Bismarck daily tribune. [volume] (Bismarck, Dakota [N.D.]) 1881-1916, 1913-12-23
foreign AFFAIRS
DEPRESS TRADE
.Heavy Balkan Loans Cause
lIafm Throughout French
Banking Circles
sy ,Hsnry c,ews.

new YORK, q 2Z.-CnleI among
the unsettling influences have been
the unsatisfactory financial conditions
abroad and further evidences of de.
pressing political activities at home.
At Paris the situation appeared
somewhat alarming owing to troubles
in French banking circles which have
their origin in too heavy loans on
account of the Balkan war. 1t was hop
ed that these would be satisfactorily
adjusted. but failure to place the big
$500, 1000. 900 French loan and the so.
cialistic complexion Of the French
cabinet appear to have brought on a
fresh crisis. so the monetary situation
1t Paris is described as being in a
state of chaos. The effect Of this con-
lition Will be felt in London, and may
have an indirect influence upon New
York. Fortunately, the bank of
France is in a. strong position, its
stock Of gold being much larger than
3 year ago. The bank of England Is
also exceedingly strong. the proper
1icn OF. reserve reaching the excep-
tionally high figure of SOL per cent,
.oe highest since 1909, when it was
$40 per cent. British consols sold
down 10 Il. gg:IEf, said to be the lowest
price in ninety years. This IS simply
another Illustration of. strained. ron:
ditions in the international capital
markets. The demand for now caDi-
tai continues so insis tent and condi-
sons 50 nnsatisFacts that new issues
ran orly be placed at %exorbitant
rates. An undesirable feature in the
London markets was the weakness in
Canadian issues, of which~Lcndon has
recently had a heavy overdose. For
some time past. the opinion has pre-.
vailed that Canada has been borrow
ing too freely: and the proposed is
sue of $751; 200, 900 Canadian Pacific
notes was not %favorably received, as
reflected in the recent decline in the
shares Of that company, The collapse
in New Haven has also left a bad i'm
preston upon the market; although
the disposition is now to look more
favor ably upon the future OF that
security. The company has a new
and efficient management; its policy
has radically changed, and there is
a welcome disposition on part of the
10 give this immensely valua.
BILE property a fair chance to work out
its own redemption.
Government Ownership 4 Fallaey.
General business Continues quiet.
as is usual in the closing weeks of
the year. This tendeney is aggravat-
ed BY a general lack of confidence,
arising largely from disturbed politi-
cal conditions. Nothing. has done
more to bring on the present state Of
seniiparalysis than the political atti.
tude toward business In general. Be
canse Of the glaring misdeeds Of a
few captains of industry some Of our
political leaders have. jumped to the
foolish conclusion that private man:
agement . corporate enterprise has
failed and that only government man.
agement can succeed. No greater fal-
lacy can be imagined. Nevertheless.
our railroad credit has been seriously
weakened by the attitude OF the in
t~erstate commerce commission, and
the great industries dependent upon
railroad patronage have been serious-
ly crippled BY inability Of the rail
roads to expand their facilities. The
securities Of all express companies
have suffered a tremendous shrink
age through the introduction Of the
parcel post, and now comes a move.
ment for Yhea government to take OYER
the, TELEGRAPH and telephone iihes
which is already beginning to Unset
tie %confidence in those securities. It