Detroit evening times. (Detroit, Mich) 1921-1958, 1942-03-09
Forbes
Pacific Defea ats
Help v. S. 70 End
Public Smueness
BY r.. &. FORBES

Can any developments be cited
10 offset in some measure the
deepening gloom cast by the
alarming. apparently irresistible.
on-sweep by Japan and by the
crumbling of industrial stocks
TO the lowest level since 1892
Yes. There have been these
gains. very important, although
in a sense intangible:
Latest events have brought
home 10 the American public.
far more forcefully than ever
before, realization that we have
become involved in war with an
enemy infinitely more powerful
than foreseen, an enemy that
has achieved amazing victories
against British forces, against
redou b table Dutch. forces.
against the inadequate United
States forces on the scene.
The disturbing fact is recog-
nized that Pacific Ocean battles
have been won thus far by the
enemy.
The persistent japanese adj
vances through Burma, towards
India. their conquest of the rich
island of Java, their maneuvers
against Australia. their feared
humiliation of General Mac
Arthur's forces and complete
capture of the Philippines. have
shaken all classes here out Of
their smugness. their condes-
cending belittllng Of "the little
yellow men," their cocksureness
of easy and early victory.
We can expect unprecedented
speeding-up OF war production
and OF expansion Of all three
arms of our fighting forces.
We can expect drastic diminu-
ton. if not disappearance, of
strikes in vital war plants.
We can expect ready accept
ance by civilians Of whatever
further restrictions may be i'm
posed by the authorities-and
such restrictions will greatly
transcend any already expert
enced
Too. the serious Pacific set
backs now being suffered, the
daily sinking of United States
ships by submarines. with grew
Gus loss OF life. will move the
people 10 swallow the heavy tax
loads 10 be imposed upon them.
out Of evil sometimes comes
good. Disaster upon disaster
has brought the American people
into an all-out war attitude.
determination. The results
promise 10 be astounding Watch
how our total war effort mounts.
Although most commentators
emphasize that many standard
stocks are selling at bargain"
prices and predict confidently
that a strong upward movement
Will set in once the war news
becomes better. the fact is that
there Is more disposition TO sell
than 10 buy.
Secretary Morgenthaus tax
proposals didn't help last week.
Neither did the unexpected sus-
pension Of preferred dividend
payments by L. s. Rubber. fol-
lowing reduced payments by
several other companies album
dainty supplied with government
contracts.
The weeks decline was un-
usually sharp on FRIDAY lquIda-
ton was 50 heavy that declines
Of one To three or four points
were cord Q Il. particularly
throughout tho industrial list.
Saturday brought steadiness but
no pronounced strength.
Rails. both stocks and high
yielding bonds. stood up rola-
lively we'll Such securities have
been favored by many students
Of finance and economics because
Of tho certainty that traffic Will
he abnormal Tho increases in
freight rates granted by the in
iorstate commerce commission.
although less than asked. were
accepted as reasonably salts
factory.
We arc concentrating our con-
Germ 50 preponderatinCly on
happenings in the Pacific that
we arc not attaching sufficient
importance 10 the Russian front.
There more than anywhere else.
VIII tho war outlook he infu-
enced during coming months So
far. the Soviet armies arc Scor-
ing notably against HltlerS
armies.
The financial world may more
or less mark time until the out
come Of the Observation-Disclosures
Nazi spring offensive 90
Copyright. 1872 nv p c Forbes