New Britain herald., 1916-03-18
OPTIMISM REIGNS
 ON STOCK MARKET
Happy Solution of Foreign Rela-
 tionS Problem Is Responsible
Especial to the Herald.)

New York, March 1S-WaH Street
 has shaken off it's pessimistic humOr and in it's place taken on a fit of op-
 timism, accompanied by a general in- crease of activity. This was due mainly to developments in our foreign relations which, as usual, seem to control financial operations. The situation in Mexico at the moment is
 less serious than at one time feared, and served to divert attention from
 cur German negotiations which had
 been decidedly upon the public nerve. What the outcome of existing confusion in Mexico will be, is beyond prediction. A long and irritating struggle may be imminent, and the principal effect of recent develop ments has been to powerfully stimu- late the preparedness movements: the country being ridiculously unready to carry on an important campaign even in Mexico, should that become neces- sary. As an illustration of the di- vision of market opinion, some stocks, especially munitions, advanced on the theory that war with Mexico was probable and would be beneficial to such issues; while on the other hand certain induStrials and railroads located within Mexico advanced upon the theory that efforts now being made to capture Villa would aid at least in a partial resumption of busi- ness in Mexico, and thus lead to their benefit News of the war from Europe also created a more favorable impression, in that events of the last few days suggested an earlier ter
 nination Cf the war. A Hull in our negotiations with Germany, the strong defense at Verdun and the resigna- ton of Admiral von Tirpitz, who was probably responsible for the extreme aggressiveness of submarine warfare, also eXerted a favorable effect
 The European war is on tOttering legs and I anticipate that this sum- mer will close up hostilities, and that 9 start for final settlement all around will be made. None of the big nations will get away with any in creased territory. The only change in that respect will be some sliclng up oi the smaller nations, which will make for more permanent peace, when it comes. This war will ac- complish one great result. That is, it will show that all the nations in vClved have put up an amazing fight, and that the bravery of all his been equally credita ble to their colors. None has shown a white feather any where. They have shown beyond caVil that their soldiers and people are made of the same valiant ma tCrial as are those of this country, as evidenced in our Civil war, both North and South alike, which is our proud record. and that is convincing proof that there will never be another such war. Neither will there be again, be- tween the great nations of Europe, another such fight as at present. nor should there be between other great nations in other parts of the world, as the devastating European war makes il seIf-evident that there is nothing to be gained in the end from such huge struggles compensatory with the sacrifice of human life, destruction of property, general suffering and dread ful misery entailed thereby through cut the entire world. And all for what? God only knows!
 Exports Away Up.
 Foreign trade continues active. January exports touched $331, 100000, or s62,oOo,oOo beyond the same month last year. Imports for Janu- ary reached s1S4,O0O,O ,OO0, an increase Of $62OOO, 900. Exports of manufac-
  cluded huge amounts of war mate rlals. Munition shipments have been going forward very freely from New York upon old contracts, and this movement even if it has reached it's zenith has by no means approached the end. Immense quantities of war material will continue going abroad probably for months to come; one big contract for over $90,000, 900 of food products being announced this week. The increase if imports is particularly Welcome inasmuch as it tends to re- store a more normal balance in our foreign trade and to prevent another crisis in sterling exchange. Thor nous quantities of munitions are going to England and France, while Russia and Italy are also big buyers. Neither England nor France are in a position to pay for these purchases in consequently the gov- ernments of these nations are dis couraging imports by promoting thrift and economy in things unnecessary. 1 Securities are being returned in larger sums than generally supposed, pri- i marily to aid in financing the war; l Ut these help liquidate foreign in debtedness to the United States.
 Commodity prices continue soaring i upwards. Bradstreets index number . Cn March 1, stood at 11.3 316O, a rise ! of s per cent within year, and 31 l per cent since the War began. Lon ! dons index figures indicate a rise of ! about 2S per cent. within the year. The greatest advances in the United ] states were in metals, drugs, chemi 1 calls, textiles and oils, while singu- larly enough the rise in food products | has been slight and in some instances prices are actually lower than a year i ago. The was is, of course, the prime l ia ctor in rising prices; exhausted supplies, high freights, traffic conges- l ton, scarcity of labor, redundant i