The midland journal. (Rising Sun, Md.) 1885-1947, 1920-12-17
Signs Of Frightening
Skies are Seen in
Business
BY q. c. FORBES

1
Often a storm is worst just before
it passes. There are encouraging in
dications that the present business
storm is already beginning to clear
in certain directions. The year-end
may bring a number of commercial
thunderclaps. But the financial light
ming is about ovef.
Many Of the favorable developments
for the last week or so have been both
important and significant-important
in themselves and significant of
calmer times ahead.
The financial atmosphere, only re-
Gently heavily surcharged, has cleared
up remarkably. The salvage of Will
lam c. Durant, Of General Motors; AL
Ian A. Ryan, of Stutz corner" noto-
riety, and S. M. Shatzkin, who has been
cutting quite figure in Wall Street,
has eliminated what the stock market
calls "sore spots" The banks have
done great deal more of this sort of
thing, and, with one or two important
exceptions, the principal cripples have
now been taken care of.
The security markets have not again
] decentralization. The undertone has
improved more than quotations Much
quiet buying was attracted during the
recent debacle and daring shorts are
not finding it so easy to buy what they
have sold.
The improvement in bank reserves,
combined with the more settled con-
dition in the stock market, has en-
boldened bankers to open negotia-
tions for a number of large new issues
of securities for foreign as we'll as
home account. In addition to Euro.
pean obligations, active attention is
being given to requirements of various
South American countries, Cuba and
even Mexico, the Inauguration of Presi-
dent Obregon being interpreted as
foreshadowing the resumption of
friendly cooperative relations with
that potentially rich but temporarily
straitened nation.
Easier Monep Rates Expected Early in
New Year
Distinctly easier money rates are ex-
pected in the latter part of January.
and by then it is also believed that
the turn in the security markets will
have come definitely.
So much for the betterment of the
monetary and security market outlook.
Even in the industrial and CONNER
cial world gratifying symptoms of in
cipient steadying have not been want
ing.
One of the largest automobile plants
in the country closed for some time,
has reopened. Among the wooden
mills there has been slight broaden
ing of operations. Some cotton mills
report modest recovery; a dispatch
from Greenville, S. c., quotes a promi.
nent cotton manufacturer as declaring
that improvement in the textile in
dustry in the South" indicated "re-
sumption of full operation Of the mills
early next year." Shoe plants are do
ing little better here and there. and
from other directions come reports
which help to Offset the drastic cur
tailment of copper and other mining
production, further restriction Of iron
and steel production, limited opera
lions by carpet mills and other read
| justment measures in industries which
have not yet descended far enough
from the dizzy price heights reached
during and after the war.
The downward movements in grains
has not gone on unchecked. Cotton
has shown somewhat greater resist
ance to bear pressure. Few other
commodities last week reached new
low prices for the year.
Holiday trade continues surprisingly
brisk. New York stores are daily
crowded, and the largest store in Chi
cago reports that in two days last
week there were more customers in
its wholesale house than for any SINH
lar period in its long history, while
"orders for spring delivery were
placed in greater volume than any
preceding week this year" Customers
everywhere admittedly are searching
for reduced prices, but when they find
them, buying, as rule, is quite ex-
tensive. The attitude Of the public
suggests that when retail prices are
slashed next month there will be a
notable revival in demand for all gene
raj lines of merchandise.
Notwithstanding the universal ex-
pectation that the year end failures