Evening star., 1923-09-01
august Liues Up to Tradition
As Month of Rising Prices
Has Often Seen Decline after
First Week-Much Lost Ground Has
Been Made Up-The Outlook.

are not here for any big speculation
from the existing price level. The
prospects are for a satisfactory au-
tumn In most lines of trade, but there
| is not sufficient incentive in this for
an extended Wall street campaign.
are many uncertainties to be faced
during the next few months. both in
European affairs and in politics at
home.
Reports that Germany is about to
back down in the Ruhr have been
received with considerab BILE skepticism
In financial circles. The advance in
French and Belgian exchange, which
ceptance of these stories. has not oc-
CURED. On the contrary rates have
come down.
Decline in French Francs.
French statesmen and publicists
continue to put forth a bold front and
maintain that there is no reason for
the recent decline in the franc. They
| nave much to say about improve
ment In government revenue. but
when 1t comes to dealing with the
dehclt In the extraordinary budget,
which is reckoned at some thirteen
billion francs. they take the position
! that this will be met eventually by
German reparations as if this were
! an undisputed fact. The trouble is
! that the world outside is not SO
, confident about Frances ability to
collect as are the French spokesmcn
themselves. Therefore, holders of
French francs and of Belgian francs.
too. have. some of them, preferred to
! have their funds in safer currencies.
1t Is not maintained that this liqui-
| dation has been such as to justify the
description flight from the franc"
, But it has been enough of d reality
to disprove the charge that the de-
cline is the result of speculation.
Some Exchanges Very Weak.
Both sterling and Italian lira have
reached new laws for the year. but
in neither instance is this a reflex of
economic conditions. Great Britain
is paying for the annual purchase
of American grain and cotton. while
preparing to meet the semi-annual
interests on the war debt. The fall
/ in the Ira is entirely the result of
the dispute With Greece. Italy is still
some distance off from balancing heE
budget, but she has made greater
progress toward this end than any
other country in continental Europe.
Accounts of domestic business con-
tinue to bear out the relief that the
real turn came d month ago and that
the present month will see more ac-
lively in certain lines where there
was a temporary falling off during
the early summer. 1t is a mistake
to discuss Il general trade revival"
"hcii dS Oil tHe lHdJoI SldllStlCS, IKE
the figures on car loadings. show
that at no time has there been any
general slump.
'SituatiOn Best Since 19I0."
But it is important to note that
outside of wheat. oil, certain branches
of the rubber industry and one or
two other cases, there has been no
over production. In steel the stage
has been reached where manufac-
turers are drawing upon their ac-
cumulated stocks, which means that
incoming orders are running ahead
of output for the first time in five
months. BradStreet's summarizing
the situation, says that things are
better than a year ago, and indeed,
better than in any year at this time
since 1919"