New-York tribune., 1918-03-31

heat during TIE wee,s In banks and
brokerage houses throughout the cour-
;ry's financial centre the fresh news ad-
vices from Europe have been awaited
with impatienee tempered with anxiety
The security markets, the pulse of the
financial world, have been calm despite
some slight nervousness at times, and
prices Of stocks and bonds have stood
up remarkably well in the face of the
disquieting news Of German success in
their initial efforts TO break the British
line and force a general retreat. Among
bankers and other financial men there
has been a feeling 'of quiet confidence
ii the ability Of the British and French
to check the onslaughts of the German
hordes which has communicated itself
to holders of securities, large and small.
Wall Street, it would appear is be-
coming Injured to the strain Of battle
news on its financial markets. Since
the war began, in 1914, starting at the
very outset, when all the markets Of
the world were deluged with selling
orders, there have been periodical out
bursts of unsettlement and reaction in
stocks, based on developments in the
military or naval spheres of activity.
While there has been no battle fought
comparable with that now raging, on
q number of occasions the stock mar
ket has been forced to meet the press
ure of liquidation Of frightened secur-
ity holders who have feared disaster
for the Allied cause.
After the great decline in prices at
the outbreak of the war had closed the
doors Of the Stock Exchange little hap
pened to disturb the equanimity Of
American security holders until the fol
lowing spring, when the Germans. be
ginning their campaign of frightfulness
at sea. sank the Lusitania. That came
early in May. The news came too late
to affect the London Stock Exchange
but it produced demoralized selling on
the New York board that resulted in .
wild decline in quotations. The greatest
weakness was shown in some of the
industrial securities that had been SO
actively advanced on reports for war
orders. Bethlehem Steel, for example
declined from 159 to 130; American
Locomotive lost 1912 points, Westing
house Electric II. For some days fol
lowing the market continued in a great
state Of unsettlement until the fears o.
~, Z l,- :
ing the remainder of that year the
stock market advanced with minor set
backs on the crest Of q great wave OF
speculation.
In the early part of 1915 Germany
flushed with successes in the East, at
tempted TO obtain q decision al Verdun
on the West front, where the Crown
Prince flung 75o.o0 men into the bat
!. tie ar that point in the French line
Initial successes brought depression i.
: the American security markets; one
, day declines Of several points were il
order, but the movement did not con
tinue far, for it soon became evident
that the French were equal TO the tasl
Of checking the offensive Although
the battle was waged with Interrupt
tions well into the summer, the mar
kets were active on q rising scale oi
prices. and British and French sue
cesses along the Somme, the grounc
that is now being fought over again
helped sentiment.
The markets encountered heavy sell
ing in December of that year. wher
Germany made "peace proposals
Stock prices broke violently. losses II
some Of the high-priced issues running
to 80 points The movement developed
into the proportions OF a peace panic
and on Thursday, December 2l, the
dealings at the Stock Exchange reached
a total Of 5,04S,925 shares, the larges
turnover since May, 1a0l The selIins
was checked when it was seen that tht
German proposals were not acceptable
The record Of the 1917 war market.
IS still fresh to the average student 0
the course Of security values Thf
peace uncertainties carried over int
the early part Of the year and the mar
kets were in state Of fux. Februar-
brought at its opening one of the Sc
veres5 breaks since 1914. when it be
came known that the German govern
ment had decided to disregard its car
iier promises and commence afresh it
ruthless submarine warfare This wa
followed by our breaking of OF diplo
matte relations, and in April the decla
ration Of war. The markets rallie
somewhat and then began the declin
that did not end until last December.
The present battle is the first impor
tant one since war began in which tn
United States has been more than
spectator. That has brought home I'll
importance Of Allied success, and IA
markets are giving reflection Of cor
fdence in the ability Of the British an
French 10 hold their Own