The Washington times., 1922-09-03
Weekly Financial ReuieW
By HENRY CLEWS,
Of Henry Clews b Co., New York Bankers.

NEW YORK, Sept. 2.--Altnpugh
nc definite progress has been made
toward the official settlement Of the
coal and railroad strikes during the
current week, conditions have ma
terially improved. Railroad operat'
ing forces are much nearer a basis
Of efficiency than for a good while
past. both in numbers and in work.
ing capacity. Anthracite coal dis
cussions are still in progress with
fair prospects Of settlement of pend
ing issues and the rate of production
of bituminous coal is satisfactory. II
the railroads are able to operate
steadily from now on there should
be no serious coal shortage during
the coming winter. All this Is favor
able and lays the foundation for be-
lief that the railroad strike itself
will soon be disposed Of.
Confidence I'm Railroad Future.
Publication Of railroad earnings for
the month Of July has tended to
stimulate confidence in the railroad
future. The earnings, at first some
what irregular as reported, were at
no time worse than might reasonably
have been expected, in view Of the
strike conditions. while later figures
have made II plain that the situation
has never been as serious as was pre-
dicted. Net operating income for
104 class l roads during July Is now
figured as $46,26S, 900, or $4,000, 900
over a year ago. Car loadings have
at all times been far ahead of last
years, and from this time forwsrd
will be about up to the limit Of Ca
pacity. In these circumstances IL Is
not strange that the outside public
has been inclined to buy rails much
more heavily and has devoted itself
to transcontinental issues on the one
hand and to coal road stocks on the
other. Advances is value are regard
ed by expert observers as having by
no means exhausted the market posi-.
bilities of the roads. always assum.
ing that they are enabled to main.
tain transportation. Announcement
from Washington that only as a last
resort would the Administration
there endeavor to obtain power TO
take over the mines and roads has
undoubtedly helped to stimulate con.
fidence in a material degree. Ob-
vious necessities on the part Of the
railways for better equipment have
exerted a natural and considerable
influence upon the equipment shares,
which are in most cases now at rec.
ord high prices, with q volume uf
business which shows steady i'm.
provement.
Prospect Of Manufacture.
Despite the sensational announce.
ment of one automobile maker that
he would close his plant on Septem.
Der IS, rather than pay high prices
for coal, the general intent OF the
manufacturing public Is to maintain
operations, and there now seems to
be little doubt that they will be able
to command the fuel with which TO
carry out their plans. There has
been a decided growth in the demand
for steel and prices have at last be.
gun to follow wages upward, as IL
was predicted they would when the
recent wage advances were an.
nounced. Demand has been strong
in the building trades, just as here.
tofore, and pronounced activity has
begun In leather and leather manu-.
factures. The reopening of a good
many testile mills with wage conces-
sions at some of them has helped
the outlook for the cotton industry,
while the tendency Of prices is
distinctly upward in nearly all lines.
This makes for an active business
autumn and confirms the belief that
prosperous situation is to be looked
for, provided that there are no new
obstacles to the movement Of goods
and fuel. Unfavorable agricultural
reports have been confined largely