The Bridgeport times and evening farmer., 1919-12-23
I. WATS0N'S
 IhiEEKLY LETTER I !

For the immediate future improve nent of an irregular character in an active trading market is suggested by the latest developments. The technical position of the general list IS conceded to be good. Selling to es- tablish income tax losses has been considerable, and there has been for eiSn liquidation because of the ster- ling exchange decentralization. The greater part of this appears to have been accomplished. ''WindOw- dress ing" usually takes place for account of large corporations toward the end of each year, and this often makes for moderate improvement in prices
 Good railroad stocks and bonds seem to us to be selling at an at- tractiTe level. Companies with equi- ties in oil lands or timber, or invest ment holdings in other concerns, are looked upon as being in a condition to benefit by eventual return to pri- vate ownership. A great advertis- ing campaign is planned by the ex- ecutives of the transportation com panies, to educate the public up to the necessity for higher freight rates. It is estimated that notwithstanding an increase of II per cent. in the number of employees, a smaller total of traffic was handled by the rail- roads under Government control than was enjoyed prior thereto. Labor continues to agitate for nationaliza- tion, but apparently the country dies not respond to it.
 The United States Supreme Court has uphe l the wartime prohibition law. Announcement of the verdict had only a temporary effect on mar lEaf brought suit to try to overthrow the Constitutional "dry" amendment. but up to this time the trend of affairs has been against the ''wets" It is estimated that one and one quarter of a billion dollars in taxes and trade is involved in prohibition develop nents. Taxes in other directions will be necessary to take the place of the liquor impost-
 Labor conditions are slowly inn proving. The failure of the steel strike and the settlement of the coal walkout have been effective in this connection, and it is believed that the crisis is past. The Mexican situation will bear watching in our opinion. The packing industries are to be dissolved along lines of the harvester and oil combinations. It is estimated that the 1919 total worlds trade will approx innate seventy billion dollars. This compares with forty billion in 1914. The large increase undoubtedly re- fleets the great imitation that has taken place through the war
 Peace treaty ratification prospects are improving. It is understood that the Allies are prepared to accept re- servations that will protect American rights Ratification would unquestion- ably aid in the stabliization of for eign exchange, which is at present operating against our exports and in favor of imports. As soon as credit arrangements can be made, it is ex- pected that France alone will spend $600,000,00O in this country for grain, cotton and machinery.
 We view the coming year with hope. Constructive activity is indi- cated in many directions. MT. Charles M. Schwab voices his confidence in the future by saying that the iron and steel industry faces another era of expansion. It will be Presidential year, and politicians are expected to further measures looking to restor tion of normal conditions and end . ing prosperity. The fact that there are over a hundred applica tions OH hand from companies desiring to list securities on the New York Stock Exchange, foreshadows great activi- ty in that market.