Atlanta Georgian., 1912-06-06
WALL STREET IS
MIGHTY TICKLE
Optimistic One Day, It's Down
in the Valley of PessimiSm
the Next.
ey 3. c. FORBES.


you can have not the faintest idea of
how important every little fuctuation in
the stock market is-to those on the
spot If you live hundred or thou
sand miles away. you realize that the sun
does not rise and set in the New York
stock exchange.
Wall Street has been enjoying itself
this spring. Its hopes and it's quotations
have scared. This too. in spite of much
turmoil and not a few concrete discour-
agements.
But on Friday of last week prices tum
bled Some stocks went down at the
rate of dollar an hour during the great
er part Of the day. And mercurial Wall
Street suddenly lost its buoyancy. The
heavens were surely going to fall.
Now, a calm study of the things that
go to create genuine prosperity does not
justify this Transformation in sentiment.
If conditions justified high prices for
stocks a week ago or a fortnight ago,
they should not cause break now.
Agriculture. trade. the money market
and the weather are all doing very nice
ly, while politics are today no worse than
they were-a beautifully indefinite state
ment admittedly.
Why, then. the severe relapse in stocks -
After careful investigation in the right
quarters, here is the explanation OBJ
tanned:
Margin Traders Attacked.
The upward movement in stocks
has not had general support from the
strongest interests. The greatest
gains have been made in low priced
specialGes. Many margin traders
have been attracted Success en-
boldened them to wade in deeper.
raid by operators not committed to
the boomlet frightened weak holders,
and they scurried from the scene at
any cost.
Rumors of financial difficulties of the
possible embarrassment of individuals or
firms or Institutions were not counte
nanced in responsible circles From an
inside" source this assurance was OBJ
tanned: Banking trouble is out of the
question. Monetary conditions are sound
The fluctuations in stocks are being taken
too seriously. They do not represent the
very important developments sometimes
ascribed'
SO, if; YOU read that the stock market
Is getting excited do not conclude that
anything terrible has happened
The truth is that many fnancers of
keen judgment have not been in any way
responsible for the spring advance in
stocks. These authorities have simply
stood pat Others however, especially
one or two speculative coteries. have gone
ahead enthusiastcally, ignoring unfavor-
able happenings. or. when that was i'm
possible belittling them.
Elements For a Big Scare.
To some extent Wall Street has been
whisting to keep its courage up quite
probably the whistling will stop and
some sound less cheerful will take its
place before November 4 A political
scare in the stock market is one Of the
usual accompanments of a presidential
campaign And certainly there are not
lacking on this occasion elements for a
full blooded old fashioned outburst
A queer incident has happened. one
of America ablest International bank
ers, power in the railroad world and a
man of wide influence. has completely
turned his political coat. He used to be
q fervid opponent of Mr.. Roosevelt-not
without special reason in his case. Now
he wants to have Mr.. Roosevelt elected
president. Here are his reasons:
Mr.. Roosevelt is the only man In
the United States able to handle and
guide the revolutionary spirit that has
taken possession of the country. Elect
conservative president and the
'have nots" would before long get be-
yond orderly control The experiences
Of Great Britain Is warning to
America. The people must receive
greater consideration. more generous
treatment than In the past. II they
do not get II. they are likely, sooner
or later, to rise up and try to take it.
Roosevelt can piacate them better
than any other American,
oh. yes, capitalists are not living in a
fools paradise. They are not without
serious thoughts these days. They are
rot oblivious to the world-trend toward
fuller democracy Some of them-un-
fortunately quite a number of them-still
want to kick against the pricks. to defy
the tendencies of the age, to act with
an iron hand and an unsympat thetic
heart But eyes are being gradually
opened The stern facts are coming to
be realized What is TO be done about
it," is the question much pondered by
men of large affairs.
Each Triumph New Nail.
So. therefore. the financial world is not
as Indifferent to current political events
as surface indicati would lead the
a public to believe Each triumph of Mr..
Roosevelt is pictured a new nail ham
hered into the coffin of conservatism
Capital does not like it-of that have no
doubt But capital. like the rest of us,
must strive to make a virtue of necessity.
Whatever can not be cured must he en-
dured. We must neebS dpdpt uui serves
to circumstances
With this in mind does not the incl
dent here related take on very deep sig
nifcance?
In ether directions progress can be
noted The weather has been distinctly
more helpful to the growing crops, 1t has
revived courage both South and West it
has stimulated retail trade, encouraged
building operations and had sentiment
al influence all over. The steel boom has
filed up the mills with orders, but at
low prices so that profits may continue
small for the greater part Of the year
Copper continues to rise: unless this
movement is kept within bounds CON
sumption viii be injured and fresh trou-
hles may accrue.
Investment is slow This single fact
suggests that financial leaders are acting
cautiously pending more definite ideas
as to how agriculture and politics are to
turn out