The Topeka state journal. [volume] (Topeka, Kansas) 1892-1980, 1915-02-02

abundance or lo2nAble FUNDS available
for short term loans," writes Henry
Gle m his current review of the
cond. i ms that prevail In the world OF
trade and finence. This il largely
attributable to the dullness OF BUSH
ness, although the redr .tion of re-
serve req rements from rs to Is per
cent 10 an important factor. AS an
offset to tn latter influence the emer-
gency currency outstanding has been
reduced to .73.O0O,0O0. At one time
the total issue of these notes amount
ed to be consider bly, over 100000
900 of which about $4,000 were is
sued by New York banks. III Of the
last AIMED sum has been ithdrawn.
the last note being redeemed on We'd
nesday. Few York being the first of
the IS curren> associa ons formed
under the Aldrich- vreeland bill to
completely retire them. This is an
other proof, If one is needed, of the
| strength and capacity Of New York
as q banking center. In this connec-
ton, 1t is eth while remembering
| that Ne Y rk is NV the most inn
portant free money market In the
world; and, while London il not at
all likely to lose its pre-eminence, the
war has imposed burdens upon New
York which will vastly -trengthen its
prestige and ability as a world money
n -rket. Eventually this war is go
ing to immensely augment the finan-
cial and commercial power Of the
United States, and If we only succeed
in avoiding i. terLational complica-
| tions we shall find ourselves much adj
vanced in position. and power. finan-
cially, commercially and politically.
when peace il once more resumed. All
the great nations OF the world are now
looking to New York for financial as
sistance. They are establishing big
credits here. presumably for war
materials, and our bankers are con-
sidering new foreign opportunities
which would never have presented
themselves but for this European con-
f1ict. Moreover, the war will absorb
all available funds in foreign markets
for months a: perhaps years to come.
Ordinary capital applications in Eu-
rope are practically suspended. Thus
we may expect an unu ,ual demand for
capital in the United States to aid
foreign as well as domestic enter
prises: all Of which means dearer zap
ital everywhere, no matter how cheap
money may temporarily be.
LAS to general conditions" con-
tinues Mr. Clews in another portion
of his review, 1.-The tendency is rather
towards Improvement than otherwise.
Confidence has been steadily growing
hoo h., frxy hou Cd cd p
self to the var basis, because the an
tagonis to capital shows signs of
abating, because our legislators are
| beginning to realize that attacks upon
business hive been carried to an in
furious degree and because the rail-
road outlool- has improved by the
manifestation OF a more considerate
spirit on part OF the interstate COM
| merce commission. Our continued
| large export movement and the re-
sulting favorable balance Of trade is
| likewise an important actor. mac
m ch a.; it strengthens our ability to
| retain, If not attract gold. At pres
ent the excess of exports over imports
| is phenomenal: the only drawback
being that diminished imports are hav-
ing determined effect upon national
! revenue. 1t is much more desirable
that we import merchandise than Sc
curities in payment for our exports;
because Europe is likely to resist a
gold movement in this direction. and
we do not wi h an influx of American
securities. more hopeful spirit
prevails in trade circles. Abundant
T. T. promises to be powerful
stimulant to trade recovery. The iron
industry is still very dull, but its lead
ers preserve an optimistic 'front.' It
cannot grow worse and must grow
better in time. The textile trades are
more active. and better prices are be-
ing obtained for both cotton and WOOL
en- fabrics. The high price of wheat
is exceedingly satisfactory growers
and holders, the only Danger being
that values may be raised to a danger
Gus height. not to speak Cf the prob
ability of stimulating undesirable agi-
tction. The higher prices for cotton
have also impaired a better feeling in
the south: and the tendency of opin-
ion In all sections of the United States
is towards hopefulpess and against the
extreme pessimism which SO long de-
strOyed initiative. In about a month
congress will adjourn. and the whole
country will feel a sense Of -elief after
SO much agitation appertaining to
business affairs"