Bismarck daily tribune. [volume] (Bismarck, Dakota [N.D.]) 1881-1916, 1912-05-28
POLITICS ARE
NOT effective
Most Favorable Element in
Situation Is the Present
Crop Outlook
Corn Has a Good Chance
and Money Outlook is for
Continued Case
Bv Henry CIeWs

BY Henry c'ews
NEW YORK, May 2S-The higaly
confused political situation can hard
w be classed as bull argument up
on stocks. Nevertheless, the stock
market has shown remarkable in
difference to the vicissitudes OF an
exciting political campaign. Forum
ately business sentiment is becom
ing more calious to SUCH influences,
although it cannot be expected to
maintain such Indifference at all times
There is still another five months OF
political discussion to be endured,
consequently the market is liable to
shocks from this quarter for some
time to come. The critical period
will have to be faced next month
when the conventions are held.
Crop Outlook Favorablet
The most favorable element in the
situation is the crop outlook, although
the season still is two or three weeks
backward, there has been decided
improvement in conditions during the
past two weeks. The outlook Tor
grain is much better, large hay crop
in prospect and in many sections OF
the country the outlook for fruit Is
for the largest yield in several years.
There is also a good chance for corn.
in spite OF the lateness Of the season.
In various states It is evident that
the farmers are going to plant as
large an acreage as possible in order
to reap the advantage Of present high
profitable prices.
Can Look for Another Good Year
With fair average weather during
the balance of the season the farm.
ers of the west are justified in look
ing forward to another prosperous
year. AS a rule late spring means
a late fall, but wet spring is apt
to give plant life vigorous start
and a constitution better able to stand
adverse conditions during summer.
The cotton crop is exceedingly late
and it is still too early to form any
positive idea as to this years acre
age, although the general opinion in
crop position as a whole there Is
clines toward decrease. In the
therefore no reason for discourage
ment and in many respects the out
look is much better than anticipated
a fortnight ago. Another encourag-
ing feature often overlooked is the
satisfactory state OF our foreign trade
the results of which for the current
fiscal year promise to surpass all
records both in exports and imports.
Money Market at Ease.
The outlook for the money market
is for continued ease until crop de-
mands assert themselves. The de-
mand for money from mercantile
sources has hardly equalled expect
atoms. The demand for stock mark
ct purposes has also been limited
Our bank reserves are somewhat re-
duced, but could quickly be replen-
ished by drawing upon our resources
abroad. Our credit balances on the
other side are ample, and there 1s
every reason for confidence in the
local monetary situation. Germany
has again been obliged to borrow in
New York, partly owing to the un-
willingness of France to renew such
loans. Germany is just now pass
ing through somewhat serious I'm
ancial strain, owing to excessive spec
ulation during the last few years, and
the outcome of this situation will be
watched with increasing interest
The Reichsbank continues to keep
up it's discount rate, evidentlywith
the idea Of preventing over-expansion
of credit as we'll as for the purpose
of strengthening the financial stu
alton generally in Germany. There
is another part of the world where
similar conditions exist. Canada has
enjoyed a grand 'boom" for several
years particularly in her railroad and
agricultural development. There are
signs of this movement having been
carried to excess. Fortunately this
has been recognized by the best finan-
cial leaders in Canada, and sharp re-
straint is now being imposed upon ILL
considered ventures Nevertheless,
the strain there has been cOns derable
and good Judge saTe anticipating the
approaching exhaustion of the present
boom.
Irregular Stock Market
In stocks the outlook is for a some
what irregular market. Speculative
operations are still apparently in
strong hands. Those who led the re-
cent upward movement have not yet
succeeded in distributing their surplus
holdings. This probably explains in
part the stubbron refusal OF the mar
ket to react upon unfavor'able news
Intrinsic conditions, however, are gen.
orally sound. Railroads are reporting
better earnings and labor troubles ap-