New Britain herald. [microfilm reel] (New Britain, Conn.) 1890-1976, 1916-11-04

Europe But the important point in
connection with the results to be
shown at the polls next Tuesday is
that the attitude of either of the great
political parties on the tariff is not
likely to become an imme diate factor
| in the Stock Exchange markets. The
war is itself such a dominating in
fUence that it tends to confine con-
:~-keration almost completely to such
market factors as are likely to exert
a prompt influence. Unfortunately,
the termination Of the European war
may hardly be considered to occupy a
position in this category. Hence the
election as bearing on the tariff will
for practical purpose not be apt to act
as a retarding influence on stock ex-
change activities for the time being.
In the face Of the irregularity that
is SO usually associated with the clos
ing days Of a national political cam
paign a remarkable investment ability
that Is not confined to any section but
is nationwide has been demonstrated
by the absorption Of the $300,000,00O
British government secured notes that
were formally offered on Monday. So
satisfactory were the subscriptions
that the bankers decided to close the
subscription books this morning,
instead of keeping them open until
Tuesday next as was the original
plan. A similar indication Of the ex-
tent of the investment demand has
been the activity that has been dis
played on the bond market. The
sales Of bonds on the Exchange dur
ing the month of October, for in
stance, had an aggregate par value
Of $143,543, 900, which compares with
S1O4,122,5OO in October last year and
only s4O,S37,5O0 in October, 1913 (the
Exchange was closed for business dur
ing October, 1910.
Steel Earnings.
The quarterly statement Of earnings
by the United States Steel corpora
ton fell somewhat below exaggerated
ideas that had previously been cur
rent. The total of sS5,S17,067, how
ever, established a new high level,
having exceeded the June quarter
heretofore the high period, by more
than $4,OOO,OOO, and leaving net
surplus after allowing for the amount
necessary for the extra dividend, OF
S51, S59,45O These figures without
question may be accepted as re-
sponsible and accurate index of the
industrial activity that our country is
enjoying. During the June quarter
deliveries were at virtually the full |
capacity Of the mills. Hence spec |
tacular increases in earnings such as |
many seemed to expect must have |
represented in large measure the eff |
feet of higher prices paid by consum- |
ers, rather than an expansion in the |
volume of products delivered. So /
long as the wars demands continue |
there is not likely to be any important !
restriction of the steel trade. When !
hostilities end readjustments are in
but, as I already have noted |
there Is slight tendency at the moment |
among operators to look far into the
future.
1t is fortunate that caution is being
displayed in banking and other con-
sentative circles. Otherwise, with
he ease that is so clearly evident !
n the credit situation there would be
difficulty in preventing the danger Of
runaway market Thoughtful per-
sons know that with the intense &C
ivity In trade and industry, with the |
high wages and the consequent enOr- |
nous spending power of labor, and !
with the large profits Of manufacture |
ers, all these are merely the results
of temporary conditions that sooner |
or later must assume a more nearly |
normal position. The commodity |
markets as we'll as securities are still
upward. So long the war |
lasts there seems slight proba bility
Of a lasting reaction, as the foreign
demand, regardless Of cost, is so in
sistent. It is difficult to see the end
Of this increasing difficulty situation
that so freely affects conditions at
home.