Evening public ledger. [volume] (Philadelphia [Pa.]) 1914-1942, 1920-06-07

q LEDGER PHILA
brokers' Offices on Saturday that this
week would show a marked increase in
ac.ivity IN the stock market with an
Upward trend In the prices of rails,
equipments, steels and oils especially,
h.,otwithstanding the fact that the atten-
tr t,on OF tne public is likely to be dis
'rae.ed by the Republican convention.
beIoW are the opinions Of certain
current events which have a bearing on
tne stock and securities, markets:
rederal Reserve Bank, PhiladeIphia--
Inc serious condition Of the railroads
snould not be minimized. In conjunc-
uon with the shortage Of equipment, the
strikes OF the operatives have caused
embarrassing delays in the moving OF
an Kinds OF freight. Railroad embargoes
sre causing an accumulation Of goods
at factories and in warehouses, thus in
cressing the ,apparent scarcity of goods
.or SAFE and locking up an immense
amount OF money. Greater use 10 nou,
being made Of motortrucks for short
hauls, ard transportation over the In
land waterways Is becoming much more
active than heretofore ''' "
Chandler Bros. & Co,-"The norl AZ
showed willingness for several days IN
improve Its tone, but by Tuesday after
noon 1t was determined to apply the
financial pincers to it. The advance
from D to 10 per cent proved effective
and quotations for good stocks declined
as money advanced. Thus Il has become
habitual through it's constant applica-
ton that by the simple bidding I'm Of
2 or 3 per cent in money rates the
clutch OF a great securities market ia
thrown from one side to another and
thus it will be until those beneath the
market feel that their resistance will
prevail. That this period Of refresh
ment will come there Is not the slightest
anxiety to doubt. 1t is so entirely oh
vious that In certain classes of industry
and In specified political alignments it
has never even yet been thought neces-
sary to suggest its existence"
Corn Exchange National Bauk--"A
man is as old as his arteries. While
circulation Of blood is strong and safe
man can do things and keen nm
doing them. This is equally true OF
both the. body physical and the body
commercial.
"As a nation we are only as strong
as our arteries. While products and
population circulate freely and safely.
we live; when that circulation becomes
impossible, we die.
To-day the arteries Of commerce
have ceased to function in normal
fashion. Railroads lack rolling stock;
terminals are clogged; men work half.
heartedly. Public roads, put into bad
condition by heavy war time trucking,
cannot play their oldtime. part; n sue.
cession Of strikes has crippled certain
ports and thrown all export machinery
out of gear at critical moment in the
worlds history.
"It is time to face real facts. recog
nizc real danger, and find a real
remedy. The commercial heart of the
world is sound and strong. but it cannot
function with clogged arteries.
Let us forget. for time. minor ills
affecting minor organs, and concentrate
on the vital question of making national
life safe, by making national and inter
national arteries able to do their
work"
Henry l.. Doherty & Co.-"Con.
sumption of crude oil in the United
States in the first quarter Of 1920
necessitated taking 1878 900 barrels
from storage. This, according to the
bureau VI MlHcS, ndS CTeHteO serious
situation. as production in the north
Texas fields has apparently reached its
maximum and the fields in Louisiana
have not proved to be as extensive as
were supposed. The increase in the
automotive industry is just beginning
to be felt. for in 1918 few automobiles
were built. The demand for fuel oil
and kerosene has resulted in a doubling
Of price. The question resolves itself
into the problem of finding new oil
deposits. The underground reserve
supply as estimated from present de-
veioped territory in this country is
estimated to equal less than twenty
years of the present consumption de-
mands. Mexico, Venezuela and Colon
bia offer the most important sources of
foreign supply for American oil com
panies. But the rapid development of
the latter fields is difficult. England
France and the Netherlands control
most of the imDortant area abroad, saws
the Bureau Of Mines"
Guaranty Trust Co.. New York
"The debt of the Belgian Government
in 1914 was approximately S943. 900
600. Of which only S5S. 1000. 900 was
external debt. The major part of the
funded debt was in the form of 3 per
cent perpetual bonds. The long period
of peace which Belgium had enjoyed
enabled the state to devote large part
OF the proceeds of its borrowings to
public improvements, and its invest
ment before the war in railways. tele
phones and telegraphs approximatcd
5000 900 900. In the ten years prior
TO, 1914 the net return Of railways.
tciiegraphs, telephones. post Offices and
other investments averaged about 90
per cent of the total interest charges
on the debt of the Belgian Government.
For this period the interest and sinking
tund charges on the total government
debt, II the net return from state utili-
ties and Investments had been applied
to such charges. would have required
on the average only 13 per cent of the
remaining net government revenues.
This is a conservative figure and an in
dlcation OF sound basis for govern
mcnt credit
Hecker & Co.-"The market is in
huenced entirely by convention news
and high money rates. The selection
OF strong, popular Republican can.
didate will be great encouragement
to investors and a potential influence
to spectators. The readjustment of
prices of industrial securities to con
form to influence of money rates must
until completed. while in the
case OF railroad shares this influence
Is not so much retarding factor. 1t
has been recognized for some time past
that the railroad shares as a whole were
not far from bottom. The opinion is
the, rails have discounted the worst
and there is really only one way for
them to go If the country is to
prosper