The sun. [volume] (New York [N.Y.]) 1833-1916, 1915-12-13

breach with us by any of the belliger
ents nave been emphasized by the laps
Of time. The warning nations have beer
growing steadily weaker during the
STRUGGLE. while we have been growing
steadily stronger.
IL is to be doubted II the portents oil
domestic politics are more than u super
f1clal excuse for Il seasonal hesitarcy In
the stock market. About this time ui
n year II usually makes the open
Ing OF the Congressional session serve as
an argument for a conservative view OF
affairs. and discussion lately about tile
Congressional outlook except in 80 far AS
fhc risk Of international trouble is ag-
gravated by the fact that Congress is I'll
session has not been inspired by any
deep seated conviction that the upshot
OF legislation will I've detrimental to
security values.
If IN save tho necessary routine taws
10 carry Oh the business Of Government
are TO be passed the legislation seems
likely 10 be guided by the Administra-
ton. IT the Administration cannot con-
troll Its party wlpen confronting u nt-
tioial election the net result of Congress
siona1 elaboration is likely to he email.
Meanwhile the attitude of the Admins
tration IL another msa of tile change
which the past year has wrought In our
circumstances. The nutc OF politics is
more practical than it was and the pre-
vail'ng purpose Of the programme which
the Administr alton has prepared for
Congress IL constructive.
Severely practical criticism Of various
features of this programme IL deserved,
but the intent Of 1t is obviously Ia pro-
tect the prosperity We possess and con-
tribute to dts Increase. This IL especially
siGnalized by the project for All inquiry
into the workings of Government regi-
lation In the case Of the railroads, with
the object OF improving the methods and
policy Of regulation In order that the
country may enjoy once more the benz
hts which accrue from tn. encourage
ment of railway enterprise.
Irrespective of the way in which the
recent stock market has absorbed good
news without responding to IL. and in
deed has seemed to lie Influenced more
by the adverse contingencies of foreign
and domestic politics. 1t Is to be OBJ
served that values are nevertheless more
strongly supported in conditions. An
other interesting illustration OF the way
in which the war has operated to en-
nance profits has been coming to notice
In the rise In the price Of silver. Whether
or not the financial posture Of Europe
after the war will conduce to "A larger
employment OF silver a. currency, the
white metal has been redcting strongly
to some influence. Thus another great
industry which has long been lanpu'sh-
ing is vouchsafed a vision of profit and
is being brought into line with other In
dustries where profitable activity il con-
Quoted az almost the maximum capacity
to sustain II.
tn iron and steel trade, which IS the
index of all business, H. coping with a
veritabie boom. The United States Steel
Corporations record breaking eain ~
1.0o4 900 ton In forward orders last
month. following an increase of $4,000
tons in October, is proof Of tho trelncn-
dous acceleration of the industrial stimu-
lus which the country has received. and
these forward contracts. L must be re-
membered, are now placed AT the highest
level attained by steel prices in a decade
Profits are getting rapidly into circula-
to-! :i.rcgS', thc enlargement u cor
porate disbursements 10 stockholders.
A series of increased dividend dis
tributions has been lnauguratcd which
promises to be a more important feature
Of the next six months. for tile profits
Of this years business will De for the
most part harvested IN 1915.
One theory to account for the stock
markets surface indifference TO the fai-
lures Of profitable business cNps usion Is
that il has been going through Il resting
process while d.Re.ting tho results OF the
great speculattvo activity on the rise
this year. Precedent can Ia urged in
support Of this explanation. whtch is
sumes further that during the digestive
period additional restraints on agSreS-
size action IN tho direction of optimis-
tic tendencies have been imposed 10y the
iunc.ure OF foreign atf1irS.