The Washington times., 1916-04-09
Demands of America
Keep Industry Alive
Depression in Home Crops and Attitude of Admins
tration Has Weakening Effect Upon the
Stock Markets.

while disturbing foreign factors con-
tlnue to exert depressing influence on
American business. the abnormal do
nestle demand keeps the majority of
the great industries of the country run
ming at capacity.
The only unfavorable feature at home
is the condition of crops as revealed
in the Government report just Issued.
Winter wheat as of April was far be-
BOW the average fog the past ten years.
This fact. taken with the reports
relative to the attitude which the
Cabinet has determined to maintain to-
ward Germany over the submarine con-
troversy and indications that the Ad-
ministration Is preparing to change its
Mexican policy. weakened appreciably
the tone of the stock markets at the
end of the week.
Railroad earnings at the end OF March
were running about 20 per cent ahead
of last wear: the amount of money
going into new industries and being
utilized for refinancinE astabllshed in
stltutions is far In excess of the amount
so invested during the previous year,
and steel orders continue in volume ex-
ceeding the capacity OF the mills.
Orders Are Liberal.
The increased earnings of the rail-
roads IL attributed to expansion of
traffic more than to higher rates
charged AS a result the roads are
placing liberal orders for all kinds Of
euripment. Since the first of the year
they have placed orders for 1,4l5,OO0
tons of steel rails. compared with $40, 900
at the same time in the previous year.
In the Eastern States alone new cor
NtNN.a I.0
past three months, aggregatlng $751;
100000, compared with Sl15, 900 600 at the
same time last year.
Virtually swamped with business, the
steel companies are concentrating their
attention on deliveries, and paving little
heed to selling their products. Those
close to the trade say that the United
States will be called upon to supply the
steel rail needs of foreign countries
which have hitherto depended upon
Europe for their supplies, and in nd
dillon will have to furnish the Euro
pean nations themselves with large
quantities of equipment.
France has already purchased l25, 900
tons In this country. and Australia,
Egypt, Russia and Italy are reported TO
be in the American market for large
tonnages.
Much Copper Sold.
Estimates made by copper experts are
that at least 75 per cent OF the copper
that the American mines will produce in
1a1C has already been sold. The British
government has placed al order with
American producers for what is prob
ably the largest lot of the metal ever
handled in a single Transaction The
amount involved is in excess of 200. .o0D, 100
pounds. Within a few months thrGe in
dtviGual transactions with England and
France have taken out of the market
NIp rNN
estimated output OF the American mines
for 1915 is 1000, 900 pounds.
The comment on general business con-
ditions from practically all parts OF the
April letter the National City Bank of
New York, discussing general business,
says in part:
Characteristics Unchanged.
The main characteristics which have
been noted Of the business situation in
recent months are unchanged. except to
show signs of greater intensity. as
spSng comes on and the period for
more active outdoor operations is at
hand. There is not enough OF materials
or labor for all the work that the coun-
try would like to have done. and the
result, of course, is that the require
ments which are most pressing and can
afford to outbid the others will be
served first. and the others will await
their turn.
The effects of full employment and
rising wages are seen in the excellent
reports upon the retail trade which
come from all sections of the country.
There Is large distribution OF mer-
chandise. and retailers. instead of buy
ing for immediate wants only. are en-
deaVoring To cover their wants for some
time TO come. This is always the case
when the turn has clearly been made,
and the effect Is to overwhelm jobbers
and manufacturers and stimulate prices
unduly.
The buying power OF the country
pased upon the money value of the
crops and disbursements for wages in
all lines or industry. was never so great
as at this time. and its effect Is to be
seen In the enormous traffic that is