The evening Argus., 1869-10-01
Daily argus.
-
OFFICIAL PAP Il d.
NEW YORK CORRESPONDENCE.
Nrw YnRK. Sent. 2Slh Isl

NEw YORK, Sept. 2Sth 1869.
The terrible excitement in financial circles
here on Thursday and Friday last, is still
the theme Of universal conversation. The
price of gold went up to l.6j aud down to
l.30, and it is stated that, on Friday, the
transactions of the gold gamblers amounted
to the enormous sum Of Five Hundred Nil.
lion Of dollars Certainly they were so
large that the clearing department of the
New York Gold Exchange could no: by any
means get through the herculean labor OF
adjusting the accounts that night. The I'M
sophisticated or PLAIN country people who
know nothing Of Wall street operations
might open their eyes with Ngtonishrent at
this vast sum and wonder where SO much
gold came FROM Five hundred millions OF
gold bought and sold in one day. 1t is
enough to astouish any ono not acquainted
with the bogus transactions Of the gold
gamblers. Five hundred millions of gold
bought and sold when there is only fourteen
millions in all the banks and brokers' offices
in the city Think of that Probably not
FIVE millions Of gold--that is, one per cent
Of the transactiens-were ever used or on
hand to meet the contracts. Yet It is these
bogus transactions on paper or by word Of
mouth among few gamblers that regulate
the price of gold and tho values Of stocks
and other property. Was there ever any.
thing before so absurd 1t would be just
as reasonable to make betting on a faro
bank regulator of national values and fl.
nances as this betting on gold, for it amounts
to that and nothing more.
Business was just beginning to be lively,
trade was opening well for the fall, aud
there was o prospect Of fai. fall business
With the great crops, north and south, al
branches of business seemed likely to thrive
in something like old.iashioned days. But
the shocking management of the public fl
nauces by Grants administration has upset
everything, unsettled all values, and done
incalculable harm to hewhole country. The
recent scenes in Wall street are the fruit Of
the absurd financial system of the republi'
can party they are chargesble rather to
the authors of that system than to specula'
tors who try to take advantage OF it. The
secretary of the treasury is Immediately re
sponsibe for the recent tornado in Wal
street: but its primal causes lie deeper than
any action Of his, and are chRrgeabIe upon
the preposerous financial policy Of the re
publican party.
The source of the evil, when traced back
to its real origin, is the exorbitant tariff,
which. besides all its other mischiefs, col
ects a gold revenue far beyond :he uses o.
the government, and locks up in the treas
ury, in unproductive idleness, large
amount of capital needed in the current
operations of commerce. If the tariff were
low enough to collect only a sufficient
amount of gold to meet the public oblga
tions, the supply of the commodity woultc
be more abundant and the demand for i
less, its average price lower, the prices o
all imported goods would be less, to thu
great relief Of consumers, and disasterous
speculations would no longer be fosterec
and stimulated by the fiscal action of thu
government. If the high tariff did no
cause the government to keep hoard; If NJ
more gold came into the treasury thar
would suffice to pay the interest on the pub
lie debt; if all the gold in the world wer'
thus left free to flow to its proper places in
all the markets of the world, the chief ele
ment of uncertainty in its price would b
removed and speculation would be RESTRAINED
By the ability Of all competent bushes
men to forecast the demand and suppl
within limits which would save them from
ruinous mistakes. There would be no spec
ulaton in gold if we had q sound currenc
based upon specie; but even during the sus
pension of specie payments, the evil woul
be mitigated and reduced to minimum,
| the government were not collecting an
boarding up, by an aosurdly high tariff,
vast amount of gold for which i, had no i'm
mediate use.
Not only is the pernicous financial polio
of the republicans at fault, but their secrc
tary of the treasury, having once attemPte
to regulate the price Of gold by thrown
government gold on the market, and the
buying bonds at Is to 20 per cent. premium
which are not vet due, is directly respons
bic for neglecting to prevent the late horr
bic crash. If, as many sagscious reasonei
contend, he has properly nothing to do wit
the subject, then there is no excuse for HI
interposing, as he did on Friday, by an M
| nouncement that he would sell four million
Of gold and purchase an equal amount
bonds the next day. But if, on the oth'
hand, il is his duty to regulate the mark
and guard it against violent and ruinou
fluctuations, there is no excuse for the hal
ing, obstinate tardiness with which he wal
ed till 30 much mischief had been done, al
until the street was wild with panic, beto'
he came to the rescue. He has either me-
died with what is properly none of his bus
ness, or he failed to prevent gigantic mi
chief before it had run its course. He ha
lust the sane right to sell gold three da
earlier that he had to sell on Saturday. Ht
he offered four millions, or the half OF to-
millions, an Tuesday or wednesday,, th
enormous speculation would have been nj
ped in the bud But he stood stubborn
aloof and allowed the speculation to 60
until il had done all the mischief 1t coui
=, and then, after the tide had tur.ed, he jun
suddenly into the market to precipitale al
hasten the reaction which would have GO
on without his aid.
The New York Herald, of yesterday,
Grant paper, remember calls loudly
Boutwel's removal The Herald charg
that he was in league with the gold gan
| lers. and playing with the dearest and; m'
u ! | sacred interests of the country. tasks W
u u he did not prevent the ruin Of thousands
= business men and the destruction of the
v business. And it says:
owe find il hard to resist the conclusion {
Is it was because the Secretary and his retain'
including some Of his courtiers, we're IN the n
u | and that even as it turned out, the net prohts
~ the grand crash of "tbe corner were pocke
u by what in this affair we may call the 10
II league.
1t "Au this demoralizing business in Wall st
OF might have been prevented by timely sale
re Treasury gold. In declining to prevent this
creditabie this disgraceful exhibition; the be
I - a us..n.ul ulr- a Won l.nn