The Kennewick courier-reporter. [volume] (Kennewick, Wash.) 1914-1938, 1937-09-30
Rad Case of filters

National Press Building
Bad Case Of filters
washington.-Wall Street and the
securities market generally have
been undergoing bad case OF J1t-
tiers. It has been several years since
those dealing in money and shares
of stock have been so uncertain as
to the future and this uncertainty
obviously is the cause of the filters
among all people who dabble In the
stock market, whether the dabbling
be small or large, on margin or Tor
cash.
It seems a proper time, therefore,
to examine the picture and try to
see what lies beneath. And, let me
hasten to say at the very outset
that anyone who makes positive
statement about the securities mar
ket these days must be either a fool
or a superman-and thus far the
supermen who have lived on this
earth number only one. .s.
But that fact does not destroy the
value of an examination OF a con-
dition which exists as fact. In
deed, think a review of the var
ious factors and influences at work
now can provide Qualification OF
general conditions even though, 1t
may fail utterly to show why men
and women act as they do with re-
spect to stock market investments.
First, it should be said that Wall
Street, as the term is commonly
used, is so unanimous within itself.
The violent fluctuation OF market
securities in the last several weeks
might easily be said to be due to
the war crisis in Europe and in the
Far East. Only. those fluctuations
are not traceable to war conditions.
Rather, the war conditions are used
by some individuals as an excuse
an alibi to themselves because they
fail to fathom the various influences
and factors now at work.
said that Wall Street lacked UNI
animity within itself. That Is true
because within Wall Street there
are all kinds Of selfish groups oper-
ating. For example, an influence
like initiation Is highly pleasing to
the brokers and dealers in shares
while the same influence frightens
bankers and likewise gives q sick
ening feeling to those who must buy
raw products. Bankers and sound
investors as well as taxpayers gen.
orally would be quite happy to see
the Federal Treasury's budget bal
anced because II that were done
there would be much greater sense
of security for those stock market
investments.
Black Case Involved
A dozen other illustrations could
be given to thus illustrate the point
and show why Wall Street cannot
agree. They do not show, however,
why there Is so much uncertainty
and why the bulls or the bears have
been unable to adjust themselves
TO the future probabilities. The rea-
sons, therefore. must lie deeper. It
is possible that the appointment OF
Hugo Black of Alabama as an asso-
ciate Justice Of the Supreme court
of the United States has had more
effect on the business world than
any of us realize. I have heard
number of corporation executives
say that they hope they will never
be involved In litigation which vii
carry their corporations before thu
court on which Mr.. Black sits. i
they entertained that fear before
undoubtedly the fear is deeper-seat.
ed and more widespread now tina
Mr.. Justice Black has been publicl.
accused of holding q life member
ship in the Ku Klux Khan. Certain
~ the expose of the typhoon that l
whirling around the head of the ne1
associate justice cannot have an,
soothing effect upon the minds o
those business men who, as corpora
ton executives. are trustees Of vas
sums of the peoples money. On
doubtedly, unless Mr.. Black ca
prove that he is not affiliated wit
the Ku Klux Khan, few ltigants wi
feel safe before the Supreme cour
Then, there comes the resignatto
Of James M. Lands as chairman
the securities and exchange com
mission which regulates operation
Of the great stock exchanges. NJ
Lands has been regarded as ratht
fair, rather just, In his dealings II
lating to stock market operation
His retirement to return to q pr
fessorship in Harvard. OF cours
opens up the question as to his SUI
cessor. This Is to say that most
the financial world Is hoping ar
praying that the new chairman w
not go off at tangent; that he VI
avoid extreme radicalism and tn
he will not blame the whole final
cial structure for the crookedneSS
q part Of it.
Thus, 1t becomes easy to see he
this minor factor may have weigl
with some individuals dealing
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