
have been reduced, 90 II is said, to about
Z per cent of their normal volume, and
there are no indications that these will
soon enlarge 1t IS inevitable under
these circumstances that discussion
should again be heard as to the neces-
sity of a general cut in steel prices for
the purpose of stimulating business.
Yet whatever pessimism and disheart-
eminent is now exhibited in Wall street
commission houses nothing but optimism
that is OF fundamental sort, is heard
expressed in Wall street banking houses
There attention is still directed to the
improvement OF the financial situation
proper, the favorable consequences OF
national economizing that must in due
time make their appearance, and the
splendid outlook for the seasons crops
The month OF April is that month OF
the year when favorable or unfavorahlt
weather has more to do with making the
crop than at any other period. Last
year at the beginning Of April the condi.
ton OF winter wheat was high, but the
weather through the month was bad, sc
that on May / the crop had suffered a
decided deterioration.
This year, with two-thirds OF Apri
over. the weather has been as propitious
for the growth Of winter wheat as 1t was
disastrous in 1910; and although the
records afford scarcely an exception tc
the rule that the condition of winter
wheat in April is lowered. there is every
reason to expect that the crop this year
has kept up to the high promise with
which the month started out.
Moreover, while talk about the unset
tlement OF business because OF the tar
If agitation still continues, It is be-
coming more and more apparent that II
is going to be exceedingly difficult to
get through Congress now or at any
other time a bill making anything like
a radical reduction in existing tariff
schedules.
Reciprocity in Doubt.
The Canadian reciprocity bill has
passed the House OF Representatives
but 1t Is highly doubtful IL even this
measure can get through the Senate
The farming interests Of the country
are unquestionably opposed to 1t. and as
regards the tariff question as a whole,
the fact Is perfectly plain that the Demo-
cratic party, which is now in semi-con-
troll of Congress, p meeting with the
same objections to tariff reduction
raised by Democrats in different sections
wherever their particular business inter-
ests are affected that the Republican
party did in the tariff revision that II
undertook two years ago.
There is one phase Of this tariff prob
lem that is constant, but to which, some
how, politicians, newspaper editors, ard
others often affect to be blind, and that
is that an instance has yet to be found
where the people in any one section of
the United States are willing to accept
without decided protest a reduction in
the tariff duties on articles that are pro-
duced or manufactured in that particular
section, whatever may he their ostensi-
BILE demand for tariff revision generally.
Just how sincere in reality is the sup
posed popular desire for a general tariff
reduction Is therefore something that