The Richmond Virginian. (Richmond, Va.) 1910-1920, 1916-05-17
BANKING ON LONG
WAR AND c. O.P. PEACE
Spectators Think Allies VIII Fight
On Until Germany Is Brought
To Her Knees,
WANTS MEXICAN CLEANUP
y Rig Financial Interests Care r8ttle As
! To Who Gets Slaughtered SO Long
A. Mexican Securities Blossom
WANTS MEXICAN CLEANUP
Br RROApAN WALL.

New York Nav I6-Although the
stock market was sufficiently reaction
AIRY today to satisfy technical traders
: who always insist on a set back on
Tuesday in bull market X hal had
such a strong undeTtons as to con
vince leading bankers that the time is
ripe for constructive manipulation.
All the markets must be manipulated
a. matter Of course The idea nm
DERIVING present and prospective
activity In Wal Street is continuance
OF the war IN Europe and pence in
the Republican party at home.
Reports from Germany Of distress
on account Of food shortage with un-
ofncial Suggestions that peace terms
would be considered simply confirm
the allies in thaIr determination to-
smash the military machine OF the
Central Powers
This is the information received by
leading bankers from the highest
authorities in Europe This Il also
accepted as evidence that Germany
feels that she has been stopped 1T
Nerdun But this very information
makes bankers feel that a long war
II certainty because they believe Il
will be a long time before Germany
In sufficiently beaten 20 make the
unconditional surrender that It Is n w
the intention OF the allies TO .nsist
upon,
Would Brighten ~ Wilson.
As 70 the political reasons FOR ad-
g ~Ancine the market, bankers feel that
united Republican party viii fright
en- the present administration into
action In Mexico as the only possible
way II holding voters in line. Wall
Street - not particular about who
does things. provided they arc done,
and a clean up In Mexico is ono OF
the Jobs that the financial world in
sists must ne undertaken by some
body very soon, Traders were sin
cerely buliish today and turned their
attention 10 the speoialties Reading
waA q favoTite as was Industrial Al
cohol and Crucible. They recalled the
time a few years ago when Russell
Sage was laughed at for saying Read
ing would croes par. 1t is now sell
Ing at about 1873
When Russell Sage made the pre-
diction, Il was selling under 40.
Westinghouse was bought on the
report that the company Is negotiating
q deal TO furnish England a million
rifles a year for three years. Crucihle
Swas in the hands OF strong speoula-
tive pool that put It up in expectation
OF something being done on account
OF back dividends on the preferred
stock.
Prohibition by the French govern
ment OF importation of a large list OF
articles is important principally in
connection with the alcohol restrtc-
tons No alcohol nor manufacture
of alcohol may be imp ported into
France except by or under direct su-
pervtston Of The government This
shows further the Importance OF al
cohol in the conduct Of modern war
fare because OF It's compulsory use In
manufacturing ssnoksless powder. The
partial embargo on importation Of
alcohol may not improve conditions
for industrial alcohol because that
company does no business IN exporta-
ton of alcoholic beverages. on the
other hand, distil1ers which does an
extensive export business IN alcoholic
beverages can turn It's attention 70 the
manufacture ard expectation Of COM
rnerciai alcohol IN which there Is q
greater profit than in the sale ~
whiskey.
Can Us Strong.
Can stocks ware stronger under
Leadership OF Continental which at one
time sh owed an advance of five points
American Can moved UP in sympathy
The only trouble with the Can com
panies Is that they are making SO
much money the insiders are afraid
to start ANYTHING IN the market lest
the movement get beyond their con-
troll One of the biggest holders CT
Can stock said today that II present
earnings could be counted on tn con-
tinus for another year American Can
would be worth $50 a share more thar
I its present prices. He said he for
one was perfectly willing To await
developments and felt safe 10 wait
sven II the war orders were Suddenly
stopped
Traders who DO not feel sure about
the market price who afraid VI get
ting left are compromising by buying
railroads
Present prices Of railroads doesn't
discount present prosperity OF the
companies and II anything can be GER
tain in the world OF finance II In that
railroads must sooner or later sell ma
teriAlly higher than they are now.