The Current Situation

It is natural that a mood of expectancy rather than a realization of accomplishment should pervade the summer financial markets, and the present July is no exception. Trade is experiencing its usual seasonal slackening. The extractive industries, especially steel, are at last showing a decided slowing down; even the excessive oil output is beginning to lessen. In general, five separate parts of the business outlook are now looked to as likely to develop tangible and important results: 1) the anticipated crash of German finances, with its attendant reparation problem; 2) the sagging price of American wheat; 3) the deadlock in the building industry, and the unstable rent and construction situation; 4) the demands of organized labor; 5) the alarms and excursions caused by our politicians over the slowly approaching Presidential campaign. The mood of business in general is therefore reflected accurately by the stock market--dull trading, firm prices, a hesitancy curious rather than eager, and an apathy complacent rather than discouraged.