Bismarck daily tribune. [volume] (Bismarck, Dakota [N.D.]) 1881-1916, 1913-04-22
Situation as Viewed
From Wall Street

expected until crop demands begin.
The banks are just now scrutinizing
loans with more care than usual. and
the immediate tendency Is toward
contraction. Although collections
are slow, there are no indications
of any serious trade reaction-noth.
ing more than a general slowing
down. The most important factor in
the money market is the pressing
demand for new capital. Ii is often
asserted that the national extrava'
gance Of the last few years has ma.
terially lessened the sums available
for new investments. This Is prob
ably true. but it should be remem-
bered that general business has been
very profitable, dividends have been
we'll sustained, or increased, and tho
growth of industry has materially IN
creased the national income and say
ings. So that it is doubtful If thet"
is any real scarcity in the supply
Of capital, and it is chiefly the in
sistency Of new demands which en-
aDles its owner to command such
high rates.
Aside from the pressure present
and prospective of new issues and the
temporary slackening trade. there IS
nothing to depress the stock market.
While the tariff may impose some
restraint and unsettlement to certain
lines of industry, its effect has been
pretty thoroughly discounted in the
stock market. Imports will be tem-
porarily checked, to be followed with
a rush when the new rates are; set
tied. General trade is less active,
but the slowing down is not greater
than might be expected or even de-
sired after the present high rate OF
activity. Our foreign trade is also
declining. March exports were $751;
00O, 900 below last year, chiefly ow-
ing to the fall in cotton shipments.
Imports were $4,000, 900 below last
year. Bank clearings and railroad
earnings are also making less favor
able comparisons. The most encour-
aging feature at this time is the crop
outlook. The condition of winter
wheat is already known to be excel
lent, and much ahead of a year ago..
conditions Of soil, rainfall, ETC., are
also exceedingly satisfactory through
out almost the entire country.
Should the country be favored with
another season Of large crops, it will
more than offset all the present dis
advantages. The political situation
at the moment seems to be taking
on less disturbing features The
new administration, while inevitably
exposed to criticism, is upon the
whole making commendable progress.
The tariff contest is sure to be a hot
one from the very nature of the con.
troversy, but the country is already
convinced that many of the protests
as to the injury Of revision are much
exaggerated. The future of the mar
ket depends very largely upon the
course Of money, and this in turn de.
ponds chiefly upon the pressure for
new capital and much discretion will
have to be exercised in the placins
of these demands upon the market.
Easier rates would probably mean
a more active and higher stock mar
ket. Continued high rates might
mean further depressions, but it
should not be overlooked that there
is an immense reserve of free CAPT.
tai in Europe which at a price will
surely seek employment in American
enterprises with increasing freedom.
HENRY CLEWS.