New-York tribune., 1918-04-29

Slowing down of the speculative
and investment markets after the
brief display of activity and
strength in stocks a week ago has
conceded with the renewal of the
German effort to force a military de-
cision in France. Again the fnan-
cial community is facing with quiet
confidence the outcome of the new
phase in the fighting, and, in view
of the Importance that attaches to
the present struggle, it is not sur
prising that operations in the securi-
ties markets should be reduced to a
minimum. In the stock market last
week the leading issues on decreas-
ing volume Of business lost portion
Of the ground gained in the recover
ing movement of the week before.
Net losses on the weeks transactions
ran from l to points in the more
representative shares. At no time,
however, was there any pronounced
pressure to sell stocks, and the mar
ket as whole displayed the same
splendid resistance that carried it
through the early weeks of the pres
ent battle. Toward the end of the
/ period the reports of fresh German
successes in the Ypres salient caused
some liquidation of speculative ac-
counts, but the movement was. not
significant.
The fact is that the public is not
in the market in any important de-
gree, and present owners of stocks
are not easily stampeded into sacri-
ficing their holdings at current
prices. The view is taken in impor-
tant quarters that at its present
level the stock market has amply
discounted existing conditions, mill
tary and otherwise. This would seem
to be borne out by the tendency dis
played by stocks to develop increas-
ing activity on such temporary adj
vances as occur from time to time,
while as prices go in the other direc-
ton there is slackening Of specu-
lative effort. Pronounced price fluc-
tuations in certain special issues
during the last week were explained
by special considerations rather than
general influences. 1t is recognized
that Amrican industery has SEEM
lngly passed through the first and
most important stage of the read
]ustment to war basis, with it's
earning capacity practically unim-
paired. While the effect of war
taxes, price-fxing and other such
factors is now observable in the net
returns of leading industrial con-
Germs, the group as whole con-
tinues to show liberal profits which
should insure the maintenance of
dividends on generous basis.
Quiet again prevailed in the gen
eral bond market last week, owing to
the concentration of Aeffort by the
financial community on the success
full flotation of the Liberty Loan.
Prices of railway bonds yielded on
light dealings, while foreign govern
ment issues were comparatively
steady. The Liberty Loan campaign
is now entering upon it's final stage.
There is, of course, no doubt about
the success of the $3,000,O0O,O is
sue, the only question being the ex-
tent to which the offering is over
subscribed. While the government
is monopolizing the capital market
private borrowings have entirely
ceased. 1t is expected that when the
campaign is over an accumulation
OF new corporate issues will come
into the market. Several railroads
are in urgent need of funds to meet
maturities and provide for better
ments. That railroad financing
through private channels is extreme
ly difficult was indicated last week
by the statement made by the head
of one of the large Western sys-
tens, who asserted that efforts to sell
$lo,ooo,ooo equipment trusts to pri
vate bankers had been futile and