The Cleveland leader. [volume] (Cleveland [Ohio]) 1865-1865, 1865-05-24

cords of suffering and endurance, tor 0
admiration and emulation Of coming gene
|
The New Series OF Eevsn-Fhirties.
That there has been CREST and, At frst
SIGHT an un-Accountsble decrease in the
amount of subscriptions to the Ssven!Thir-
~ Loan is apparent to the most careless
reader of Jay Cookies bulletins. Week be-
fore last this great popular loan was being
taken with q rApidity unprecedented in the
financial history Of this or any other ma
tion. The end of the war assured the peo-
nile of its security, snd its other advantages
were so potent that the popular desire to
invest grew greater and greater, daily.
And so the subscriptions to the loan mount
ed higher and higher day by day, until,
on Saturday, May 18th, the days snoscriP-
tion reached the enormous aggregate OF
thirty millions, and the subscriptions for
the week lowered up eolossAIly to NINETY
MILLIONS OF DOLLARS. On the Monday
following a new series ofthe loan land the
,sstl vas opesed, but the decadence In sub
scriptions was at once painfully manifest
On that day it wal only four millions; on
Tuesday only one million seven hundred
thousand; snd the total subscriptions 10:
the week amounts to only twelve millions,
or less than half that for 8 single day OF
the week preceding.
What is the cause of this sudden, not to
ssy alarming, decresse2 Mr.. jay Cooke
charges it to an apprehension supposed TO
be prevalent, that the money market vii
NJ stringent. This is only an ostenable
reason. for Mr.. Cooke knows, IS well as
snv BODY else, thst nobody is troubled
about the prospects of the money market
Everyone perceives that the money re-
ceived in subscriptions to the seven-thiFty
loan will be immediately paid out to the
soldiers and other creditors of the govern
ment and that e7en if the subscriptions
sbould continue at the rate Of q hundred
millions a week until the last dollar Of the
loan is taken, the currency in circulation
would not be sppreciably d~iminshed. The
people understood this as well on Monday
Nav, 18th, as on Saturday, Nay 18th, and
on the latter day the subscription amounted
to thirty mi Iions, while on Monday 1t fell
off to one-eighth that amount s%osuadens
decrease cannot be accounted for by any
fear of a tight money market.
Whstthen Is its real cause2 Iii obvi-
ouslv found in the conditions in regard to
the interest affixed to the new series Of the
loan. Secretary Mccullough, observing
the svidity with which the loan WAS being
u,obbled up" determined to avail himself
of she popular enthusiasm by reducing the
rate of interest for such is the real effect
of the provision in the stipulations for the
nsv series which leave it optional with the
Secretary of the Treasury to pay the in
tsrest on the loan at the rate of six per cent
in suasie, or seven and three-tenths per
esnt. in currency. of course this Is q re-
duction of twenty per cent. on the income
OF public stockholders on the resumption
of speaie payments. What is the result
Thu people are shreWd enough 70 perceive
the change and to nurse their present IN
yestmenls rather than buy further at the
pew rate, and the subscriptions falls OF
from ninety millions to twelve millions 3
vsek. Mr.. McCullough's device displayed
the shreWdness of 5 banker, but not the
foresight of a statesman. he should have
taken warning from the mistakes OF MS
predecessors. He should aforementioned
tnst a similar di.sster followed the at
tau,.ad execution Of q similar scheme for
a similar purpose, il the case OF the change
from the fve-twsnties 70 the .ten-forties
which sent GOLD up 70 two hundred and
afry, and threw the whole financial syStsm
the country into disorder. And if hsh
w,se he viii redeem his error and withdraw
the Objectionable "option." The does SO
be will find that no fears ,fs tight money
market will prevent the people from taking
the loan with esgerness, snd that instead
of dragging slongat the rate of million
and a half q day, the whole series Will be
subsribsd for In two weeks.
Mr.. Jay Cooke, to be sure, in annOunc-
ing to the people the change in the rate of
interest INDUCES In = little special plead
inc IN the remark that Hthe return to sps-
Gle nnvments, in the event of which only
will this option be svsiled of would so re-
duce and equshze prices as that Purchas-
* made withs six per cent in gold would
be fully equal to those msde with seven
and three-tenths in currency" Butt was
the vsry anticipation Of speedy return to
specie psyments-the very belief that Ssv-
an and ~three.tentbs per cent. in currency
would soon be equal to seven and three
tenths per cent. in gOld-that made the
Seven-Thirties 80 good an Investment It
WAS this sublime confidence in the security
Of tie Government and the financial re-
,on,ces If Che nation that called out the
wonderful subscriptions of week before
last. It is obvious in this point OF view,
that the stoption" of the Secretary ofthe
Treasury is equivalent to $ matter Of fact
reduction from seven and thRseteRths TO
nix per cent q
We hope Mr.. Mccullough will let well
enough slone. It is useless for him1to IN
dsrtaks to dictate 8 rate of interest The
be,t course left for him is to revoke bis oP'
lion. Then, and not before, WI the sub
,criptiOnEtO the seven-thirtiss resume then
Iormer dimensions.
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