Pioneer press. [volume] (Martinsburg, W. Va.) 1882-19??, 1914-08-08
WAR CLOUDS ARE
VERY ALARMING
European Markets Practically Demor-
aIized-United States Crop
Reports Quite Good.
(By w. S. COUSINS
Editor of the American Banke


Editor Of the American Banker
NEW YORK, Aug. 1T is always
pOss bic, under ordinary circumstan.
ces, and in times of national and in.
terlational tranquility to estimate
the prospects for prosperity by the
tangible evidences that are capableyf
Interpretation even to the lavmau
mus, when bumper harvests are not
only promised but actually produced,
rate comparatively low when the
prospect of a better under
standing between business men ald
legislators has become much more
apparent, it is logical to conclude
that such a combination will insure
al era Of business prosperity and ma
tonal plenty There is one influence.
however, that will completely shatter
the most accurate and positive cal
culations, and produce chaos anG
ranic il the face Of the most favor
able circumstances. This terrible in
fuence s that Of international wa:
he effects Of which, under twentieth
'entury conditions would no doub
oe the g eatest calamity that tn
world has ever sucered
The war clouds that have beer
gathering over Continental Europe /
he week past, broke with disastrou
consequences on Tuesday Of thi
week, shatter:ng and demoralizinr
not only the financial markets Of Eu
'ope, but of America as we'll 1t had
been said Of New York that this was
he only stock market in the world
hat was not in a state Of panic t.!
he week ending July 25 The war
scare which ushered in such chaotic
conditions N the stock markets Of
London, Paris, Berlin and Vienna
bore all the marks that characterize
such a catastrophe. ALI the secur
ties Of European banks and govern
ments were weak. British consols
declining in the general tumble.
From figures compiled by Dow,
Jones Co., it appears that there are
III default at the resent time $751;
100000 Of railroad securities in this
country, a larger total than has be-
fore existed at one time since the
panic Of 1898 If the prospects Of
further defaults before the close OF
this year are realized the total will
be increased by at least $72,000,000
more The St Louis & San Fran
cisco heads the list Of non-interst
paying railroads witha total Of $685.
It's former subsidiary, the Chicago &
Eastern Illinois, has $25,0O0,000 more
not included iE the Frisco's total.
The Chicago, Rock Island e Pacific
Railroad Company, formed to hold
stock in the operating company, has
not paid interest due May l on its
ST. ,353, 900 Of collateral &C, while the
Pere Marquette has failed in pay
ments on $65,0OO,O00 Of securities
and is expected to default on Sill
100000 more by order Of the courts.
The Wabash-Pittsburg Terminal pays
nothing on S50,OOO,00O Of securities
while the Wabash has defaulted on
| $47,OO0,0OO.
Trade and crop reports are still
very satisfactory and are indicative
Of expanding business all along the
line. This is especially true Of the
steel trade, in which a gradual bettet-
ment has been noted since July l.
| The greatest Improvement has been
! in sentiment, and the attitude of the
steel trade furnishes strong corrobor-
alton Of President Wilson's diagnosis
of the business depression as beiug
psychological, simultaneously with