The Topeka state journal. [volume] (Topeka, Kansas) 1892-1980, 1914-03-03
OUTLOOK ENCouRAoING.

OUTLOOK ENCOURAGING.
Reactionary tendencies prevailed last
week on the New York stock exchange.
the heart Of Wall Street and the gem
orally accepted barometer Of the finan-
cial and business activities Of the coun-
try. They are explained by Henry
Clews. the New York banker, in his
current weekly financial review, as fol-
lows:
The Mexican situation appears to
have been the chief depressing factor.
Loyalty to the government has very
properly supported the policy OF
'watchful waiting But the Benton in
cident has caused much suppressed
feeling at home as well as In Great
britain, and the lnsistence Of both the
British government and our own upon
having the real facts has produced q
state Of high tension In public senti-
ment and much danger, especially
should any further events Of an un-
toward character occur In Mexico A
spark might easily start an outburst
either in congress or in parliament
Another unfavorable feature was the
weakness Of foreign markets and the
consequent selling Of American securi-
ties. Paris was temporarily the center
of weakness, and there have been
rumors Of important difficulties in
banking circles at that point as a result
of having too large a portion of their
funds tied up in fixed form. Later
advices brought Information that the
difficulties in question had been tided
over. London reflected this weakness
by showing firmer discounts: and ap-
pears to be somewhat inconvenienced
by excessive flotations since the OPEN
ing Of the current year. At home the
situation has also been slightly less
favorable. Current railroad earnings
are anything but satisfactory. several
Important systems having made poor
reports. net and gross, for the month
of January. The returns for February
are also likely to prove poor because of
the severity of the winter. On the Pa
cific coast the large railroad companies
have suffered severely from excessive
floods: while in other parts Of the coun-
try the heavy snowfall has interrupted
traffic. and excessive low temperatures
checked outside work and caused q
general slackening down Of industry.
0cVCIdl important lIuu6tI1A1 COuCC1n0
have also made poor reports recently.
1t is worthy Of note also that several
Of the great agricultural implement
corporations have been embarrassed by
the difficulty Of financing the mass Of
agricultural notes which these concerns
customarily accept in payment from
farmers. Farmers notes are usually
considered good security. but the large
orders recently placed for new machin-
cry imposed an exceptional strain ON
the implement makers. which was
shown by a recent loan of 81. 900 900 to
single important concern to aid in
financing these notes"
And in discussing the business situa-
ton throughout the country Mr.. Clews.
also writes:
las for general business, quietness
prevails. especially in the eastern cities,
where the volume Of business il below
that of a year ago. The clearing house
returns for the second week Of Feb
ruary were 8 per cent less than the
same time in 1913. Nevertheless, there is
a brighter side OF the situation in the
United States. and the more distant
outlook IL distinctly encouraging. In
commercial circles sentiment IL gener-
ally optimistic. particularly west Of the
Alleghanies. The winter wheat crop il
in exceptionally promising condition.
and the heavy snowfall and rains all
over the country promise to leave the
soil in good condition for spring sowing
So. too, the heavy floods on the Pacific
coast will result later on in better
crops The textile trades are in gener-
ally satisfactory condition. the demand
being fair and prices showing a firmer
tendency. especially in woolens. One of
the largest western dry goods jobbing
houses is exceedingly enthusiastic and
reports business as VERY active. con-
ditions sound and the outlook favoring
a large spring trade throughout the
agricultural and cattle raising dis
tricts.'' In the steel trade conditions
are growing more encouraging, orders
for structural work having materially
increased this month, and prices being
better maintained. Since the year be-
gan there has been a steady improve
mont in the building outlook, a signifi-
cant change being the increase in or
ders for building new Industrial plants
and extensions. Railroad purchases, of
course. continue limited owing to re-
strictions upon the financial abilities of
the companies. which cannot place or
ders with any freedom until the out
come Of the rate question IL more
definitely ascertained.'
"THE MEXICAN MENACE"
That is the title Of an article that
was written in December last by W.
Morgan Shuster, who not 50 long ago
was the storm center Of Persian and
European politics. and which was
printed in the February Century He