The sun. [volume] (New York [N.Y.]) 1916-1920, 1918-12-16

investments In foreign securities II our
business men arc to secure the lucrative
foreign business they can obtain under
the most advantageous terms ever held
out TO them. For these reasons It Is
important that the proposal to organize
in the. United States bureau to dis
seminate information about the financial
and trade position OF various countries
should be adopted forthwith so as to
provide American investors with the
data they will require in order TO Keep
in touch with these conditions.
We have bouaht back from foreign
holders $4,000 900, 900 OF our own Sc
curities since the world war began. We
shall probably buy back a good portion
Of the 81 900, 900 of American rail-
road, corporation and other securities
still In the hands of foreign investors
There is every reason why we should
extend our foreign investments at
time when the rest of the world is bid
ding actively for the things We have to
sell The probability Is that American
Investors will have many opportunities
during the next six months to purchase
the securities of foreign corporations at
an investment basis comparing favor
ably with that offered by home securi-
ties With the development OF these
investment operations will come various
interests and alliances which will force
US to adopt the International viewpoint
AZ soon as the forthcoming Government
| loan has been provided for It Is probable
that the task OF financing various
! foreign trade transactions win COM
mand the attention of our best bankers
Year End Money Market.
This is the month which usual,
brings important developments in thu
money market 'in connection with pro
viding for the large dividend and in
terest payments which have to be ar
ranged for before the new year opens
The situation this month is unusual
because OF the unprecedented volume o
Government financing the banks hav'
had 10 arrange for and the exceptiona
accommodation which must be forth
coming in connection with the shiftint
Of industry from n war to peace basis
There are other engagements to be me
at a time when the banks will have tn
semi-annual dividend obligations {
take care OF. One has only to recal
the troubled money market condition
toward the close OF the half dose
years before the Federal reserve syster
! was adopted to appreciate the confu
sion that our banks would be in at thi
time were they operating under the oil
method of Independent reserves
, The money situation Is getting easie
and the probability is that condition
will be favorable f0r large security Of
ferings after the Fifth Liberty Loa
| fiotation has been provided for. TIL
next fortnight will witness some intel
esting shifting OF loans between Il
} half dozen banks and trust companic
which do most OF the lending on Stoc
a Exchange collateral. The Federal r,
} serve system has safeguarded the none
}. market against such spectacular az
vance5 In call loans "a formerly mao
I this week 4 period of trial in the none
e market.
9 The most urgent problems before Il
8 market have to do with the further real
: justment OF commodity prices when a
emergency regulations are abandoned
I the opening OF the year. The reportI
= sales OF copper for less than the pric
n fixed by the War Industries Board. n
e though not officially confirmed, caus,
o heavy liquidation in the copper share
Y Various other commodities are in q sir
e liar position. and under conditions of
e open market, with tho Government d
u mand withdrawn, II Is not difficult
& predict what will happen when the sit
a alton Is again controlled by the law
d supply and demand This situation
$ natural, since it is absurd 10 believe tn
l. producers could contiH6e to obtain "
" prices in q peace market or that the r
n adjustment now in progress could ha
a been long delayed. The situation is (,
l. of interesting possibilities, and in vic
r. OF what has happened in the copper al
steel markets the coming six months a
bound TO witness very interesting pri
ie changes for the products of the has
e, industries and for the raw materials tn
lie consume.