The Richmond palladium and sun-telegram. [volume] (Richmond, Ind.) 1907-1939, 1911-05-29

the best of previous years. The plant
ing conditions for spring wheat have
been excellent, and it is estimated
that there has been an increase in
acreage of 10 per cent. The monthly
report of the Department of Agricul-
ture. which will be issued early next
month, can hardly fail to prove salts
factory in this connection.
There is always a degree of season
able uncertainty at this period, and it
is hardly probable that the current
season will prove an exception. This
means in view of the sharp rise that
has taken place in the general stock
market price level, that the immediate
future is likely to be a favorable one
for traders, furnishing numerous OPP
portunities for securing quick profits
by operators who are satisfied with
moderate returns instead Of waiting
for large profits.
The price cutting that has been SO
spectacularly begun in steel bars and
other steel products is a development
whose intrinsic value as a stock mar
ket influence 1t is difficult to prompt
ly appraise. The spectacular and
open part of the cutting was begun
by the Republic Iron e. Cteei company.
which is one of the largest competi-
tors of the United States Steel corpo-
ration, and which is credited with be-
ing largely dominated by interests who
in the past. have operated in the stock
market In a highly sensational way
The mills of the steel corporation
promptly met the cut of their COM
petitor, and thus, SO far as steel bars
are concerned the policy of agreed
prices has been abandoned The eX-
PLANTATION offered on behalf of the Re-
public Iron & Steel company is that
| it has not been receiving its fair share
of business because of the cutting OF
prices by it's own smaller competitors.
The market for steel products at the
moment. therefore, seems to be an
open one, and the developments OF
the next few days will probably indi-
cate the degree of seriousness that this
arrangement in the iron AMI steel in
dustry should be accorded. The cur
rent break in the price agreement is
result that frequently accompanies
such agreements. When the demand
| for the products of the mills is active
there is no necessity to reduce prices
as an inducement to secure business;
when it is a question, however, of the
mills securing orders or shutting down
and thus impairing their organizations
have almost uncomfortable induce
ment to use every agency in their pow
err to keep running. Their most ef-
fective agency is that of selling equal
goods at cheaper prices than their
competitors The larger concerns
stand the uneven competition as long
as possible with the hope Of holding
out until improvement sets in. Then
they jump in and name prices suffi-
! their previous dominating share of the
business. The current iron and steel
! situation is therefore merely repeat
ing previous experiences.
! The investigation by the Committee
of the House of Representatives into
the affairs and methods of the Steel
corporation is not unlikely to become
the source of some unsettlement
among holders of Steel company Sc
curities. l understand that the COM
mittee will practically direct its in
vestigation into the acquisition of the
Tennessee Coai & Iron company during
the financial upheaval of 1910. This
act, while one of the financial neces-
stiles of the times, is by some consid-
cred one of the most vulnerable fea-
lures of the Steel Corporations other
wise strong organization.
| AS already noted, the outlook for
the immediate future suggests favor
able market for traders, market of