The Birmingham age-herald., 1915-02-09
An Excellent Reason

ASlue rom 1ne tempting ledtuieS NhiSh are contained in these Canadian loans. there is another considera ton which is sometimes spoken of In the financial dls- | trict. Canada, it is said, is the largest customer of American products except 1 ing England. and if England's purchases | of raw cotton be left out Reconsideration, | then Canadas imports from the United | States are in money value in excess of I England's imports from this country.
 | Canada has contributed heavily in re- cent years to the visible or apparent | trade balance in favor of the United l States. It is impossible to obtain accu- rate figures which would show what this trade balance in money is, but the esti- l mate commonly given here is that 1t is not far from S25000o,000.
 l In the past and until the European war
 began, Canada was accustomed to liqui-
 date her indebtedness to the United | States on account of imports through
 London. Now this is impossible, or al least impracticable. Therefore, the Cana dians are said to be well within reason
 when they turn their eyes toward the 1 United States with intent to secure loans. The making of heavy loans Eere will serve l to maintain and probably to increase our trade with Canada. In that way there l is international cooperation, which ul- 1 timatey is of service to the industrial commercial and agricultural interest: 1 both of the United States and of Canada l Had there been no war in Europe Man. l itoba and the other Canaoan provinces and municipalities which recently have obtained or are soon to seek loans in the l United States would with ease have nego' l tiated loans of this kind in London. II normal times London would have beer l glad to have negotiated the Manitoba 1 loan, probably on per cent interest basis. certainly on a 4Ih per cent basis. | A !. kl.. $l.s.A I, ,f4l. +, l cludes merely this particular Manitoba 1 transaction is one which furnishes ex' i cellent evidence that the Uinted States l is now engaged in heavy financing of tho needs of foreign nations and that this | is to be continued probably until two ol three years after the close of the war While we are financing Canada to som' extent we are also financing some of thu nations of South America The establish
 ment of American branch banks in Bra I gil, Argentina and the speedy establish l ment of other branches in the nations of the west coast of South America ant | very likely in Uruguay is a form of in ternational financing which it is believed here cannot fail to secure most valuable results and lead to largely increased trad' with South American countries. There fore Canada on the north and some o l the nations of South America on tn south are now having new experience namely, the financial assistance which tn United States is giving to them.
 The Foreign Trade in January
 When early in January of this year of ficial report came from Washington tha the money value of our excess of export over imports in December was S131.V0, 900, some were disposed to believe tha these figures touched the high wate mark so far as the differences betweel exports and imports is concerned. Som ventured to predict there would be falling off in January. Taht was not tn l opinion of the secretary of commerce, MI Redfeld, for he has ventured to say pub licly that he is confident tlat the exces
 of exports over imports for the calenda year will create a visible trade balanc in favor of the United States for the yea
 of considerably over $1 000,00O,0 000 If thi prediction is realized then the record fo 1915 will be at least $400,000,o00 possibl
 $500 900, 900, in excess of the best recor heretofore made. From Washington re ports have just come which show tha January has fully matched December S far as a favorable export balance is con cerned It is certain that this excess 1 1 $131, GOO, 900 and the belief prevails tha taking into consideration the fact tha February is a Short month, the export equal to that of December and of Jan rary. It is impossible to consider thes extraordinary figures, according to tn best business judgment here, withou being convinced that the time is near a
 hand when they will greatly stimulat
 domestic business as. in fact, they hav already begun to do.