The Chattanooga news. [volume] (Chattanooga, Tenn.) 1891-1939, 1920-09-10
TRADE OUTLOOK
IS NOW BRIGHTER
Crop Prospects Better, Money
Market lmproved-Condi-
! lions Generally Better.

Favorable developments within tn,
week may be enumerated as follows
Fall trade opens auspiciously, croI
prospects enhanced, credit and none,
outlook improved. labor disturbance
iessenlng, French loan oversubscribcc
and the bonds selling at premiums
election OF Obregon as president OF
Mexico, bolshevism In Europe on the
wane, says the weekly letter OF Nate
Silberman a. Co. Those who are look
ing at the dark side OF the picture con-
tend that decided further trade reac-
tlons will be experienced. that union Ia
hoS leaders are planning n last ditch
tight late in the fall. and, finally, that
the bankers pursestrings win be more
tightly drawn as the presidential alec
ton approaches.
Adyices from large Industrial centers
outside OF New York indicate a much
more hopeful feeling regarding the fu-
ture than that prevailing there. The
department OF agriculture forecasts the
greatest ere so0, sSrn S Sr9p n 'se Conditions
prevailing Sept. 1 TO department indi-
cate a corn crop OF 3,12l, 100000 bush :
els. which would exceed by 100000
bushels the previous largest corn crop
on record. II frosts hold or even
larger crop is promised.
Record Tobacco Crop, Too.
The department OF agriculture also
forecasts a record tobacco crop. The
wheat yield, however, VIII be cut down
considerably because OF drouthy CON
nected 10 be considerably above the
average. New wealth created this
year, through agricultural pursuits,
promise to equal, h'not exceed, most
any other year. Certainly this years
new agricultural wealth will far sur
have been and undoubtedly always VIII
he the barometer OF the country's pros
nerity. The electioH OF Gen. obrcgon
as president OF Mexico promises
greater future for our southwestern
border states, and in fact for the en-
lire country. Plans are already under
way 10 reconstruct the finances of the
Mexican republic. Development OF
Mexico's resources will mean reha,
h.iltation OF Mexico's railroads ana
construction OF ports and other puoho
while no important change in the
credit situation has taken place. signs
are not wanting that decided relaNa-
lion in the credit strain VIII be expe-
rienced before long. Financing OF the
third quarterly installment OF govern
ment taxes has been practically COM
pieted, gradually improving, transpor-
tation conditions is loosening W frozen
credit, and the process OF denation ~
making II feasible for majority OF
the large concerns to conduct pus nadi,
Increased production as the result OF
mere efficient labor conditions. com.
hined with the spirit OF economy that
has superseded the orgy OF extravh.
gance. have combined In various forms
"a increase the supply OF credit ana
redncs the unessentiai demand for II.
with a further orderly decline IN com
modify prices we are likely TO see de-
cided relief from the extraordinary
credit strain. There IL now more
ample supply OF credit for legitimate
There Is no money for new enter;
prises and probably will not be until
next year. We may look forwarn WIN
confidence 10 an era OF great innus
trial activity after the read,ns,msn'
t,mated that rehabilitation Of trans
nortation, public utilities and housing
In the United states our
ING the next few years will consume
seS. 0oO, 900, 900 Of capital.
GOOD Securities outlook
The outlook for the securities mar
,xet is encouraging. The banking stu
alton. however. viii not permit OF an
old fashioned bull campaign On VIZ
stock exchange such ms has occurteu
N previous ysarss .c, r ,Sat both eandi.
dates are highly conservative MS re-
rar,ls big business. Securities with
good prewar records, which means Sc
curities which are well seasoned are
,n very favorable position anu @
logical to look for higher prices Tor
issues that are, now selling Mt bargain
prIces. relatively speaking.
The railroads are the premier secur-
ty attractions. Railroads with large
oil interests should be regarded tavoI
shIy. Net earnings OF the railroads
AFTER this month will undoubtedly be.
Gin TO show substantial increases and
sariy next year these earnings VIII
probably be the basis for considerable
advance In prices. The copper shhres
ire nj low levels and the future 81 the
industry il conceded TO be exceedingly