The New York herald., 1920-01-24
News and Gossip
of
Wall Street
AN ADVOCATE OF CAUTION.

with all the discussion about bank dis
count rates it is fairly obvious that the
Istiffening of charges is not bullish," con-
tended one market expert. "Acceptances
were moved up further. 1t will cost pro-
ducers more for credits.
THE address of Governor Harding in
Washington was illuminating. He practi-
cally said, You need not look for any
large profits lending or selling to Europe.
We will lend where we have to. as a mat
ter of judgment. in putting war stricken
countries on their feet. But it is not the
province of our government to make
further loans. These must come from in
dividuals. Those who must finance the
new foreign lending corporations are the
lexporters and producers and they must
not expect early payment There is eau
ton in all this One should not have any
illusions
CUBAN-AMERICAN STRENGTH.
Cuban-American Sugar continued yes
terday it's spectacular advance to new
high prices with a net gain of 4 points
for the day. 1t is understood to be virtu-
lally certain that the plan of the manage
ment to readjust the capital will be car
ried out The basis being talked of is two
Ito one, although the present market price
would suggest that the ratio of new
stock will be higher. Cuba Cane Sugar
has rich assets which can be capitalized.
IT is one of the strongest of the raw
sugar companies. with a profit and loss
surplus of 81, ,967,oco Indicated earnings
on the common stock last year wero 65.SS
per cent, with a minimum Of so per cent
after all charges and preferred dividends,
including excess profits taxes. The di-
rectors are considering the advisabilty
of incorporating with stock of no par
value so as to avoid the stock dividend
tax, should such tax be declared legal.
BRADsTREET's REVIEW.
According to Bradstreet's weekly review
on the state of trade, wholesale and job
bing business is good. Buyers are in the
markets earlier than usual in tho West
and South. Manufacturing output is
gaining. Retail trade Of good volume has
been stimulated by clearance sales. AL
three are far in advance Of a year ago
Food index slightly lower. Failures de-
crease. Little snow cover for wheat.
FOREIGN TRADE REPORT.
Notwithstanding the fact that American
excess exports established new high
level last year, signs of decreasing move
ment were seen yesterday in tho fact
that exports for December showed a drop
of approximately $60.0 900. compared with
those of November. However, as imports
also fell off, the balance of trade was not
altered 1t was regarded as significant In
some quarters that the excess of exports
over imports for December was less than
the average by months for the year. al
though still very large.
BETHLEHEM sTEEL's POSITION.
Directors or the Bethlehem Steel Cor
poration are to meet next Thursday to act
on dividends. IL is probable. that a state
ment OF a preliminary character on earn
ings for 1919 will be issued The predic-
ton is made that the statement viii be
exceptionally good. IL is understood that
Mr.. Grace, the president of the company
has been very successful in effecting
economies which will be reflected In tho
annual report. IL also is recalled that tho
Bethlehem steel Corporation was affected
less by the steel strike than any other
large steel producer The company IS
back TO a normal peace time basis. All
war plants have been charged off.