New Britain herald., 1915-10-16
GENERAL BUSINESS
 BOOM PREDICTED
Henry CleWs Sees Decided Im-
 prOVement in Next Three Months

sNew York, Oct. 16,-As usual, the general public is late in realizing the extent of changed financial condl- tiotfs; and the question is repeatedly asked, what caused the rise outside the stocks affected by war profits? Everyone appreciates that a certain class of industrials must profit by war, in spite of the larger losses else- where; also that this country stands to lose less and gain more than any tother from the tragic struggle abroad. But what are the factors that are carrying this rise into other classes of investm ents? They are chiefly these: An traordinary harvest, and an equally extraordinary redundance of money. Combined, these two in- fuences are quite sufficient to account for the recent strength of the stock faarket, although there were others ervihg to stimulate the general buoy ancy, such as the successful placing of the Anglo-French loan and the apparent cessation of the public hos tility to railroads and other large cor EpOrations.
 Last year the new wealth produced < on American farms was officially plac- ed at about $1O,000, 100000. This Year it will be nearer $11 1000, ,0O0,- poo, than ten. The five principal grain4 crops of the United States Amount to not less than 5,827, ,000,- poo bushels, compared with 4,943,000 poo bushels year ago. This is an increase of 884 100000 bushels, (. ain of tremendous importance con- A~v, tl,N narket assured for the surplus Flu ope will need all that we can spare; ssuTing prosperity for the American !arHner and good business throughout he Western agricultural districts. his in turn means heavy demands pon transportation facilities, better I ailroads for equipment and all sorts f materials. Thus the bounty of na- are is already beginning to stimuli lte trade and industry through all s channels, and the next three nonths seem destined to witness a cry decided improvement in general Plsiness. The stock market, recog- izing these conditions we'll in ad- ance, has already begun to discount hem; hence the strength in railroads nd the upward movement in the bet er class of industrials which has not et spent it's full force. Great Abundance of Money. Thh next factor of importance is | he great abundance of money and 1 ie tremendous increase in credite l Utilities made possible by operations l new banking system. Our large sur- | Ius reServes:s enormous stock of gold | eld in this country, and the new 1 mixing system are three elements | Ihich combine to produce a powerful | kfat&onary movement. Opinions may | fer as to the desirability of such 1 hation, but the fact will have to recognized that the movement is and has by no means as yet run course. Our credit situation is ill RMminently sound, and much keatA expansion can be permitted aderApresent conditions. without in y degree weakening the general Euation. The execution of war orders is still fving a very decided effect. It is pt only keeping the lines of industry smediately affected extremely busy lt the wages and the profits thus ob- ined are gradually Altering into her. channels of trade and doing eir share toward improvement Pre- eratiQns to finance the new for gn loan created little disturbance
 the stock market, although pay Fnts by the underwriting syndicate came due on the 18th inst. The ccess of this issue was a foregone nclusion, and has already been am
 discounted, There will be no diff ulty in shipping the grain and cot
 which are now beginning to come
 ward for export. This loan has uuestionably averted 8 serious cri-
 in our foreign trade which would Ve injured us more than France
 England. Without the loan our rmers would have been unable to we found a market for this enor- bus surplus, and business up- kvaE of some sort would have been evita&le. As it is, the exchange uatSon has been greatly relieved Id no serious difficulty is anticipated
 high prices obtained by some urfties have undoubtedly encourag-
 foreign selling; and this, too will prd some relief in the absence of equate merchandise imports is fely R run on an enormous scale, eess Vt the end of the calendar year I be over $1,000, 100000, and may as~high as $1,5Oo,ooO, O,Oo0. The continues a controlling feature finance, although we are we'll ad- ted to present conditions
 Attractive Opportunities.
 in view of the excessive rise in some
 res purchases will have to be made h growing discrimination. There
 still attractive opportunities in he of the specialties, in number the well established industrials and standard railroad issues. The lat
 have received increasing atten-