The Richmond palladium and sun-telegram. [volume] (Richmond, Ind.) 1907-1939, 1911-04-17
A BUSINESS REVIEW OF THE
PAST WEEK BY HENRY CLEWS

order of the day, and the average man
is either spending less on food and
clothing or else making his money 20
further by substituting cheaper mate
rails. This is unquestionably having
a distinct though silent effect upon
many lines of business
Another cause for reaction is the
cessation in new enterprises brought
about by the OVERRIDING which culmin-
ated in 1909 and 1910. Doubtless this
has been acCentuated by uncertainty
attending court decisions and tariff
legislation, as we'll as by adverse rail
road developments: but had these fac
tors not intruded it is unquestionable
that there would still have been a
very considera bic degree of hesitation
owing to inevitable reactionary ten
denotes. In the steel trade the out
look is not as bright as Il month ago.
! Railroads are economiZing. something
they are we'll able to do because of
their present excellent physical con
dition. The refusal of the interstate
commerce commission 10 grant the
railroads permission to raise their
rates is being met in practical ia sh-
| ion: economies are being introduced
wherever possible. and the railroads
before carrying projected improve
| ments any further are calculating on
buying cheaper iron and steel The
copper situation is another illustra-
ton of an important industry which
/ is suffering from purely artificial con
! ditions. Production has been unduly
stimulated by persistent mainten.
ance of high prices, the result being
Il tremendous oversupply. Probaly no
cure for the situation cal be found eN-
cept by lowering prices and thus slim
ulating consumption policy which
producers at present are unwisely OPP
posing.
I In the west very conservative bus
| mess spirit prevails; the wave of de
preston which began on the seaboard
| is now working its way slowly but
surely towards the Pacific coast where
in due time 1t will completely disap,
pear. SO far as the business outlook
as a whole is concerned there is moth
ing to cause anxiety. 1t is doubtful ii
reimbursement is yet completed, and We
may look forward to a period of more
or less quiet Business is really TAX
ing the rest cure. treatment never
quite acceptable to the active Ameri
can spirit.
i We see no reason for withdra wing
the hopeful views recently presented
in these advices. Wall street has dis
counted all current reverses. 1t may
not be Immediately prepared for a
fresh forward movement, although the
situation is certainly favorable for q
new start when conditions are ripe
| Easy money and good crop prospects
are certain ere long to promote re
newed activity within the precincts OF
the stock exchange. Another very
favorable element is the return of oui
foreign trade to normal conditions and
| the creation of large surplus of ex
ports, thus building up and restoring
our credit abroad and strengthening
our command upon foreign gold. The
situation abroad is favorable, and for
eign investors who are less affected
by current events than ourselves ant
inclined to long distance views arr
taking a more favorable attitude to
ward our investments. At the momen
we advise caution in speculative oper
atoms, for the market might yielt
somewhat to unfavorable develop
ments, although in the long run w
are still confident that a rising marke
will not be indefinitely postponed