The Washington times., 1920-08-12
FOREIGN SITUATION
HAS BETTER TONE
Finance Leaders Pleased With
0evelopments-Stock Market
Championed.
BIZ BOERsIANE ER.

CHICAGO, Aug. 12.-Assumins g
that the latest developments In Eu-
rope and Washington had a prepon-
derating influence on bourse values,
reservation must be noted, never
theless. Had the turnover been large
and the business spirited. there had
been more OF a moral certainty that
the war and political news fur
nished the dominant note on the stock
exchange; as II was. the result must
be interpreted more or less inferen-
tiafly. despite the nnger-post course
OF foreign exchange.
Allowing for the armistice terms
on Russia's part. for the right hand
OF fellowship extended to Poland and
the left to Russia by Mr.. Colby. there
were enough crossing and counterins
currents In the authenticated reports
from Washington and from abroad TO
confuse, IL not to confound. those
versed in international policies.
For one thing. the recognition OF
General Wrangers regime in Russia
For another, Mr.. Colbys nghting
phrase. "the policy OF this Govern
ment will be directed to the employ
ment OF all available means to render
II effective" took much from the
right and left handed attitude OF his
otherwise conciliatory document.
FRANCE SEES IMPROVEMENT.
The street thought that though
Americans have not yet voted on the
League of Nations. Mr.. Colby is pro-
ceeding in the affirmative sense.
However. broadly considered. finance
regarded the foreign situation as i'm
proved.
Call money ruled relatively easy at
or fractionally above per cent
Stock brokers thought they scored
pretty heavily-at the expense OF
bankers-in reading Mr.. Williams
statement, which asserts the high de-
mand money rates ARE largely re-
sponsible for the unsettling of the
stock market" 1t is not often that
comptroller of the currency cham
pions the stock market. or the rail-
ways for that matter.
In refusing to meet the rate allow
ance OF the Interstate Commerce
Commission to the steam railways
in denying such power to the Federal
body under the Esch-Cummins act
the Illinois public utilities commission
is not as sweepingly opposed to ade-
quate revenue for utilities companies
as might be supposed by citizens Of
other states.
With gas. electric light and tram
way organizations, the Illinois COM
missioners have been OF late consider
ate. When they permitted the Peo-
pies Gas. Light and Coke Company
Increased rates in June, they went
into this subject of reasonable return
over and above operating costs and
fixed expenses. A more recent ana
clearer case was their decree grant
ing rate increases to the Public Serv-
ice Company of Northern Illinois.
BELIEVED RETURNS JUST
They inclined their ears willingly
to the point that these companies
should have not only enough income
to cover operating expenses and fited
charges, but also sufficient to insure
reasonable return on the invest
ment. with something for surplus
account. to the end that the impaired
credit of the companies might be
restored and the way opened to get
ting new capital on fair terms for
providing new facilities and equip
ment for the rapidly increasing new
business.
The pursuant findings by the regu-
latory body indicate that the commits
sioners have an open mind to the
pleas Of the utilities concerns other
than the steam roads. In the cir
cumstances. their decision on the petit
ton of the latter came as a surprise.