The Birmingham age-herald., 1913-08-31
Heroic Leadership Has Not
Been Necessary to Pre-
serve Proper Balance
M'ADOO KNEW WHEN
TO COME ON SCENE
Increased Price for Seats on Exchange
Is Itself Taken as Evidence of
the Improving General
Conditions
by W. C. NICHOLAS

New York, August Special y
Wall street may be leaderless in a
broad sense. but there is deep convic-
ton that. the general stock market
is drawing to a close. This may be an
old story but there Is the novelty of
one solid comfort in sight--better
times are a week nearer than they
We're week ago and they will be still
nearer week hence
BY the end of September a revised
tariff law will be of record and in
little while it will be known definite.
y whether the eRactment will be for
the good or for the bad. Certainty will
have taken the place of doubt. and ths
record of substantial actualties will
snpplant the waving lines of specula-
ton. as to course of near events.
SearehA for heroic leadership IS thus
far fruitless; first because little has
happened TO bring great characters into
the foreground and second, because
there has been placid reception of the
big occurances of the hour. Incidents
that would sometimes cause sensation
al excitement and bring individuals in
TO conspicuous notoriety have passed
along unnoticed Not even the pros
poets of war with Mexico stirred the
IL
fess of discussion of radical changes
In the tariff schedules and of important
variations SUGGESTED by projected cur
rency legislation hardly a thrill. An
improving crop outlook and .bc1tering
industrial conditions had SON slight
bullish effect
Inertia was still the rule although
the stock market grows daily stronger
Such being the prevailing market con-
ditions 1t is only natural that trans
actions on the exchanges should be oil
insignificant volume and price changes
hardly worth chronicling. Traders
waited with stolid impatienco for the
Presidents message on Mexico, and
when it came treated it with seant re-
spect It's import had been foreshad-
owed and the formal publication was
of no immediate influence market
wise. 1t was felt in advance mat the
document would be pacific in tone, ana
such proved to be the case. though
there lurlSed on the background 4
warning that the Washington govern
ment reserved the right to step in and
enforce order. should such move be-
come necessary. Apparently the mar
ket will have to do some more wait
ing, preliminary to fresh start.
Increase in Exchange Seats
During the recent period of broad
spread liquidation, the banks were un-
sparins in forcing collections Of loans
and as many stock exchange seats We're
up as collateral. the pinch in that
quarter was especially severe. At the
very moment of greatest depression,
when debtors had to resort to tho last
desperate means to raise blood money,
Secretary McAdoo came to the rescue
with his reminder that the United
States treasury had an emergency re-
serve of $500, 100000 for just such oc-
fcfa Of
had been overlooked. the bankers be-
ing notably forgetful They We're
mad clear through at what they con-
strued to be the unpardonably bad
break Of a financial amateur.
The McAdoo announcement however.
put stop to what threatened to de-
yelop into a rHnious panic by compari-
son with which the catastrophe of 1907
would have looked small indeed The
lightning like changes in business sem
tnlent was a welcome revelation to the
public. and eye opener to fact that a
man of alert courage and determine
tion was in the saddle of the federal
treasury and in a position to recognize
a real emergency on sight and perform
his duty for Its SUPPRESSION. There was
not a Morgan In sight to do the Ma
poleon act. but the events of the las,
Slew weeks have gone far 10 prove
that the loss of that type of leadership
& Is not necessarily fatal to tha street.
The financial status has not been
healthier in years--more free from the
menace of the terror-inspiring rule of
an abnormal personality The expert
ence through which Wall street has
been passing is educational and en-
tightening in the highest sense
Steel Mad sturdily held the place of
back bone" Price fluctuations have
been narrow and recoveries FROM minor
reactions would be classed trivial in
most markets. Strength of undertone
has been the ruling characteristic of
Steel and the same Is true of Reading.
Every time the general market devel-