The Caldwell tribune. [volume] (Caldwell, Idaho Territory [Idaho]) 1883-1928, 1919-07-04
Business and Finances
By w. S. Cousins.
New York, June ~, lYi9,

New York. June ~, I9l9,
IL IL one OF the unWritten rules Oh
WAN direct tnat the pest time - SeIi
srocks Is aIIer Ine 1000 news Is OUT.
w n,ie there mas been sitEnr nesila-
ZION IN the STOCK market because Oh
the POSSIBILITY tn2t An eieyentn-nour
n,tcn mixnI occur In the settlement
OF the peace terms, the complete aua
formal surrender OF Germany COM
pletely removed any cause wnicn the
marNet mlRnt nave tor displaying re-
acuonary tendencies.
L,uui0a.lon and weakness have bee,
characteristic OF the past week, anu
it Is EVIDENT tnat the signing OF tne
peace treaty will not Dring IN the
:.poom" tor which some people have
been looking. there may OF course
be factors growing Out OF the treaty
when Will cause greater advance in
SPECIAL groups OF SHARES, but tor the
present tine problems OF immediate
peace procedure are RECOGNIZED as IN
voivlng many new problems and dill
ficulties Among these problems is
that OF our part in the financing OF
the European reconstruction. We
have learned to look at this question
from the standpoint OF our own best
interests as well as from that of our
desire to be of service to our unfor-
tpnate brethren, and have realized that
our own progress will be limited or
retarded in proportion to the advance
or retro~-ession of European business.
That there will have to be a very
large and decided reduction in the
export trade of the United States it
we are to handle our business con-
servativelv and successfully there can
be little doubt and this in itself might
afford a ground for reductions rather
than increases in many groups of
stocks. Manufacturers are realizing
this situation more than ever before,
in view of the practical form which
the question of export credits has as
sumed, and especially in view of the
decidedly practical attitude of the
banks with reference OF the subject.
Undoubtedly the unfavorable reports
concerning business conditions in En-
ropean countries have had material
effect on sentiment.
Money Supply Not Restricted.
While July first of each year al
WAYS brings heavy demands upon the
money market for interest and divi-
dend disbursements it has its advan-
tages in that these disbursements
quickly find their way back to the
channels of investment, and there
after the monev market becomes cas-
Ter than before. Just now the banks
at the monetary-centers have to meet
the double demands of the govern
ment and of the banks at the inteiio'
points, which are calling home their
funds for local use Nevertheless
there is no reason to look for a d.artt
of funds, and legitimate commei cia
expansion of every character need not
be held mp because of inability to re.
cure necessary money.
At present the money market is re-
ceiving considerable help from the
United States treasury, both through
the deposit of public funds and the
redemption of certificates of indebt
edness.
Economic Survey.
Nothing has happened in recen
weeks to justify the prediction tina
the commodity prices are to have !;
downward revision. There is still ;
scarcity in many lines of ray mate
rails as well as manufactured goods
and this is more likely to be increasct
than. diminished as theopening up c
general European trade becomes EN-
phasized. Especially will this be tru
of foodstuffs, which will be wante,
in enormous quantities to help in &C
lieving the food situation IN Europe
In this we are extremely fortunate
for never in all history have the indi
cations for bumper wheat crop bee
as favorable and as emhpatic IS 8
present. The outlook for corn an,
oats is also beyond comparison witt
other years, and the aggregate acreag
planted in food crops was never s.
large,
Cotton prospects have been some
what reduced by reason of the heav
rains in Nav and June in the souther
areas, as well as by the reduction an
abandonment of cotton acreage. Un
less there is a decided change in gen
eral conditions the 1919 cotton GRO
will not exceed 100000 bales, ac
cording to the best authority.
Copper appears to be working tc
ward price level that will show tn
producing companies a fair prof
Production costs have been reduce
through increased efficiency of labo
The demand for copper shows
steady improvement, and is likely
firow more urgent when large COT
sinners find that no chean supplies {
metal are available.
Distinct improvement is noted
the steel industry. The largest ordel
at first came from the automobile il
dustrv but the demand for structure
steel to meet building needs is c,
pected to attain large volume befol
the season Is over. II is also probab
that urgent railroad needs will ha,
to be supplied.
Although the production OF oil. {