Las Vegas optic., 1914-12-08

eign demand for our foodstuffs. and
partly to the urgent inquiries for war
materials from the various belIiger-
ents. One government official has al
ready stated that the war viii add
$500, 100000 to the foreign commerce
Of the United States. Violent fluctua-
tons must be expected to accompany
the arrangement OF international
trade. The world has largely adjust
ed itself 10 the war basis: but as soon
as peace comes, another sharp read
iustment will follow The great in
dustrial nations. England and Ger
many, will return to work with in
tense eagerness to recover what has
been lost Competition win be keen
and prices low This new rivalry for
foreign markets promises to exceed
anything the world has ever seen; and
what effect that condition viii have
upon the United States is yet TO be
determined. Possibly there win be
an inrush Of imports, particularly nm
der our new tariff AT the same time
our exports Of merchandise might
temporarily decline.
Trade at home is dull Reduced bank
clearings, declining railroad earnings
contraction in building, accompanied
by an unusual number of business fail
ures, all furnish nnweIcome testimony
in this direction. But, let IT be thor
oughly understood, these statements
represent conditions that are passed.
The tide has turned The country
must look forward to the constructive
effects OF sound banking system. to
a period Of easy money and to the
effects of a good harvest.
The stock market will be The first to
reflect these better conditions, and
were it not for the war American Sc
curities would be selling many points
higher than they are today. If it
proves true that this market has fair
ly discounted. the war-and we think
it has-then American securities are
to substantial recovery, pro
vided the fortunes or misfortunes Of
war do not prevent. There is one
other factor on which much hope is
being based, and that is that the in
terstate commerce commission will
yield to intelligent public opinion and
also to the desires of the administra-
tion BY granting some portion of the
railroads request for an advance in
rates. Should favorable decision be
forthcoming this month, as is antici-
pated in some circles, the event will
have distinctly beneficial effect up
on business sentiment generally. The
restoration of business confidence
would be greatly accelerated by such
tangible evidence OF the cessation Of
official hostility to big business. Pres
ident Wilson'S coming message to
congress will be awaited with much
interest
gInvestment purchases haze hsen
largely held back for the last four
months, and savings must have ac-
cumuIated considerably in conse
Iquence. There is no serious foreign
liquidation now in sight; and, as there
are no safer or better paying invest
ments in the world Just now than Am
orleans. it follows that there should
be sufficient domestic and foreign buy-
ing to offset any probable liquidation
on foreign account. The investment
demand at home is steadily growing
with the increase of confidence, and
the larger dealings in bonds, short
term notes and public utilities are
visible expression Of this improve
ment. At present prices the better
class Of railroad shares and certain
Iindustrials are paying investments
considering the outlook for easy
money
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