New-York daily tribune. [volume] (New-York [N.Y.]) 1842-1866, 1864-06-30
GOVErsNnENT SECURITIES Az AN
gNyEsTnENT.

There il one view OF inycsimcnts in Govern
ment stocks which has not been generally taken.
Ir taken 10y shreNd capitalists and spectators,
it has not been generally considered by the pco-
pie II IS this: When, after long suspension
specie payments are resumed, all stocks and all
prices Immediately and largely decline, but
Gorcrament stocLs DO NOT mG'fr,0Hy doci'nf.
This fact we assert on the ground of historical
erporience. IL is true that, in the War OF
lsl2-l5, Government stocks fell, at one time
TO 20; but most of the banks Were then sus-
pended or bankrupt, and there was coInpara-
lively little currency in the country 10 buy
with. Bat suppose The gold value Of Govern
mcnt stocks were this day 20 (the lowest they
were ever I'LL now sold at), the market value NJ
the present rate Of gold would be l3j; while in
fact The stOchsare selling below i05. Surprising,
then, that The market price Of Government 80
curitics were, by the resumption of specie pay
ment., to 20 down to 20 in July, the dfe'i"e
would be 30 on l05. equivalent Ia 33i
pr cent. while the decline on a railroad
stock would be nearly or quite equal 10 the
whole present difference between gold ana paper.
4 common railroad stock. selling now az 100.
would decline to -, or, in the beat ,npposablc
case. 90 CO. This is illustrated by the history
Of every suspension Of specie payments We have
had; and there are many business men Who Hill
recollrct what the prices Of produce. stocks ana
all sabe commodilios were after the CONNER
cial rcyulsion, Of ls37 and I-3g-io In I'll,
y and 10. price, were reduced 70 q degree
now scarcely credible. Bu. GorernmcH Stocks
lid not iaii materially. Or the contrary. i, is a
settled principle, dcduced from al experience
in England ard this country, that GorG7meat
jra@y ID not facu4ir 10 me- same 4i,r' ~ oih'T
tipd, efyroyr'y. There il q good reason ior it.
The time. rafc Of ia'Tssf. and s'cwiiy are all
fixed and permanent Wien man buys q
United state bond Of 8 900. hc knows all about
it. and everything which can affect e; b. know
thoi De /, TO receive 20 much interest; that II b.
TO De paid lsud That IN gold at TIE end Of So
msny years; ard that the whole power and re-
sources Of the nation. and hat naiiornl ilith
which vas never violated, are pledged. that, in
any contingency. II .bail bcpa.d. Hence. there
H. no reason Why il should nuctuate 10 any con
siderable extent. 1t is gold bond from the be-
ginning. paying interest in gold now. and 20
be paid in gold when due. There may be some
variations in the market price, owing "a The
greater or less bulk of the entire currency, but
there can be none in the intrinsic value; and
hence it is that, hisfoyicqly the fluctuations IN
the value Of Government stocks have been com
paratiyely small In all the recent com
mercial fluctuations OF England Gin some
I of which there has been q complete pro-
traliou Of all other property, the varia-
I lion in British cousols has not been over
FIVE or six per cent. This cannot be-
said Of any othcs Kind of stock. OF railway
and bank stocks, The great variations and ~
time. wonderful depreciation are noioriou,.
Sudden commercial rcvtllsions have reduced
these stocl to one-half their price. Suppose.
then, that with gold say at 90 now. and Govern
ment stocks m loj there should be = rcsmmp-
ton OF gold payments in one year (and tins is a
supposition which NAV become fact, what
would bee Che relative effect Oh three kinds Of
etocS--3ly Government at l0j, bank "a, IL,
and railroad at l20l In All humen probability,
the resumption % gold payment, in year
would bring them to these relative prices, viz:
Government, 90; bank, e5 railroad. ~.
Judged by historical elpcrishce, this would be
nearly the yeiatico result. The Consequence,
then, il that the Government fund, depr, ciatc
Is per cent, tho banks -, and the railroads 80
II is more probable, II this statement be- thought
erroneous, that the actual results would hc
much more in favor Of Government. But We
merely give this rs an Illustration of general
historical truth. that on the resumption OF epe-
cic payments, or on The occurrence Of great
! commercial conyulsion, The fall in Goycmmen,
stocks will be- far less, relatively, than the Ell
in any other Kind Of stocks 7ho procheot MFR
,ncc from this is plain. Tho purchase of Coy
eminent stock being made for Investment, II IS
a FIR safer ond more prcfiaJ'e Investment, for he
futnr,, when gold payments will be resumed,
than any other.
Now nobody can doubt that The War Chat IT,
The great bulk and expense Of the War will be-
over il year or 80; and when that occurs,
there viH como u go'd Sfamiord; and then, whom
others are lainenting over The ial OF stocks. the
holder of Government bonds viii have no fall TO
lament. Ho viii, in fact, be a gamer By that
change which Injuries the holders Of other prop
eriy