The Bridgeport times and evening farmer. (Bridgeport, Conn.) 1918-1924, 1918-06-18
WatSOn'S
Weekly
Letter
Observation-Disclosures

Under the infuence~of tax payments
and preparation for July interest, and
dividend disbursements, the market
for securities has pursued natural
course of quiet, a trading speciality
affair showing underlying strength
and an absence of hquidating pres
sure. With a clearing Of the money
atmosphere the market would prob
ably. respond to 'favoring taxation de-
velopments or news from France in
d1cating Allied success, for the tech
nical position, has repeatedly demon
strated it's strength during the past
few weeks.
While uneasinRess over the new war
taxation plans Of the authorities has
been prevalent, in view of these re-
marks by the Secretary of the Treas
ury made in the-c course of his recon-
mendations, it would seem that exag-
gerated Importance has been attached
to radical rumors regarding unduly
drastic legislation: mo one objects
to reasonable profits; on the contrary,
every one should, want, and am sure
does want, business and enterprise to
be rewarded with reasonable or even
liberal profits. Prosperity should be
preserved and can be preserved, 1
believe, on the basis of reasonable
profits"
Increasing reference is being made
to the bullish effects of inffationary
tendencies becoming more conspicu-
Gus now that this country has pro-
crossed broadly into war activities.
Attention is directed to the fact that
while the United States, safeguarded
. by it's large supply of gold---which is
again being added to by new imports
= in volume---will not suffer the after
effects of imitation as will the nations
of Europe, it can no more escape the
charging influences now nor the de-
fation after the war than can other
participants in the world struggle.
Converts are, daily noted to the belief
that the stock markets strength in
general has been in part due to this
in1ationary influence.
From an interesting letter Of the
Mechanics & Metals National Bank
of New York we quote: IF every cit
izen cc"I be made to realize that in
flation is not fundamentally an abb
stract bar king. question at all, but a
question related very directly to his
own affairs, and that its evil conse-
quences can be, averted in the long
run only as he personally strives to
practice economy and saving, he
would presently measure the etxent
OF hts personalAsaving4 in terms of in
fiatiou. and stakesa double satisfaction
in so doing. 1t lis not pleasant to'live
a life of self-denial. Neither would
the alternative ,be pleasant Over in
England. the population has to large
extent learned. earnestly to save, and
has sought to Iquidate its bank loans
so thta credit expansion might be
kept within bounds and unberably
high prices. Most people appreciate
that the more conscfentiously they
sacrifice their comforts and luxurtes
and lend their savings to the govern
ment, the more they release food and
other things. for fthe soldiers. What
they should now appreciate is that
other great benefit which comes out
of self-sacrihce, namely, the avoid
ance of currencysinfiation and all the
hardships that come from a. steady
shrinking of the purchasing power OF
the dollar"
In addition ito receiving stirring re-
ports Of the glorious deeds Of oul
boys on the battlefront of cfviliza-
ton in France, it is gratifying to read
the Washington announcement thai
at last ship construction has over
takensthe submarine destruction. Bat
tie news is accepted as meaning thai
our Allies can hold their own unit
Amerias arrives in force. We are i'm
pressed with the two words put ou
by Coming Events this week as t.
Americas terms to Germany---"Un
conditional Surrender Until Prus
sianisn, with its distorted ideas anC
intoIerable~ cruelties is ended, Amer
lea must go on with the war, trul!
said our Secretary Of State in an ad
dress declaring that peace must com'
with blessing to imam and not (
curse.
Still further progress is reported IL
the splendid crop situation, and tn
promise is for big harvests. Wash
ington's assurances that there will b
no serious money disturbances dur
ing the payment Of war taxes thi
month waseweN received in the f1nan
cial district. Arrangements have beel
made. for wider Distribution rof wa
work throughout the interior, and
is expected that this will proven
railroad congestion in eastern terri
tory, las well as check tendencies to
ward fuel scarcity. Rumors tina
price fixing would soon be abolished
have been denied officially: baIt Their
is a strong, belief that if the polio
is continued the price levels will hav
to be raised on account Of rising cos
As a result Of the higher freight rat
fruIing. the copper interests are ez
pected to ask that Is cents be estat
lished for the metal instead Of % l.
cents as att present. Corn Product
and .iAlIfsaCha1ne stocks continue t
be in good demand, with prediction
of.mgherSprSces.
Evidence is asain& appearing sus
gesting a4 good quality eof buying {
New Haven stock on the reactio
from the level OF a., RumorS are cui
rent Of hnancia1 transaction thu
will result benefcia1ly to the con
parry. The directors have not y
elected a successor to former Pres
dent E. j., eParson, who has resigne
10 become >Federa1f manager. Mr..
Campbell, now vice president, is
practical, capable operating offfc'
and wen qualified to become pres