New Britain herald., 1915-05-22
OUR HOME BUSINESS
 SITUATION PROMISING
War Between J. 5. and Germany Is
 UathInkab'e, Says CIeWS.
Special to the Herald.I

New I ork, May '22, 191 5.-Were it not for the rsyages of the European war, the United States would certain ly be experiencing decided business improvement. Home conditions are unquestionably more satisfactory than they have been for many months. Our banking situation is sound, and the operations of the new federal reserve system are proving potent factor in rebuilding confidence. Money is easy, and those in good credit have no difficulty in securing all reason able accomm odation. Bank clear ings prove increased activity beyond a doubt. In the second week of May the increase at leading cities was over 12 per cent. In the first week of May the returns at all cities showed an increase of nearly B per cent. No more conclusive evidence of legiti- mate improvement could be offered than these figures. Industry is inn proving, and while our mills are not running on full time, except when occupied with war contracts, their out put is steadily expanding. Steel mills are daily adding to their product which is now estimated at nearly 80 per cent. of capacity Our railroads
 
 rather more freely, and big foreign orders for shrapnel. ordnance, barbed wire, etc., are keeping a number of plants running day and night Our cotton and wooden mills are also bet ter occupied, although there is still much room for improvement. Fall River cotton mills are renewing divi- dends after a considerable period of SUSDpnSi0n ho ford mills are exceptionally busy Building operations though not up to the average, are increasing Rail- road traffic is growing on some roads, but is unsatisfactory on others. Bet ter returns are in prospect, and net figures show occasional gains. Gross earnings on IS roads in March indi- cate a decrease of per cent. Net results, however, are expected to show a slight increase owing to the econ- omles which the roads have been able to enforce. Our crop outlook is nat urally indefinite at this time, since planting is still incomplete. A large acreage is anticipated for all import ant crops, except cotton: good prices seem probable, and the agricultural districts of the west are still reflect ing the beneficent effects of last years rich harvest. Wheat is promising fairly we'll in spite of damage reports, which are probably exaggerated. This brief review of important factors shows that our home business sit uation. is generally sound and prom ising. as.. @a.
 One Preventive Influence.
 There is only one influence prevent ing more positive recuperation, ard that is less confidence in an early ending of the war. The outcome of the Lusitania incident is still mat ter of suppressed concern. There is every reason to hope for a friendly understanding with Germany; but this problem is still unsettled. and is like ly to be source of uncertainty until adjustment is finally reached. War with Germany is unthinkable. Neither country can seriously injure the other, tand every effort should be made to prevent such a catastrophe Of course, if war did come, it would temporarily unsettle finances and trade on this side of the Atlantic. Our foreign commerce would be still more disturbed than it now is, since ex- ports to Germany would cease entire ly. At present we are shipping large quantities of merchandise to Germany via Holland, Denmark, Norway and Sweden. This trade would, of course, be stopped in event of hostilities. The financial liquidation, and to the ef fects of new taxation and the large ] government loans. All indications, l however, point toward a peaceful set 1 clement. For many reasons the ! United States desires to preserve har- monious relations with Germany chief of these being our policy of avoiding l foreign alliances, and the possibility | of our being of valuable service as. a peace Intermediary. 1
 Liquidation on Market Severe.
 The stock market has reflected the l