New Britain herald., 1915-03-27
,COUNTRY'S MONETARY >
 OUTLOOK REMARKABLE
pchangs for Better in Financial
 Undcrtone Noted.
Especial to the Herald.)

New York, March 7-Redundant
 money and more hopeful views in re-
 gard to the war are working out their -inevitable influence upon financial
 sentiment Sharp advances occurred
 this week in number of stocks,
 chiefly industrials benefiting from war
 contracts and a few of the leading
 railroad shares. Some recessions fol-
 lowed, owing to the disposition to take handsome profits; but aside from this development there is an unquestion- able change for the better in the financial undertone.
 The prime cause of this betterment is the remarkable monetary outlook of the United States. Four influences are at work promoting ease in the I credit situation. These are, CD re- turn of currency from the interior, (2) continued gold imports, (3) the D Dlessened requirements of business, and (4) the great expansion of lending A.power among the banks resulting from |the new federal reserve system. Our foreign trade is still exceedingly ab-
 normal. Our imports are very light, While current exports are heavy; the net result being a phenomenal excess
 of exports, which is being settled
 partly by return of securities; partly
 by gold imports which have amounted
 to $40,000,000 on this movement, and
 partly by the granting of liberal
 credits on foreign account This up-
 heaval in our foreign trade relations
 promises to continue for some months
 to come; or at least until the end of
 the war is clearly in sight. The for
 ho cit
 markable because of the conditions Just referred to. The chief trouble in
 our foreign trade lies in the great
 falling off in imports. Our foreign
 purchases from abroad have, of course, been somewhat affected by de-
 pressed conditions at home but the
 main difficulty has been in the stop- page of imports from Germany, and
 the inability of Great Britain and France to sell many of the goods to this country which come under ordi- nary circumstances, because the war has either destroyed some industries or turned others into supplying war materials. AS to exports these have ] been swollen chiefly by the great de- l mand for food products, cotton and l war materials. The season for tho l outward movement of wheat and cot 1 ton is drawing to a close; but every l indication points to still larger ship> l ments of munitions of war than have l hitherto taken place. No reliable 1 estimates have yet been formed as to
 the amounts of purchases by European governments of war material, but the figures are expected to be somewherei between $200,000,000 and $250,OOO,
 900.
 Hopeful Feeling Prevails. In home trade circles, somewhat J htpeful feeling prevails. This must be attributed to the stimulating ef-( feet of easy money, the return of spring and consequent resumption of , outdoor work, the satisfactory agri- l cultural outlook, the higher prices 1r 1 wheat cotton and other staples, th NJ slightly better demand for from andY steel at better prices, and also tlIG 1 moderate improvement in conditions 1 2 affecting the. textile industries. A l number of manufacturing concerns are making large. profits in the filling of war contracts, and this class of 1 stocks ranked among the leaders in l the advances on the Stock Exchange. ] The railroad situation also appears to l be somewhat more promising. Ap- parently depression has reached it's 1 limit, and the street is now discount l ing peace and a return to more pros- porous conditions. For tho railroads. l better rates and better earnings are 1 in prospect, and with the large cur tailment in expenses net results have hot only seen their worst but should l Improve. There is another factor in the general situation which though l silent one. is of much Importance; l that is the very evident subsistence of ! political agitation against big busi- l ness. Washington has already become wise to the harm being done to labor l as we'll as capital by persistent cor- peration batting. Radicalis1ni is hap l oily on the wane, and trust busting Is no longer a, vote winning issue. This 1 1 Is an important element in the revival l of confidence, and as soon as peace 1 prospects materialize more definitely 1 we may anticipate a revival of enter 1 prise in this country. Looks for Higher Market. 1 We look for an cratic but ulti- 1 Emately higher market. The extreme l l advances of the last few days are sure l - h. /.