The Bridgeport evening farmer., 1916-07-03
fclews weekly Letter.)

(Clews Weekly Letter)
 Events of the week suggest more favorable trend. This was particularly true of the Mexican situation after Carranza had released his American prisoners The way is now open for meditation in order to prevent war, against which the United States Is particularly unit, in opposition. Ev- cry effort should be made to prevent this threatened conflict: although rel- atively speaking, it's effect industrially and financially should not be very im- portant for country of the size and resourcefulness of the United States. The regretful part of such a struggle would be the really unnecessary sac rifice of life among the youth of the country in war that nobody wants, war that excites no enthusiasm ex- cept possibly from patriotic deter imitation to vindicate the purposes of the United States and to give Mexico of free and stable government. If forbearance and generous considera- ton will prevent war and bring the unruly leaders of the Mexican people to their senses. great gain will have !, been made. There should be no apate- ment in our preparation for war. and an abundant force should be massed along the border to act upon unfore- seen emergencies Peace, however
 will be for our own interest; not mere z ay to preserving the friendship of Mex z leo, but also in maintaining amicable relations with all South American re- publics, who are keenly jealous of our activities in this direction. Conquest ! of Mexican territory would intensely etrengthen these fears, and certainly lay the basis for future friction and difficulty In spite of our sincere and oft-repeated good intentions. the long disturbed conditions in Mexico and the Monroe Doctrine are more sor less obstacles to the desirable purposes of bettering our relations with the re- public south of us. We have Been very earnestly cultivating our com mercial relationships in that direc- ton; and 1t is necessary for us to pur- sue political friendship with equal en- erby and sincerity.
 While the European war Is still . dominant factor in financial affairs, 1t would seem as If its effects had been least. Although recent events have been favorable to the Allies, peace is not yet in aight. There may be a dis position to prepare the way for peace and the establishments which it will compel. Cessation of hostflities will unquestionably create 9 new spirit of hob4fulp4ah; <be world over, but the exhaustion and paralysis which Is al- ready insidiously creeping upon some Of the belligerents will inevitably de- lay their recovery. To the United States the war has opened new delds Of enterprise abroad which we will not readily surrender, in spite of present hieh costs of production. Several of the great trading nations will prob ably not b~ In position to push hard for, trade for a long period. Great Britain ts the only power engaged at WAT which will emer no seriously crtppled Apparently she will be in 5sfred much less than any of the other participants, in spite of her huge lia- < val and military efforts; not to speak z 0f bearing the brunt of financing the war. Relatively speaking. the United Gtates has gained position vastly more than any other nation, the stimulus being most noticeable in our foreign trade, in our industries, and h our ef- forts to establish suitable foreign banking facilities. When the war is over Great Britain and the United < States will unqueationably be the two leading nations in the worlds trade. So fur as the United States is con- cerned, perhaps the most important result of the war is the magnificent new vision which 1t has brought to us. We can no longer look in only; y-e rnuAt look out also; and forever aban- don the. policy of exclusion and self ,suficiency which; would otherwise pre- vent our taking the pos,t ,tion amongst nations now open to us. Recent events have created greater opportunities and imposed greater obligations upon us than ever contemplated, and they can not be. shirked or dealt with ineffi- { ciently without serious injury to our- { selves. The more interdependent na- tions become. the more certainly will peace be assured. Commerce Is one of the best peacemakers.
 Our foreign trade is smashing rec ords to an astonishing rate. May { merchandise exports touched $472, ,0O0,- 900, the largest by ss1.oo0. GOO since the previous high point in March. Inn ports were also the highest recorded being 4219, 900 ,000, or $11, 900 900 higher than in any preceding month. These figures leave favorable balance for si1day of $243 .000. 900. which is also the largest ever recorded. No wonder the innux of gold continues in unexpected volume. About $110. 900, ,0000 in gold ar rived during the past six weeks, with considerable more to follow. Mucf larger quantities of the precious meta would have como had it not been fol successful manipulation of exchange by the Rritish Government: slkillful mo. bilization of securities, and the plac- ing of various loans and credits. I has been deemed wiser to send golt than to depreciate British holdings ol American shares by pressing then too freely for sale. The disposition il to continue holding these securities al collateral for future loans. This polio, fs an important factor In strengthen
 ing the New York market, since i
 lessens fear of foreign liquidation
 while the large influx of gold tends t. ease the home money market ant sustain security values This countr, already possesses a fabulous sum O
 gold. and its domestic output is gen
 orally about s1oo o.0o0 900 year: all O
 which enormously tends to strengthen the county,!s financial resources
 Summarizing the financial situation we find the European war has beer practically discounted as an immedi. ate factor. The Mexican problem fl also an influence largely discounted and of moderately disturbing poten. sttalittes,--th favorable turn of event. on Thursday having caused consider.