Show I REVIEW OF THE WEEK IN FINANCE JANCE AND TRADE By Ira C. C Tichenor Tichenor- j 0 FAR as Salt Lake Bake in particular and Utah in general are conf con con- S SO f the most important development of the thc past week was J as exclusively announced in last Wednesdays Wednesday's Telegram the deI decision decision de de- de- de I of the Ervin Caldwell-Ervin Investment company of Denver which controls several oil companies operating in Oklahoma Kansas and Wyoming to invade the Utah field In many respects the announcement possibly i is the most important important important im im- im- im from a commercial and industrial point of view that has hays ever been made in Salt Lake as it means that Utah finally is to take its place as one of the great oil producing states of America It means that Salt Lake is to become one of the great greatest st industrial and commercial centers of the country and the center of 1 the oil industry not only of Utah but hut a great portion of the western 5 section of Wyoming It means too that as the result of the assured development of I the great natural gas supply known to exist practically at the gates gateso o of Salt Lake eventually this city will be able to rid itself of the J disagreeable unsightly and unhealthy smoke nuisance by the domestic use of natural gas f It means in addition that new life will be created in levery form of business including real estate and construction operations 1 and md that Salt Lakes Lake's popularity as a residential city will be greatly f increased v t e e eT e t tI I T WAS with considerable satisfaction that The Telegram was I IT able ablo to make the exclusive announcement of the entrance into t the Utah field of responsible oil interests one of the objects of which is is the construction I of ofa a large refinery This sat satisfaction sf action was as ca caused s d in in inthe the first place place- place place-by by the thee natural desire desire- on the part The of Telegram to place before its readers an announcement of such vital importance to the people o of the entire state of Utah and of especial importance to its capital and metropolis There was another reason and admittedly a selfish one and that was that the development confirmed the prediction frequently made nade by The Telegram during the last few months that Utah was destined to have an oil boom and that the indi indications were that it would not be delayed longer than the coming spring In connection with these predictions the statement was made at at various ti times nes lc recently that Utah was being visited by representatives tives of prominent prominent- oil companies and individual operators who were we're were in in a number of in instances t quietly acquiring holdings in promising prom prom- ising oil fields those adjacent Lake This t was confirmed by the announcement nent that oJ of one of the companies controlled by the Denver interests mentioned had obtained holding totaling acres adjacent to Salt Lake ake and would develop them primarily for natural gas as a fuel supply for fort forthe forthe t the ie proposed oil refinery to be erected by another subsidiary company company company com com- pany and for its sale to other concerns and the city of Salt Lake should the output be developed in sufficient quantities S 11 to e TELEGRAM on various vario s occasions recently has chronicled TIlE THE r with considerable satisfaction the fact that several companies i r. r Iu V been formed ormed-by ormed by Salt Lal Lake c men with the object of developing la ural gas as and oil oilfields adjacent to this city as tending to show F Jn that t th the financial and business interests of Salt Lake are beginning inning to to awaken l to the the possibilities of the oil industry especially in relation relation rela rela- tion Lion to the ridvan advancement ment of their home city K t Still other companies have b been en formed here for the purpose I in fields field the and in tl the then of or operating various yari us throughout state state and e r n western section of Arizona Anzona which commercially and industrially is isas IS I lis as much a part of or Utah as any section within the boundaries of the State and therefore e within the trade territory rightfully belonging Salt Lake y t 11 With this di display play of f act activity on the the part of local interests s and Ie 5 the assured coming o ot of outside capital invested m in n companies of ot recognized r stability it would seem that the oil boom of Utah is 0 l destined to be launched in a most satisfactory manner and in in a away wily way that will add immensely to the prosperity of the entire state M e T HE fT ITE HE action of oi the tr treasury department lt in announcing an offer JL of of treasury certificates of indebtedness to mature May 9 at 4 per cent means that that the third Liberty loan will rill not ilot be lie called until after April 1 Postponement of the inauguration of the Liberty loan drive f for fr o l approximately two months after the date which generally had been accepted as the time when the move movement would begin is generally accepted as indicating that th the financial condition of the government is much better than the federal authorities had anticipated anticipated anticipated antici antici- would be the case during the first quarter of the new year It Itis is certain that the postponement of the loan was not caused by y unfavorable developments as relating to the financial situation sit an in the United States Reports show conclusively that the banks of the country are in better condition than ever before regardless of their splendid aid in floating the two previous loans Joans and that the c country as a whole is standing erect under the weight of a financial burden that would have broken its financial back two decades ago t Confidence is felt in every quarter that the next Liberty loan will be as heavily heavily- oversubscribed as ei either her of the previous ones A Av v suggestion has been made in unofficial quarters that the coming loan should be made on the premium basis in which the interest is pooled and divided into units to be drawn as in a lottery While such a plan proved a success in London in disposing of bonds issued for the last British loan it is confidently believed that the he usual appeal to patriotism will be sufficient to induce all loyal Americans to continue to the necessary limit the support of their government in its supreme struggle in behalf of world liberty 1 e it of continue to come from certain quarters as VJ the th- th l- l result of the the request r of the government t. t the for fo for the passage passage passage-of of a sa law authorizing o izing tJ the formation of va fl a fi finance ance corporation r wi with i. i a ar capital stock of r to regulate the financing of the coun coun- country's country's i i try's industries t I Excuse for the cry is found in the provision of the bill prepared prepared prepared pre pre- pared by the treasury department that the corporation may create and issue notes up to which obligations shall be Continued on page e 12 OF WEEK IN FINANCE AND TRADE Continued from page 10 available ble for rediscount by the federal reserve and may serve as a has basis is for the issuance of federal reserve notes Frank admission is n made ade as to the possibilities of these obligations obligations obligations obliga obliga- lea leading ling ing to currency inflation but as to the probabilities no f fear ar is entertained by those who realize that in a way the entire material life of the tho country is in an inflated condition as the result of the struggle into which America has been forced but who also realize that this inflation is being kept within bounds and will not be permitted to expand to a danger point I The contemplated move by the government undoubtedly was conceived with the object of holding in in check the more dangerous inflation of i industrial ventures which winch were wore awaiting an opportune 1 moment for liberally watering their stock under the plea of patriotism and at the same dame same time insure insure to all ilI legitimate and necessary concerns relief fr from m a tight money money market Taking faking into consideration along with other salient conditions the fact that the tile banking power of the United States States' has reached the stupendous total of more than or an amount seven times greater than it was about a i quarter of a a century ago the possibilities of adding to the c country's visionary wealth should not be a cause for serious alarm I PROOF P ROOF of the continued stability of business conditions of the country as a whole holc is contained in statements sh showing wing a further decrease in failures in III practically every section of the tile United States In view of the fact that business mortalities were fewer last I year than in 1916 and alid had decreased ased to a low lower r figure than in any preceding twelve m months during the last t ten tn n years a a t further f decrease decrease decrease de de- de- de crease during the first month of the new year is regarded as remarkable as it is gratifying An interesting circumstance in connection with adverse business statistics is that the tile failures in ill the United States were greater by byar far ar during the first few months following the tile outbreak of the war than during a similar length of time succeeding Americas America's entrance into the struggle This circumstance offers offers' proof of the theory previously expressed ex ex- expressed pressed that the United States as a whole has acquired the ability to adjust itself to any condition which may confront it and to tor r regulate its affairs without out a semblance of the hysteria which in time past was almost certain to present itself for even ven less trying j I causes I This This newly newly acquired phase of American life undoubtedly has been created by a realization that this country has taken the lead I both bot industrially and financially and a demonstration of its ability to handle its affairs in a businesslike manner i fact that the New York stock market market closed strong yesterday TIrE THE 1 in the face of a lessening in peace peace talk and knowledge of of the tile feverish activity on both sides for the supreme struggle on oh on the I western front with the added fact that the Tuscania tragedy news BOWS of which broke on Friday failed to cause more than a a momentary further tends to prove the tile theory that the market finally has las become on substantial ground and nd will refuse to be spasmodically influenced in eith either r direction The trend of the market now is upward and indications are that it will continue in this direction slowly and conservatively and regardless of untoward conditions and developments which may be expected from time to time until peace actually becomes a a- a much hoped for realization With the exception of a slight firmness for time collateral money in anticipation of the coming Liberty loan there has been no change in the financial l situation which appears to be regulated by y the same feeling ruling in speculative and investment circles Altogether the situation under abnormal and trying conditions would appear to be conducive of a feeling of confidence bordering on optimism |