New Britain herald., 1921-07-09
WEEKS REVIEW AND|
 IMMEDIATE OUTLOOK
Henry CleWS, New York Financial
 Expert, Gives His Opinions
Especial to The Herald.)
 Especial to The Herald.)

Especial to The Herald.)
 Especial to The Herald)
 New York, July 9,-Final settle ment of the coal strike in Great Britain has laid the foundation for resumption of trade both in Eng land and with other nations, but as yet the response there to the better Meantime our own attention has been strongly concentrated ona Mex ican affairs with a view to adjust ment of the oil situation, which,
 Steel Prices and Wages:
 The reduction of prices and wages made first by the Bethlehem Steel Company and then by the United States Steer Corporation is in line with what had been expected and is being already met by the other in dependent steel companies. Reports as to the volume of steel business furnish additional evidence of the lessening volume of orders which the steel makers have been receiv- ing, but in the end of course lower prices for the products of these companies cannot be other than beneficial to those concerns who use large quantities of steel for manu- featuring and construction purposes. Other price and wage cuts have been made in number of basic lines and it is predicted by competent judges that the action of the steel com- panies will now at last be the basis for reductions in the cost of build ing and of construction generality with the result that a strong inn petus will be given to many kinds of business.
 Railway Problems.
 The indisposition of railway em- ployes to accept the wage reductions fixed by the Railway Labor Board has not been of much significance thus far, discussion among the men and announcement of later ballot ing being apparently only a way of accepting the change with as little Toss of face' as possible. Con s;inued improvement of railroad earnings as shown by the returns | that are coming in is encouraging and tends to stimulate confidence for the future. The putting back to work of shopmen by such com panies as Atchison and Delaware 6 Hudson is also hopeful, as it shows l that the railroad companies now | see daylight ahead. The decision to | advance $50O,0OO,O0O to the rail- | roads against their bonds to cover capital expenditures while under government control will have a far | reaching effect, not only with re- gard to the roads themselves, but l to the equipment companies and others ho derive large part of their earnings from purchases made l by the roads. .-- Market Review and Outlook. l The week as a whole has been a decidedly encouraging one, with a | smart recovery in prices for both railroad and industrial stocks, the only exceptions being the shares of companies whose dividend prospects seem dubious It was only natural as the week drew to a close that some holders of stocks should evince a desire to take profits. and this was more or less of a feature, but at no time were offerings excessive, show ing that present owners of stocks
 
 ly bright to warrant them in cling ing to their holdings. As is gener- ally the case the pickup in quota tions has improved sentiment fully 10 per cent and this is always re- garded as a great moral victory. | Besides, while trade is admittedly slow at present, those in a position to speak authoritatively do not hesitate to say that the outlook for Increased activity next fall is now growing brighter. The chief reason for this is the great progress being
 made in bringing about reductions in wages in the railroad and in in
 dustrial fields which was known to
 be a very difficult proposition. The
 proba bility of the Bonus bill being
 dropped at least at this session of
 Congress is another favorable fea- ture, as the country is in no condi-
 ton at the present time to provide for increased taxation, which would
 be necessary if the bill were passed
 This will now admit of the tariff and taxation measures being thor
 oughly discussed, with a prospect ot
 their being placed on the statute
 books before long, which is most de
 sirable in order that business may
 be free from disturbing effects o1
 changes that are proposed The
 passing of the Rubber dividend
 while hard on the company's share
 holders, is another uncertainty re-
 moved from the market Like ) previous dividend omission, it had
 been pretty we'll discounted before ( the announcement was made, and [ outside of some scattered sellin 2
 there was no heavy unloading O. stock. The fact that the genera
 market bears up so we'll under suc'
 severe and trying tests is furthe U proof, if any were required, tha
 the great bulk of stocks are nov e held by people who believe tha e more attention should be paid t
 future conditions rather than t. " those present or past and this un