Daily capital journal. (Salem, Oregon) 1903-1919, 1917-09-12

steady IAN OF the sane II al OF the
Central powers These contrasts in
strength between The opposing forces
are growing -zPidly; they are maternity
intensified BY the economic starvation
Of Germany. and when spring arrives
with 8 big, efficient American army
fresh II the field, backed By practically
unlimited resources, thea they may be
reasonable hope for 3 peace dictated By
the allies: 4 peace that Vii Be bssd
On victory and based On Just reparz-
zion aad restitution No wonder the
Central powers would Ike % make peace
and 20 home before the storm which
fhey brewed breaks fa-ioasly upon
them and gives them E taste Of the sui
tering they have 50 cruelty inflicted
Epo1 others
Interest Rates Higher.
The advancing tendency n interest
rates i . constant though generally
overlooked Influence II The stock mar
ket. The colossal waste and absorption
Il capital can have 10 ether effect than
70 produce higher interest rates Even
with the zeeumalaticA OF pro
fits, cut u which capital comes, the
demands upon our resources Tor our
selves and the allies draw money very
seriously from Hsw enterprise. capital,
Ike any Other commodity q service,
demands and secures better rates OF
compensation IS . result q war ecndl-
lions Under such Circumstances, many
securities, particularly these Of the high
eSs class. must rez15lst themselves 10
higher interest rates. IN other words, II
the returns OF capital are fixed, lower
prites follow inevitably. Last week :
bank ; statement was temporarily UH12-
vorabIe. and this resulted n transient
high rates for money!
Weak Holders Scared
These four factors The revenue ol-,
mice fixing. armer money I E2dle2-
Ism II congress. created Z STARE among
weak holders Of marElZe3 stocks which
professional operators used as 8 means
5ar depressing the stock market Sc
eurirv values NOW ara 81 . point which
sboul5 attract renewed investment buy
ing, Il Is : that the future IS sllA
tul Of uncertainties Should the war
LAST another year, as E22y 0eAeFs, 'he
present rzse Of expe111t1ks by o1f
/ government. which has MOI only rs oWn
operations 70 finans5 bat those O. TIE
I allies nav aet as ; further depressing
factor. 50 zlSc nav the attitude q the
government toward the railroads ana
Shining interests On the other hand
there are mAEv encouraging conditions
Congress uzv Q adjourn. The tol2-
ny : sound financially and commercial
". We are sure Of the Eest prosperous
wear in agriculture THAT we have even
Z .xpar5zrsed. TIE sane : equally true
an the chief industries Wages 2Es
zi-h and farmers azI working men ar5
Ekelv 70 Be free sp<alErs IAAs means
an set5vr conservative demand EOr many
lines II -erthzRiise. Transportation
I rrablems are less acute IAsn ; year ago
New tonnage Is being turned 0u1 al :
tremendous rate sy Great Britain an1
-a- United States and other nations
which means that there VIII & les
ssY1sulrv in Transporting food and NJ
-ir5a-s aercSs the Atlantic than Ia
been the ezs n the las SIX months
Experts VIII Continue
result exrlr-s vii continue rgh'
{ along. notwithstanding tAe emo2rss q
-tsa2 shIu-sltS -ow n 12-ce and |A-r-
has caused 3 set-t2ek IN our 1oreAsi
trade. Oar rAiln0S1 problem : a-so les
AGATE than VAS the case 3 Few ont
an Big traffic during the EeL- tAre
~ four nozths Is = practical certainty
Y7s TIE seven months ending With Ju-,
las Of the larger EsllTcaGS according l
-Na Interstate Commerce ColZ2sSoI
lad total revenues Of sI1Sl.6slHS, q
Increase q more Than SIS 1ro-
the s-orrespoz1zz u lslc
Thezr net revenue during The same pSE
ssf was s5sS.A1.aG1 compared VA
= ssSlE1.NA1 & veAr 1E& Better res2At
AcllE zrr@Sr during The closing month
:. Al The ves-. IS trztEe Is heavier. Som
! concessions AVE been made 70 N
rsEs and 2s- -s--raS sE0l3 correspond
in-f~ Zrrove. especially - the s1eE-
z-s II 3< l. being largely tcEp~zA,
"a E-r hv t-cc-@-a-i0a between the raL
E rsES ne b-s2k IN New Haven Al
2 Naw YORK C.zrral czzSea SINE uIS'
r1e-tzr. and vas attributed 70 the al
= Esz-t.ss Il zew financing 1eFe02eo q
#coz1ri11s referred Y above
ne New Band Issue
TIE tz-r15-l fer the Is1uolle2 g
s satan5 vzr Iazz so1 VIII oeEI
Thsre : rszssz - believe tAzt : hlEAs
--e a Interest whieh Is 70 be 21tAt'
5-a7 br he War Laz1 bl zSw oe-cr
he Eczss q rsv-sztS1TsS IN c
available A. 81 offset. TIE ZeE bono
zIll X subject "a Ae Srt2xS IS
large incomes tlt Eot - he r1s-e Il
4zE tax q 10 nzuozzL state g ke1
taxes EXERT rAc& On izhsr1t&ntsS e.,
i Trarszr the e2zr% e tie ezzpA2-
a1t unavoidable that every Azl-ki
! effort vii Ge exe-te1 al EGl1c
{ Saznsszl Interests - Eazte s eae
> AID sustained peSti2 II sL 2'e
4 EEzz circles