The Washington herald., 1919-06-03
u S. PROSPERITY
seen IN TRADING
Activity Of Securities Mar
ket Held by Holland to In
dicate General Afluence.

dlcdte Generdl AHluenCe.
After reading the published report
Of the somewhat gloomy address
which was made by Frank A. Van
derlip to the Economic Club, one or
those who have taken somewhat In
huential part in the war service
turned to the market reports for the
day when Mr.. vanderiip spoke. He
pointed to the record. which showed
that 1,s126A shares represented the
days transaction in the securities
market This was more than 100000
in excess of like transactions which
took place upon the same day in May.
1873
The figures were so near the two
million mark that the transactions are
spoken Of as having been among the
few of that amount that have taken
place in the past eighteen years.
The inference which this observer
drew from his comparison with the
record made in the securities market
on the day on which Mr.. Vanderiip
spoke and the monitions contained
IN the Yanderlip address was this
that the United States Is now fully
prepared to do the very things which
Mr.. Vanderlip says must be done IL
Europe Is to regain normal conditions
and IL the somewhat threatening
spread Of Bolshevism and other radi-
cal IDEAS Is to be checked and then
completely crushed.
OF course the fact that In the Sc
curfties market in New York City in
single day there was trading in
stocks aggregating Sooo.ooo. Is not re-
garded as of itself assurance that the
United States will be able TO under
take that first aid and then that
greater and secondary aid which Mr..
Van6erlip said we must undertake II
modern civilization and normal world
conditions are to be maintained. But
It was pointed out that IL the Ameri-
can people are in position now to ac-
cumulate in a single day security
market transactions aggregating
nearly 100000 shares then. II certain
contingencies be met. the American
people will be fully able to care for
whatever reasonable demands Europe
and even Great Britain make upon
the United States for assistance.
Curiously enough upon the same day
there came from Washington a de-
tailed report which told the story OF
the Victory Loan subscriptions. This
OF itself furnishes good evidence that
the United States is now and Is here
after to be in the condition necessary
IL the enormous aid which Mr.. Van
derlip thinks we will called upon
to furnish can be given. There was
an oversubscription to the Victory
Loan of almost exactly s750.0o0. 900.
There were individual subscribers ag-
grezating approximately Il. 900. 900 and
those who bought the Victory notes
in denominations Of less than 1900
constituted 60 per cent of the total
subscriptions.
What a Banker said.
A few days before the Victory loan
was opened for subscription one Of
the leading financial authorities Of
New York ventured the prediction that
the subscriptions to the loan IN the
New York Federal Reserve district
would exceed the quota by approxi-
rnately 500. .O0o. 900. When the sub
scription campaign was in progress It
seemed for a few days as though this
prediction could not be justified. In
fact, some timid-minded persons ven
tured to say that the district would
fail short OF its quota But the Sec
retary Of the Treasury, Mr.. Glass. now
announces that the excess over the
quota for the New York Federal Re-
serve district was more than $780,
10000. Therefore the prediction of
this man of finance was reasonably
accurate. With two exceptions. every
Federal Reserve district in the United |
States oversubscribed its quota. The |
1000 Oo0-share transaction in the New |
York securities market in a single |
day did not represent exclusively |
transactions entered into by citizens |
n New York They reflected a Sc
curities market movement throughout |
the entire country. So also the over
subscription Of the Victory loan rep
resents the entire country. Therefore |
il is assumed that the people of the |
United States are now in position |
and will continue to be in position to |
fully meet the needs of Europe which
wele so graphically and impressively
described by Mr.. Vanderlip.
what Judge Gary Said.
There is another point Of view which
when taken. as II was by Judge Gary
q day or two ago. will justify the con-
fdence that the United States will
meet the responsibility and grasp the
stupendous opportunities to which
Mr.. vanderlip made reference. For
Judge Gary called attention to the
fact that the people of the United
States are growing richer and richer
ands the wealth of the country Is be-
inE' more and more equitably dis
tribdted. II there were not a fairly
equitable distribution of the wealth
and, especially Of the new wealth
which has been created since the
European war began it would have
been impossible to report that there
were in excess OF thirty million in
dividual subscriptions. some. of
coutse, duplicates to the five liberty
loans and that vast numbers Of plain
people. not numbered among the rich, |
furnished a large part of these sub |
scriptions.
If the United States. as Judge Gary |
says, is in possession Of wealth which |
is certainly equal to one-third of the |
total wealth OF all the countries of |
the world. then we are certainly to |
be able fully to meet the demands |
which will be made upon US by Eu-
rope for assistance As Mr.. Wander |
lip says we must meet these demands |
IL modern civilization is to be saved |
and Europe Is by and by to become |
tranquil.
where Some of Wealth Is.
Judge Gary estimates that the
banks of the United States now hold
about $4,000. 900. 900. Therefore IL |
is reasonable to assume that the
banks will be fully prepared to bear
their share of the helpful burden |
which IL to be placed upon the
TTnffad States IndOa Caru oaIa