New Britain herald., 1915-08-14

road returns are disappointing, largely
because they reflect the unusually
light grain movement and the shrink
age during the month. Very soon the
new crops and the activity in steel will
show themselves in traffic returns and
better earnings. It is altogether likely
that earnings for August, Septemb 81,
October if not November also, will
show encouraging gains over last year.
For the time being at least, our rela-
tions with Germany are less tense and
there is good reason to hope that Sc
rious friction will be avoided. The
Mexican difficulties have broken out
afresh and are still matter of much
public concern. The country, how
ever, has become somewhat accus-
toned to these troubles and takes
alarm much less easily. During the
past week neither of these great prob
lens have disturbed the stock market
which has either discounted all known
possibilities or else has become har-
dened to such factors.
Stock Buying Active.
Activity on the stock exchange con-
tinues on a liberal scale. Speculation
in the war group has been toned down
somewhat and more or less disposition
has been shown to either take profits
or avoid extra hazardous ventures In
this division of the market. Opera
tons are on a broader and more gem
eral scale, the disposition being to di-
vert speculation to the railroads and
some of the well established indu.:-
trials. The outlook for railroad in
vestments is certainly improving. AS
just said, traffic prospects are bright
ening. Public hostility to the railroads
is disappearing, and the latter have Il
better outlook for securing fair treat
ment from the government than has |
has been the case for several years. |
Liquidation has been severe and TX
tensive in this portion of the invest |
ment field. Weak spots have been |
pretty thoroughly eliminated. Divi- |
dend reductions have about reached
the end, and altogether the better
class of railroads have higher stand
ing as investme than has been the
case for many years past. The most
important uncertainty to be faced IS
the possibility of liberal foreign selling
in case of any material advance On
this side. If Europe should decide to l.
realize more extensively upon its AM
erican investments, it will give to
American purchasers an opportunity
to take back their own stocks under
conditions more favorable than usual
ly occur The general market ha.
had a vigorous rise during the past
few weeks and many stocks in the
war group are now selling at figures
which offer exceedingly tempting
profits. More or less realizing IS,
to be anticipated, whenever
news develops The sit
uation favors continued activity on
the market, with occasional recessions
but the general trend in the direction
of higher prices, particularly white
conditions continue as
pronounced as they now are. A decline
at this time would improve the tech
meal situation and bring in a new got
Of buyers.
The action of the Interstate Com
merce Commission in ordering re
duction in freight rates on anthracite
to about ten per cent, was
a distinct shock to the market and
has resulted in heavy selling of the
Coalers. In addition to this, the con-
tinued decentralization in foreign ex-
change, sterling bills now selling t.
the lowest point in 40 years, is hav-
ng an adverse effect on the so-called
stocks, as 1t is feared
hat further foreign liquidation will en-
sue. AS against this il continued
heavy buying of war stocks on ru-
mors that additional large orders
have been placed with them for MI
nitions and other supplies Under the
it is not surprising
that sentiment for the moment is