Evening star. [volume] (Washington, D.C.) 1854-1972, 1914-01-18
WALL S7REET'SEyES
ON WASHINGTON
President and Congress Are
Subjects Now for Endless
Debate.
MARKET CONDITIONS
SHOW IMPROVEMENT
Real Money in Satisfying Quantity
Pours Into New York From All
Points Of Compass.
BY w. G. NICHOLAS.

NEW YORK, January II, 1914
Nothing has SO interested Wall street
this week as the discussion of the forth
coming second chapter of President
wilson's regular message to Consress--
that and the probabilities with regard to
the fve-point freight rate decision by the
interstate commerce commission. The
Mexican problem was another lively topic,
and the program of the administration
for miscellaneous legislation subject of
endless debate. On the return of Presi-
dent Wilson in the flesh every avenue Of
quickest communication from Washing
| ton was used to advise the country that
he would put himself in immediate touch
with his counselors on all the live topics
and confer with them to what is now
regarded by most people as primarily
paramount.
AS early as Wednesday afternoon,
around about = o'clock, the financial dis
trict received word variously that the
President had confided to members Of
his cabinet that he was sirens thened In
his determination to work unfaggingly
for the betterment of his fellow-men. He
was even stronger for the good, accord
ing to Washington information, than
when he addressed Congress few brief
| weeks ago, saying that tine business men
should be relieved of all certainties of
law with regard to their enterprises and
Investments.
1T is as important that they should
travel without anxiety. and that they be
set free to prosper, as that private mo-
nopoly should be destroyed. The ways
| of action should be thrown wide open.
| The Presidents devoted followers seem
| to think that the only way he can inn
prove on this exquisite sentiment Is to
elaborate 1t, and precisely and earnest
| Y to clarity every point and import OF his
position and his comprehensive relation
ship with the people.
Stock Markets Response.
AS on the first occasion of this
! broadly patriotic effusion the impress
| sion on Wall street was deep and
| earnest without degree Without
wait the stock market on this occasion
made enthusiastic response. 1t did not
ask for confirmation. Its source
seemed straight and was accepted
| as such. Prices jumped to points
the last half hour and closed at the
| top. The advance was evenly distribut-
| ed, a pleasing demonstration of popu-
| lar confidence.
Market conditions are very generally
| described as Improving and the al
legged upward turning point men,
toned in the last two or three let
tiers from this office has been success
fully passed on definite return to
healthy levels. The partial recovery
| from downward artificial run of
prices of favorite securities Is cited
| IN dazed discussion as proof OF the
| claim that the agencies of depression,
| having served a possibly useful pur-
pose, are appearing to yield ground
| and to be organizing for an orderly
i recognition of business recovery. They
acclaim that they are not reconciled
to the recent weakness of the favor
ties. but some Of them are craftily
| maintaining that the bear campaigns
were merely disciplinary, and having
| served a purpose they now favor re-
| eovery to normally higher quotations.
| The situation is strange in many re-
| cpects. One queer feature is the plea
| that the same people who have been
charging that the so-called business
responsibility of the big manipulation
| on an interlocking party Of profession
al spectators of largest caliber who
are now trying to enlist public inter-
| est in fresh novelties for the gossip
circulators.
Situation e Complex.
The financial situation Is complex,
and even the wisest among the money
kings" are at variance. The banking
centers are being deluged with the
overflow money aecumulations from
the interior. The volume of supply in
dicates general over-plenty of cash,
condition that had not been antici-
pated to any such extent. and which
may simplify and facilitate the adjust
, ment of an ocean of short-te paper
to the extent of $400.0o0,O00 to $780,
100000, maturing before the end Of the
fiscal year. June 80, 1914 The debtors
co this enormous extent had been ad-
vised by the soft-hearted banking gem
! tiemen, down to very recent date,
that they had better be getting ready
to stand the gaff." as money and
credit would be scarce and come high
this year.
Suggestion of a prolengation Of tight
money usually brings the victim to a
realization of what might be in store
for him as the Shylock price for re-
newed favor To carry out this plan to
nicely it was necessary for the
makers of the paper to repeat the
, usurious terms exacted one, two or
three years previously, when they sold
say s5o.ooo0o0 per cent two and three
abouts net to maker. leaving to
| I per cent as straight velvet" for the
bankers, and to per cent for under
cover division of velvet" among the
In the case referred to the note maker
received possibly about $3s,O0O,0OO for
his corporations $5O,000,000 evidence Of
Indebtedness. With every renewal the
expanding the amount with the usual
iShylock results, although concealing the
personality of the go-betweens.
1t is alleged that the New York and
New Haven bought a littl> traction line
that had been built across Connecticut
and turned $12.000,000 side commits
sion over into the hands of previously
unknown citizen of the Nutmeg state"
Motive Behind Campaign.
| 1t is almost shame to cali attention
to this passion for doubtful money max