The New York herald. [volume] (New York [N.Y.]) 1840-1920, 1868-10-24
stringency In Wall strcet-Schemes
Financial Jobbors.

gone up, and general disturbance in business
has been caused. Those not initiated in the
tricks and combinations of Wall street may be
surprised at such state of things, for there is
nothing in the condition of the country or of
trade to cause that But it is known that q
number of financial jobbers combined to pro-
duce this stringency in order to fleece the mer-
chants and all who might need money. 1t is
said, too, that some Of the city banks have
aided or been in this combination. The specu-
lators have succeeded in withdrawing from cir
culation about ten millions Of currency, and this,
together with the drain to the South and West
for removing the cotton and other produce,
and the absorption of currency by the Treasury
through the daily sales Of three hundred
millions of gold, has had the effect contem-
plated. Thus few individuals, by combining
can make money scarce, raise the rate of inte-
rest, paralyze business, change values gene
rally to an enormous extent bankrupt our
merchants and create widespread trouble.
Locking up the circulating medium, which
combination Of spectators is crime against
the mercantile and Industrious classes, though
it may not be reached or be punishable by any
existing law 1t seems to be one Of those
evils that cannot be prevented by legislation.
1t exists in all countries and great financial
centres. There is no class of the community
that will not seize the opportunity of making
money when 1t can by the arrangement or per-
turbations of the market and there are few
people who would not create perturbations, if
in their power, for this purpose. High and
low, rich and poor, all make money at the ex-
pense of other people if they can. OF course
| stockholders and bankers have the best oppor-
tunity, and generally they are the most unscru-
| pulous. A story is told Of Voltaire showing
that he knew how to use stockjobbing friends
who were in the financial ring at Paris. Some
acquaintance Of the philosopher wondered how
he made money while sitting quietly in his
chair at Ferney, far away from the centre Of
financial operations. Voltaire told this aston
ished individual that he had friend in one Of
the banks at the capital who kept him informed
| Of the ups and downs of stocks in advance,
and thus he was enabled to buy and sell
through that friend without trouble or risk.
| There were doubtless combinations and corner
ings in Paris then just as there are in New
| York now. The financial and stockjobbing
rings have their friends in the banks as well as
outside. The victims are the uninitiated and
the public.
The only way TO reach these spectators is
through the press and public opinion. Cons e.
quently they dread the press and abuse it. The
HERALD was the first newspaper in this coun-
I! try that undertook to probe and expose the in
side operations of stockholders and financial
rings. This was years ago. The spectators
of Wall street became alarmed and denounced
us for showing up their transactions and
schemes Up to that time the stock and
money jobbers had clothed their transactions
with sort of Masonic secrecy. Seeing that
the mercantile community and the public gene
rally were deeply interested in what was going
on in stock and financial operations, we gave
them the fullest news from day to day. Since
then other newspapers have initiated the ex-
ample we SET A daily review of financial and
commercial transactions has now become
necessity. 1t is through the press, therefore,
that such infamous combinations as that we
have referred to- Of locking up ten MILL ons of
currency and creating stringency in the
money Market can be exposed and the effect
neutrali zed.
We see already that the banks of Boston,
Philadelphia and other parts are sending cur
rency to this city, tempted by the high rate Of
interest and having surplus. The prospect is
that the spectators who locked up the ten
millions will soon have to let it go into circula-
| ton again. 1t would be just retribution If
! they could be made to suffer for the evils they
have brought upon the mercantile and trading
community. Perhaps they have overreached
themselves. What do our currency doctors
and contraction theorists think of this state of
things, when q few individuals can make q
stringency and disturb the money market by
locking up only ten millions of the circulation
Why, If their theories were carried out and the
currency contracted as they wish, few native
or foreign spectators could throw the whole
country into bankruptcy at any time. The use
or misuse of few millions might make differ
ence of many hundreds Of millions in the value
of property and securities. We want an ample
currency and one that is convertible-a cur
rency that cannot be locked up by spectators
or drained by foreigners. We want none
tary system OF our own, under which the
people may be secure against native specu-
lators or foreign capitalists. Can we not reach
that? This is one Of the greatest problems of
the time Have we the statesmen to compre-
bend this and give MS monetary system
adapted 10 our condition and the progress Of
che age?
The Bourbons Of tho Episcopal Church.
The Tying case, now Of some months stand
| ING. has been forced afresh before the