New-York tribune., 1913-07-21
REVIEW AND DIGEST
Stock Market Improves and
Outlook Better.
FACTORS OF THE WEEK
Foreign Trade Figures Break
Record-Effect of Proposed
Cotton Tax on Exchanges.

one Of the events of the week which prom
ised serious disaster II not avoided was the
railroad strike of the conductors anu
trainmen on the Eastern railroads. The
issue involved so much, not only TO the
railroads and the employees but TO the
nublic. presenting as it did prospect OF
loss to property with deprivation anu
possible loss of life of innocent citizens
in cities who are dependent on the trans
portation Of daily supplies OF food prod
ucts. that Immediate action was begun
IN hiring about a peaceful settlement or
the affair by the President of the united
states BY this prompt action on the
mart OF the Washington administration
an agreement was soon reached, which
resulted i'm the passage of the Newlands
amendment TO the Erdman act The ef-
feet of this rapid fire legislation, rising
TO meet the emergency, was sumulatnB
TO the stock market, particularly rail-
road securities, and prices enjoyed re-
covery which continued practically
through the remainder of the week.
Assistance also was rendered by an
Improvement shown abroad on the for
eign bourses, due 10 the reported near
ing the end Of Balkan hostilities.
Events OF the week included news OF
an acute situation I'm Mexico, where
things have been going from bad TO
worse ever since the assassination OF
Madero and the assumption of power by
the Huerta regime. The vast interests
of the United States in Mexico through
citizens of this country who nave maze
investments there, now estimated TO be
equal to more than one-third or the ag-
gregate wealth of that republic. make II
imperative that the disorder there shaIl
cease. Not only must American inter
ests be considered but the interests OF
foreign countries as well. as Great Brit
ain. France and Germany are heavily IN
terested there. and, pursuant to the
precedent established by the policy OF
the Monroe Doctrine, foreign countries
look to the United States to check the
near-anarchy now existing and afford pro-
lection 20 their subjects and their hold
ings TO the point Of forced invasion.
This issue presents a problem TO TINS
government difficult to solve without in
volving resort TO American arms and
money. with the result so obscure that
no one may safely venture an estimate
of the aggregate sacrifice.
The currency question as embraced IN
the administrations proposed banking
and currency bill. according TO the news
of the week sent out from Washington.
seemed 10 nave encountered greater op-
position than previously among the bank
ers of the interior to several features
which have been under discussion, and
although an amendment affecting the re-
tirement of the . per cents was favor
ably reported the outlook at the close
of the week was that further amend
ments would be necessary before the bill
would be given the Endorsement OF both
the city and country banking interests
OF the United States.
The official report OF the Department
Of Commerce showing the trade compar-
ison of exports Of certain important aru-
cles this year with those Of a decade
earlier in 1903 is interesting.
The exports thus far for 1913. according
TO the latest figures Of the Bureau Of For
eign and Domestic Commerce, Depart
ment Of Commerce. are approximately
y, ,fJU, U,VbpFlt against Slto'@N''vtVFJ III A'''t
having thus nearly doubled in the de-
cade but the details show that the
growth in manufactured articles has
has been much greater than that in
foodstuffs and considerably greater than
in raw materials.
Foodstuffs as a whole show exports in
1913 almost identical with those OF 1893
approximately S5lOC0Q,OO0 in each Of the
years named, and this equality in values
indicates a reduction IN quantity. In view
Of the advance in prices meantime.
Manufacturers materials show a growth
from H09 10000 in 1903 to approximately
$40 10000 in 1918. Manufactures show a
much larger growth. having been, In
1903 $46s 10000 and In 1918 approximately
81, 200. 900 900. In the above figures food
stuffs in the manufactured state are in
cluded in the general group OF food
stuffs," and are not included in the gen
eral group OF manufactures"
1T is in the detailed consideration OF the
exports that the contrast with condi-
tons a decade ago is more striking
Fresh beef exports. for example. have
fallen from 255.0O0OO0 pounds Ia 1903 TO
Z, 900 90 in 19l3 beef cattle, from $50 O0O, 900
value in 1903 TO 100000 in 1913. and
canned beef, from 100000 pounds in
1903 10 100000 in 1913 Exports of pork
products show a much less fall than
those Of beef, though the total value Of
all meat products except cattle has
fallen from $l76.OOOOOO IN 1903 10 about
$50 10000 in 1913.
An issue that has called forth protests
from the Southern planters and exchanges
is section Of the Underwood tariff bill,
which places a tax on cotton futures and
threatens the business Of buying and sell
ing cotton for future delivery. The tax
proposed is al the rate Of $50 per 100 bales
the customary contract unit, and every
contract specifying the future delivery Of
cotton will have TO bear that tax IL the
bill becomes law.
II must be recognized that in the ex-
port Of American cotton lies the greatest
single resource for maintaining our for
eign balance Of trade. Exporters Of cot
ton must be protected by hedges under
the conditions as they exist to-day. and
unless the exporter keeps his commit
ments "hedged' he is considered mere
specuator, and until some new method Of
price movements is developed his credit
will be affected and he will be under
suspicion. If the tariff bill rider becomes
a law the cotton merchants OF the United
States and the cotton manufacturers must