New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1914-04-06
FINANCIAL YEAR
NEAR THE TURN
Europe, Like the United
States, in Watchful Wait
ing Attitude.

Wldt IL Otten tne turning point VI thS
/ financial year both here and abroad
April has passed, but as yet there have
been no patent indications Of what is TO
follow The April settlements, which so
often bring excitement and disturbed
money markets I'm Europe. went through
with a minimum of friction. Even Ber-
lin. usually the storm centre, was COM
paratively quiet.
All this is in strong contrast with last
year. Then Germany and France were
fevershly hurrying to increase their arm
aments. The Balkan war was not yet
over. and so widespread were the fears
that war. so far as greater Europe was
concerned, was only Just beginning that
as late as April the German Chancellor,
Won Bethmann- Hollweg, found II neces-
sary to say TO the Reichstag: "A Euro
pean confagration will, in all probability,
not occur; but If outside forces should
threaten us, Germany must be ready with
her last man."
Germany was suffering" as one inter
national banker said, from greet com
mercial prosperity but that did not pre-
vent alarm i'm the international money
centres over an industrial development so
rapid as 10 be considered top-heavy. Ber-
lin bankers were not only borrowing
money in New York, but Germany had
actually taken from here 81 $4,000 in gold.
Even France notwithstanding the tense
political situation, was helping her rival
TO finance the quarters requirements, and
England. too, was sending gold to Berlin.
All the European discount rates were
tempest high, and rumors of an impend-
ing financial catastrophe were insistent.
In year there has come about great
change. From condition OF great IN
dustrial activity Germany has deemed
into a dulness, financial and commercial
hardly different from that in which the
United States now finds herself. German
bankers have borrowed some money here,
but only in small amounts. Money rates
in Berlin are so easy that the highest
figure discounts reached last week was
only 2 per cent. against the "a. per cent
OF a year ago.
Az Paris discount rates rose no higher
last week than 29s per cent, compared
with the 4, an extremely high figure Tor
I
longer any excitement there about posi-
Bile war and the troubles OF rev weeks
ago over commitments in Mexico ana
brazilian securities have largely suoslded'
Taxation plans have put brake upon IN
dustry. radicalism going so far as 10 tax
rentes and TO put additional taxes on Tor
eien loan fotations. Financial Paris IS
not happy, but It's worries nave theU
roots entirely In the encouragement or
investors.
London. too. is having its troubles with
government problems. though the worst
NJ them are said 10 be over The Ulster
crisis has become less acute and the UNI
expectedly large returns from the income
tax have removed the fear of supertax.
Business is nearly stagnant and notwith-
standing the large amount OF investment
capital available new fotations OF securi-
ties are as often failures as successes.
The end Of the governments fiscal year.
however. was on March 81, and the collec-
ton of taxes, which always makes dis
turbance I'm March, is now over. Already
tho Rank OF Englands statements reflect
the governments expenditures in the new
year.
Conditions abroad, as seen from this
country by many Observers show no.
where. except, perhaps. in Paris, situa-
ton at all critical There the frequent
shifts in the policies OF ministers. with
respect to taxation, have upset the in
vestment market at n time when immense
offerings Of new securities for the Bal
kan states and for France Itself are either
impending or In process of distribution.
Germany and England are in strong
financial position like the United States.
and are only waiting for a quickening o.
general industry and cessation OF polit-
zeal agitation TO naugurate what is
hoped will be new era OF prosperity.
AZ in the United States. so In Europe,
the nominal turning point OF the year has
arrived. but the actual turning point Is
still below the horizon.