Daily capital journal. (Salem, Oregon) 1903-1919, 1915-03-31
Redundant Money and Hopeful
War VieWs Are Features in Finance

to taken place. No reliable estimates
have yet been formed as to the amounts
of purchases by European governments
of war material, but the figures are
expected to be somewhere between
$2OO,OOO,OO0 and $25O,0000OO.
February returns of foreign com
meree were very remarkable. The ex-
ports for the month amounted to $29S,-
100000, which was about $100,000,OU
above any previous February; while the
imports were only about $l25,OO0 900,
the smallest of any February since
1911. The excess of exports for the
mon'h was $l73,000,000, or $l47,OOOOOO
greater than year ago, and about
S90,000,000 greater than in any previous
February, Since this extraordinary ex-
cess has continued for several months,
it follows that Europe is very largely
in our debt, and is virtually 4 heavy
borrower upon this side. The estimat-
ed effect of this movement will be to
greatly lessen our foreign obligations,
lnasmuch as it means large return
of foreign capital now invested in this
country. This spring and summer
there will be no remittances to Europe
on tourists account, an item of large
Importance in the international trade
balance. The remittances by aliens
and others to their friends abroad will
also be very light this year; all of
which tends to create conditions diff
ficult to estimate in the foreign ex-
change situation.
In home trade circles, somewhat
hopeful feeling prevails. This must
be attributed to the stimulating effect
Of easy money the return of spring
and consequent resumption. of outdoor
work, the satisfactory agricultural out.
look, the higher prices for wheat, cot
ton and ether staples, the slightly bet
ter demand for iron and steel at bet
ter prices, and also the moderate i'm.
proyement in conditions affecting the
textile industries. A number of man.
'ufacturing concerns are making large
profits in the filling of war contracts,
and this class of stocks ranked among
the leaders in the advances on the
Stock Exchange The railroad situa.
ton also appears TO be somewhat more
promising, Apparently depression has
reached its limit, and the street it now
discounting peace and return to more
prosperous conditions For the rail.
roads, better rates and better earnings
are in prospect, and with the large cur.
tailmcnt in expenses net results have
not only seen their worst but should
improve. There is another factor in
the general situation which, though a
silent one, is of much importance; that
is the very evident subsidcnce of po'
litical agitation against big business
Washington has already become wise
to the harm being done to labor as
well as capital by persistent corpora.
ton batting. Radicalism is happily on
the wane, and "trust busting is nc
longer vote winning issue. This Is
an important element in the revival OF
confidence, and as soon as peace pros
poets materialize more definitely We
may anticipate revival Of enterprise
in this country
We look for erratic but ultimately
higher market The extreme advance
Of the last few days are sure TO brinl
reaction, especially should the war TEN
porarily take nm unfavorabe turn. Tht
feeling, however grows that the enc
is not far distant; the more sangun,
, opinion being that peace will be at
b tanned soon after midsummer 1t il
! certainly to be hoped that such happ,
5 result will be reached then, if no
{ sooncr but nothing is 50 uncertain al
, ,vor aud IL woul1 no un,vien 70 hn ovnr