The Bridgeport evening farmer., 1917-07-03
WATSON'S WEEKLY
MARKET LETTER

~ there ever was time, in our
Judgment, when prompt and efficient
action was necessary on the part of
the Interstate Commerce Commission,
1t is now. The railroads are taxed to
their utmost, and largely in the in
terest of the United States govern
merft. They cam bestlserve two mas
ers in one way or one master in two
ways, by promptly granting to the
railroads fair-if not liberal-com-
pensation for the work they are COM
PEELED to do: The moment is right for
prompt action. Certainly the COM
mission has had all the time neces.
sary for due elaboration.
We cannot refrain from congratu-
lating Mr.. H. P. Dawson, head of the
RIDE Cross Commission, upon the very
able campaign that he mapped out
and conducted to a successful conclu-
sion. Naturally, he had able assfs-
tants, and especially so in the City OF
New York, where presidents of trust
companies and national banks lent a
more helping hand in this cause-one
certainly that appealed to all of US.
Washington authorities are near
violating the Sherman antitrust act
daily in war measures, and in some
quarters it is expected that this law
will die a natural death before peace
comes because of the evidenc that out
Of concentrated effort properly di-
rected and controlled comes real eff
ficiency. Such development would
be hailed with a great deal of salts
faction by Industrial arrangements
throughout the country, as well as by
financial interests.
Hopes are now rising Of a shorten
ing of the war through American en-
bargoes ON shipments OF food to neu-
trail countries which have been re-
shipping to the Teutonic Empires un-
der threat of attack. The British
blockade could not be made effective
without antagonizing the United
States prior to the latter's entrance
into the war. Private reports to fl
nancial circles from Germany con-
firm stories Of unrest among the peo-
pie and crop damage by drouth, not
withstanding denials issued by Ber-
lin Important development are an
ticipated at the meeting of the Reich
stag July S. While the submarine sit
uation has not improved, the Russian
developments as reported by the Root
Mission are gratifying, and no separ-
ate peace with Germany is now ex-
pected.
1t Is gratifying to note that the
Senate is giving great elaboration to
the question of war taxation. In
many circles it is held that war taxa
lions should not in any case amount
to more than SO per cent. of the fl
nancing of the war, and that loans
should bear the larger proportion.
Price fixing by inexperienced politi-
clans is not desirable, for it will tend
to produce inefficiency. We believe
in maintaining scientific market
prices and adequate taxation of pro-
fits. which plan gives satisfactory re-
suits.
Record-breaking disbursements are
indicated for July /. The total is
near 100000, 000, which is higher
than last years big volume. A part
of this immense sum will seek rein.
vestment especially in view of the
billion dollars over-subscription to
the Liberty Loan. There are tndica.
.tions that Washington is more willing
to cooperate with the banks, and
monetary strain is being relieved BY
government deposits of funds receiv
ed through extraordinary operations
The money skies may be expected Il
clear soon after July 4. Liberty Loar
expenditures are now beginning tt
make their appearance and we thinl
the developments in this connection
will bring a certain amount of infla
ton that will be influencing rising
prices for securities.
Improving crop conditions SHOULD
not be overlooked Reports from som,
of the largest Western roads are yer.
optimistic in this connection. TIL
government weather reports shov
betterment, and it Is expected tina
the monthly statement of condition
from Washington due early in Jul,
will be favorable. Predictions are be
ing made that the cost of living vii
decline toward fall coincident witt
better food control and crops that will
be larger than expected. This viii
operate to quiet the unrest in labo
circles.
Labor conditions in the mining dis
tricts are bad. Strikes in the Westerl
copper camps should be taken Ii
hand under Defence of the Realn
Acts. Unless agitators are dispose
OF the largest order just placed b
the United States government an
others to follow from the Allies ma
meet with obstacles. 'Denouncin
the Industrial Workers of the Worl
as anarchists and. in league with tn
enemies of the United States, Senate
Thomas in the United States Senat
has demanded instant and summar
dCIlOH 10 ocdl WAtu bIlctIIp SdQS d dlS
patch from Washington referring t
the spreading of strikes in copper an
coal mines, and suggesting the han
of the German agent and paid Ger
man sympathizers in an effort to sti
up trouble and delay war productiv
activity.
Stocks are in strong hands. TIL
technical condition of the market
Improving. The short interest is VI
cicrstoc5 to be growing, and waa-
long accounts have been removed
money pressure. We think U.
Steel, New York Central, Inspiratio
Copper, Union Pacific, Westinghouse
Electric, Atchison, Car Foundry an
Chesapeake g. Ohio may be classe
as among the most desirable pun
chases. Stocks of the reorganize
railroads are in greater demand.