Honolulu star-bulletin. [volume] (Honolulu [Oahu, Hawaii]) 1912-2010, 1913-09-12
VACATIONS MAKE
STOCK EXCHANGE
SEASON QUIET
IBy Latest MailI

NATURALLY teSSeneQ 2cIlYity on he
stock exchange Vacations. however
are nearly over. and the rcsern OF
many bHoyant absentees is likely to
stiffen the spirit of hopefuiness now
developing after almost year Of de-
preston The main hindrance to fur
+ ther stock market recovery has been
the Mexican problem. Perhaps this
affair is taken rather more seriously
than deserves, for war with Mexico.
even were it probable, would not be
very serious matter to the United
States, and happily there Is little q
no chance whatever of such a mis-
fortune. President Wilson and con-
gress are in close accord for preserve
/ ing peace. Nevertheless, security
markets are peculiarly sensitive to
troubles of this character, owing to
their speculative possibilities. For
some time to come, at least until az
ter the new election, Maxican affairs
will necessarily be unsettled, and
hence factor of uneasiness here. es-
pecially in view of large American
investments In that country. 1t would
seem, however, as If the injurious eff
feet of this controversy had been
fully discounted in the New York
market. The full effects of Presi-
dent Wilson's soothing but firm Mex
lean message have. yet to be seen.
Reports of further damage to cot
ton and corn had a decidedly damp
ening effect upon bullish ardor. 1t is
evident that considerable damage has
been done to these two important
crops, and that the next government
report on cotton and other important
products fill be an unfavorable one,
even allowing for the fact that Aug
ust is almost always a month Of agri-
ceulltural deterioration. Our leading
crops not infrequently show a loss of
s to points in this, period. and the
drop In cotton in August will exceed
the average, estimates ranging s to
10 points. The effect of these losses
may have exerted its full influence
upon both cotton and corn markets,
and is now causing a setback to
trade in the affected districts;
though the states as whole viii not
suffer seriously because of good
crops and offsets in other directions.
Taking crop injuries at their worst.
no calamity has occurred, but only a
disappointment in early hopes, which
win have to be taken into considerar
tien in estimating future operations.
Two effects will be. to bring better
prices for these staples to growers
in other sections and to lessen the
demand for money to, move crops in
the injured districts; also a smaller
traffic for the railroads.
July exports amounted to $3.50. $780,
900, or $1f ,700, 00H more than q year
ago; the increase being mainly in.
grain and manufactures. Imports,
however, were only s139, 100000, So
1000 more than a year ago. This
left an excess OF exports for the
month OF over $4,000, 900, compared
with only 100000 last year and So
00O,000 in 1911. Here is very sat
isfactory addition to our credit abroad.
Some interesting developments may
be expected in our foreign markets
during the 'next. few months. Exports
should expand because of our bumper
wheat crop. OF course, there is
steady contraction in meat and miner
al oil shipments owing to growing de-
mand and scarcity at home, but this
promises to be offset by our steady
growth of exports of manufactures,
particularly Of steel products. The
most important influence in our for
eign trade. however, for the next few
months, will be the tariff, the reduc-
ton of which will tend to at least
temporarily encourage imports. Quite
possibly these will not be as large
as expected, as the amount Of goods
in bond is now unusually heavy. On
the other hand, our manufacturers
have been theoretically adjusting
themselves to the new condition, so
much so, In fact, that foreign manu-
facturers show little enthusiasm over
our tariff changes, and do not expect
to grain any permanent foothold for
their wares inAthis market. On the
contrary, many of them, as they see
our manufacturers vigorously adjust
ing themselves to the lower schedules,
fear that before long they will be
obliged to meet a keener American
competition in foreign markets. A
few interests may be injured by ex-
treme cuts, Dut these will be infini- !
tesimal compared with those affected
by the stimulus to trade which will
follow and which will crafty many
thus far not heard from American
skill and enterprise will surely give
a first class account of itself in the |
long run, and tariff scares may now
as well be eliminated in businesc cal !
cslatiuns of the future.
The financial undertone shows
steady Improvement, although the
week has been quiet one and prices
unsteady. In this, as in all the for-tt
eign markets, monetary improve
ment is steadily progressing. Busi-
ness is consequently improving, and !,
a decidedly better investment: de-
mand is springing up, which is quite
as much in evidence III the foreign
as it has been here. Specu-,
lative operations have. of course, been
by monetary limitations on
both sides of the Atlantic Just now
the markets of the word are unasu-