Las Vegas optic., 1914-11-18

1.-THE financial center of the United
States. Call money in London is now
tx per cent and the discount rate in
the open market 8 per cent. The amour
of gold held by the Bank Of England
now is $345 100000, being he largest
! sum ever held by that institution.
This showing by the Bank Of England,
together with the money rate in the
open market while the nation is en-
gagged in a general Euroean war Tin
volYing, it is claimed, a dali yexpendi-
ture of from S4O,5OO.0OO to S5O,OO0,OO0
by the various nations), should relieve
us of any further uneasiness in con
lnection with the financial situation. If
London is so complacent under the
circumstances, why should not bust
ness here go on smoothly and with
increased confidence from one end of
the land to the other, especially as
we are provided by our crops with an
abundance of all kinds of food sup
plies for home use and for export, and
we also have the machinery for the
manufacture Of all classes of goods
called for to meet the requirements
of the gigantic war, which gives us
virtually a monopoly in supplying all
such needs at very remunerative pric-
es? This state of affairs cannot fail
to restore prosperity to this country
very soon as we'll as create an in
vestment demand for our dividend
paying securities. What is needed in
this country at the present time is
more confidence based on our present
superior position and condition over
all other nations, and more courage to
strike out aud seize the unprecedent-
ed opportunities now offered for ex-
panding.
An important influence n depress-
ing our stock market was the Balkan
war. which at the start was correctly
measured in London, Berlin Paris and
other European cities but was under
estimated in Wall street We con
sidered 1t Of but little Importance as
TAT that time we were having a boom
In the stock market with everybody
feeling confident OF higher prices,
hence we were foolish enough to stand
up and take the avalanche Of securi-
ties that was unloaded upon us at
high prices, and this country has been
staggering more or less under that
load ever since. The stocks thus sold
out have never been taken back on
the other side, those who have dealt
in our securities meanwhile having
only made quick in and out turns. The
securities which are now held abroad
are almost entirely Of the investment
grade. No European securities at the
present time can possibly be as safe
as ours for people on the other side
to hold, not only for investment but
for fluctuating differences. and this
will continue to be the case during the
present devastating war which threat
ents destruction in all directions
which we are out Of and in which we
are not likely to become involved, be-
sides having the brightest outlook for
a speedy return to great prosperity.
Why, therefore, should holders Of our
securities abroad sell
them at panic prices. and why should
we fear that they viii dump them up
on us to the extent Of hampering US
to take care Of them? There is no
justifiable reason to expect such I'M
loading process which many Of the
banking people are afraid Of when
the Stock Exchange opens. Let Us
have an open stock market and sup
ply and demand will prove, as is a.
ways the case, the true regulator Of
prices. 1t was wise % haye closed
the exchange upon the commence
ment Of hostilitiea, and il viii be
equally wise to soon open it again.