South Bend news-times. (South Bend, Ind.) 1913-1938, 1915-10-04
SECURITY MART
MORE EXPANDED
Closing of AngIO-FrenCh Loan
Has Far Reaching Influ-
enCeS Says CIeWS.
Fly Henry Ciews.

NEW YORK, oct. Further ex-
pansion has been apparent this week
In the general Interest in The market
FOR securities. "a news of the def
mite closing Oh arrangements tor the
new Anglo-FrenCh credit loan has
been accepted as an influence of far
reaching Importance. The terms Of
this loan as officially announced
proved 10 be much more inviting than
had been expected, and the prospects
OF satisfactory subscription have
cCrrespo improved. 1t seems
quite fair 10 assume that. in view of
the large concentration OF important
American banks and bankers that
have become identified with the I'M
derWriting OF the loan, no stone Will
be left unturned 20 make IL q success.
The loan. it may be observed, is Of
greater importance TO the national
activities of our own country than in
it's relation to the conduct of the Eu-
ropean war It's main Importance as
have recently stated in these advices,
lies i'm the fact that the export trade
of America is not to be severely handi-
capped by a protracted period of eX-
cessive weakness in our international
exchanges While only Great Britain
and France are directly interested in
the negotiations. the real influence on
much more important. Besides our
own trade with the countries named,
the decentralization in exchange rates
means interference with trade that is
financed through London. A very
considerable amount Of this class OF
business is still being conducted. AS
everybody knows. dollar exchange,
while rapidly attaining worldwide
popularity. is still quite in it's infancy.
a -f = N
will require years TO develop on an
important and worldwide scale. But
with the restoration of our interna-
tiOnal exchange rates there Will be
less incentive for fOEeiGn interests to
avoid the American market when
purchasing their sur Pues OF food and
OF clothing and all other necessities.
This is of great value To our agri-
cultural sections, especially to the
west, where such large crops have
been successfully raised and are now
for practical purposes ready for our
home and foreign markets. Had the
loan not been arranged there would
have been very strong encourage
ment for foreign buyers, where they
could not entirely delay purchases. to
obtain their supplies from other
countries. leaving the United States
last upon the list as "a source of sup
ply. This quite naturally would have
been a source of depression on the
prices of American grains and prOvi-
sions. Beyond this il would have
placed American grain products in the
list of those that would be most sub
ject TO the competition of Russian
wheat. which viii be released in such
large quantity when and if the allied
armies and navieS are successful in
opening the Dardanelles. There are
as yet no data on which TO base a
definite opinion that the operations
against the straits viii be promptly
successful. 1t is quite obvious. how
ever, that the task has been under
taken as a most serious one and that
IL viii not by any means be lightly
abandoned.
War Stocks Doomed.
The announcement of the terms Of
the loan and the indications that it
viii be so successfully distributed
proved an added stimulant for the So
called war stocks Operators were
encouraged TO believe that the i'm
provement in the international eX-
changes would mean the unrestricted
placing of war orders with American
manufacturers so long as the Euro
pean conflict continued. But there
has nevertheless been n noticeable
drift in the trend of operators toward
the more conservative investment
properties particularly the railroads
The delay i'm killing frost has been a
favorable feature so far as the corn
crop is concerned. and that class OF
grain viii shortly be moving in its va
riOUs forms over the railroads on a
particularly large scale. II IS not So
much the movement of the corn il
self that constitutes such an import
ant source of railroad traffic. Ii is
the various forms OF manufactured
products in which the corn is utilized
that Is the important item.
still another influence i'm the weeks
market has been the reports of vari-