San Antonio light. [volume] (San Antonio, Tex.) 1911-1993, 1923-03-25
Most Values Are Lower
Compared With
Last Week.
WAGES TREND UPWARD
American Wooden Mills
Announces IL IL Per
Cent Increase.
Ry STUART p. WEST.

New York, March 24.-In two
thirds Of the stock exchange list prices
are lower now than they were a week
ago. Half the market has lost ground
as compared with fortnight ago and
quite q number OF issues are either
lower or scarcely any higher than they
were during the first week of March.
These are simple but significant facts.
They are the results of month during
which, at most times, the market has
appeared 10 be buoyant and Wall
street has been full of the most san
guine talk and expectations. These
results bear closely on the question Of
how far the stock market, in it's rise
of last year, has discounted the return
TO comparative prosperity in the in
dustrial field.
Better Export Demand for Wheat.
More testimony of q favorable ma
ture has been given this week regard
ing the business situation than in any
similar period so far. Everything that
has happened in this direction has
been encouraging, the most important
incident being the improvement in the
export demand for wheat and the
consequence advance in farm prices.
1t is well that this should happen in
asmuch as it means that in the general
upward swing of prices which has &C.
Cured since the first of the year the
farmer has not been left behind. Still
thn o. fraLa 20
has found a large part of the stock
market unresponsive.
The stage has apparently been
reached where good news in the shape
of maximum production figures and
price advances has ceased to be stimu-
lating, like it was month ago. Most
of the individual advances which have
occurred during the last tN weeks
have been the work of speculative
pools, exploiting a favorable earnings
position in particular companies and
the prospect Of this leading to larger
dividends.
Time Money Hardens.
Two of the most important happen
inss of the week were the further hard
ening in the time money rates and the
wage advance in the New England
wooden mills. A 515 per cent quota
ton on money not subject 10 imme-
date call no alarming development,
but it does compare with 4 per cent,
during the period when the deflation-
airy movement was at its extreme and
when the great flood Of idle capital,
released from occupation in trade, was
poured into the investment market.
The comparison tells the whole story
of the change from the enthusiastical-
~ rising bond market of last spring
and ummer to the dullness and persis-
tent sag Of the last few months.
Government Bonds Fall Off,
Government bonds reached their low
est OF the year during the week and
the reason is very clear. When it
comes time for the next Treasury issue
to take up maturing war obli~ations it
will not be negotiated on the terms OF
the first postwar loan last autumn.
In other words money conditions have
changed to such an extent that a 4 IA
per cent government bonds can no
longer be expected to 20 to par. The
market for government bonds is evil
IDENTIFY getting ready for higher rate.
In the meantime, the general bond
market is no longer able to absorb
large blocks at going prices. There is
no pressure to sell, but II there was,
institutions and private investors with
any large quantity to get rid of, would
undoubtedly have TO maze a substan-
tial sacrifice.
Wages Trend Upward.
The 1914 per cent wage increase BY
the American Wvolen Company is
a prelude to much more general in
crease. A similar increase, it is
known, has long been under considera-
ton by the steel companies, and the
steel mills, knowing that this will in
volve further raising of prices are
going more slowly about taking new
business at current rates. So f.r the
wage increases, actual and prospective,
are not large enough to be particularly
serious. 1t is the tendency over the
longer run which is the thing of i'm
portance.
Raising Of price schedules because
cost of living is going up, is the big
step along the road of initiation. 1t
start sthe vicious circle going again,
with its series of alternate advances in
wages to keep pace with prices and
then in prices to make up for wage
advances.
Francs Show Sharp Fluctuation.
The striking features in the Euro
pean financial situation have been the
continued steadiness of the German
mark, despite the t~>inendous addi-
tion to outstanding pa. er issues and
Tie sharp fluctuations in French
francs. German note circulation has
nearly .quadrupled since the first Of
the year, going from little over tril-
lion to over four trillions. Yet the
mark hes more than doubled in value
since the early part of February and
for the last three weeks has remained
virtually stationary. How long the
Reichsbank will be able TO make its
supporting measures effective. remains
to be seen, but so far the performance
has been most remarkable.
At the high of the week, French
francs were up nearly cent but the
quick reaction whici followed threw
considerable doubt upon the soundnes'
of the movement. One suggestion wa'
that the French government was sup
porting the exch: nge market for d