The Washington times., 1922-10-15

NEW YORK, Oct. 14.--Finai ad.
justment of the Turkish controversy
for the time being. through the
signing Of an armistice at Mudania
has partially relieved anxiety con.
cerning Near Eastern conditions IN
SO far as they affect our economic
or general political outlook. The
situation, however. has left behind
II difficulties in the shape Of heavy
bills which must be paid by the allied
countries for the expenses which
they, incurred In blocking the for.
ward movement Of the Turks with
correspondingly bad effect on the ex'
changes. At the same time fresh
Preparations crisis" growing out of
Germany's evident inability to settle
with creditors has onoe more de-
ferred recovery in foreign currencies,
while the mark has taken q new
downward trend toward three one
hundredths Of cent,
New Financial Factors.
Domestically new financial factors
have appeared during the past week,
whose effect Is evidently likely to
be helpful in bringing about an ad.
justment of conditions In this
market. Foremost among them has
been Secretary Melons announce
ment of a new Government loan OF
| $500, 900 900 at Az per cent with ad'
ditional allotments designed to take
up any ~ per cent Victory notes
that may be subscribed over and
above the $500, 900. 900 offering. The
taxation terms of the new loan in
dicate a disposition to bring public
securities back toward q taxable
basis while at the same time paying
II necessary, higher rate Of interest
In order to sell them subject to such
taxation. This, together with the
ascertained existence Of q national
deficit Of $3.50, 900, 10000, necessarily
means that there must be found some
way Of providing for the require
ments Of the Treasury. That way
may take the form Of new taxation
although Federal authorities dis
claim any such probability. Partly
In the belief that II may present t.
self, however. not few companies
have declared stock dividends Of late
| In the effort to complete their read
justment Of capital before any new
legislation on taxation goes into ef
/ feet. A local factor of importance
has been the Interboro reorganiza
ton plan, which will 20 far toward
determining the position Of fractions.
Railroad and Other Business.
Announcement that the class
railroads Of the country had made
an earning for August / Of 2.6t
per cent, failing by about $4,000,
900 to reach the minimum earning
H. I.t -
ton Act, makes the strike outcome
look rather more serious than II
had been believed to be. September
earnings Will not show up very
| favorably either, but the later
pected to do much better. 30 thai
for the year seems likely to be dis
| tinctly better than for 1921.
United States Steel's tonnage re
showing an increase In untitled
orders amounting to .7ss, 900 toni
was one Of the most encouraging
and constructive features that hai
developed in the course Of the
business of the past few weeks
The independent steel companies
although still feeling the effects oi
the depression. are In better condi
ton than heretofore. Still othei
steel and iron figures also show
that demand for the product is still
on the upgrade. Operations are
now fully 20 per cent Of capacity
The Governments latest report fol-
wheat conditions shows a tota
yield of SIC, 1000, 900 bushels, or very
little below the report Of a month
ago Cereal reports In general indi