The New York herald. [volume] (New York [N.Y.]) 1840-1920, 1869-09-24
AND COMMERCIAL.

FINANCIAL AND CONNER CiAL.
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THURSDAY, Sept 23-eP N.
The exciting drama which 10 undergoing enact
mept in Wall street does not nag in interest. The
scene today was more particularly confined to the
Cold Room, where shouting mass Of brokers were
wedged the whole day long. me excitement at the
different 0fices was hardly less intense The gold
diss were anxiousiy consulted ~ the fluctuations
were consecutiyely announced by the bell. The
earliest operations comprised renewal of the bear
salss, which were made on the strength Of the
announcement that the government would antici-
pate the payment Of the November gold interest at
the rebate Of six per cent The oiacal announce
meat was posted at the Sub-Treasury by General
Butterneld as soon as received from Washington.
Under these sales the price went on to 1917, but
here the "bulls' came In and bought all that was
offered, until they put the price eventually to lax.
The reactions to-day were more frequent and wide
and at times amounted to two per cent. The price
surged up and down in this manner until it finally
closed at l43%. The effect OF these changes may he
easily fancled. When it rs remembered that It has
been the habit Of brokers to speculate in gold for
their customers at q margin OF Oftentimes only
few per cent, the hurrying to and fro as margins
were Obterated and required renewal, the scramble
TO catch the rising metal ana the frantic bidding
may be conjectured. The gross clearances at the
Gold Bank to-day were OF 80 large an
amount that they had not been made
up at the adjournment OF tine board. The transac-
lions to-day were on still larger scale than yester
day, and so frequent that Register Mersereau Of the
Gold Room, was compeAed 70 call in an assistant,
aud their Joint labOrs IN recording the fluctuations
occupied twelve columns or the index. The sti
singular feature OF the speculation is the Willingness
OF the clique to pay carrying rates Instead OF exact
tr,rvA thas~
tnue to sugarc0at the pill which the bears have been
swallowing ever since the present movement. The
more conservative spectators Of the field prophecy
the elimination Of the market at no distant DAY. As
gold rises 1t brings out q larger and larger
line OF sellers and the clique are SO piling above
them mass OF gold, which, like o reversed pyra-
mid, widens as it goes up. To keep the market up
they have to keep buying. The gold which they are
said TO have bought IL varlOusly estimated ut from
twenty TO thirty millions. They paying the most
extravagant rates Of interest the currency equiv
alent OF tnis amount. To-day the rate ranged from
'nat" Tor no INTEREST," In exceptional Instances to
per cent per day. or at the rate OF ninety
per cent per annum. While the "bears'' tempted
to sell In order to earn this interest the "bus' re-
spond by advancing the market, they did to-day
Where the deadlock will end Is matter OF pure
vaticination The ''buils" defantly announce that
tncy VIII carry out their programme Of putting
up the market day by day, sending round each
twentyfour hours for the difference in the margin,
by which gradual process they hope to ObIiterate
the shorts one by one, and yet without producing
panic or bankruptcies that would endanger their
own plans. The exporting merchants, who ut first
thought an advance would be SO beneficial to their
interests, are now beginning to complain that The
scheme Of high gold does work SO successfully.
Could they borrow the gold for future delivery at
any reasonable rate they would be juDIant. But
the "buip' cliques are unwilling to undermine their
own position, ana hence refuse to lend except at
rates which put an end to further negotiation.
Where the articles To be exported are such
as to be Immediately shipped, anu the
cash gold sold against their consignment, there is
less complaint and then only on the score OF the
low rates Tor exchange, the fail In which almost
neutralizes the profit arising from the advance IN
g0id In fact, the present combination must eventu-
ally defeat themselves and bring gold In shiploads
from Europe the only equivalent for our exports
None know this better than the clique, and hence
the general fear that in raising the siege they will
play some desperate game such as that OF advancing
the borrowing rate TO figures which viii compel their
opponents to settle by purchasing the gold Of them
Numerous desperate appeals have been made to Sec
rotary Boutwell, to let loose the government gold
either In the purchase OF bonds by lending IL at
SIX per cent interest pledge Of government col
action before the end Of his September programme,
as the ''buls" have been equally urgent upon HIM
not to interfere as the difficulty the gold market
ID purely speculative one, and Is fight between |
spectators, aud not between the SPECTATORS the
one hand and the community the other. 1t |
would be glorious thing for the national
Treasury Secretary Boutwell, would secretly
sell the clique all the gold they Will take
at these prices 1t would be better TO do 30
secretly than openly; for in the latter case
he might get only $50 for his coln whereas he could
by the other plan get 1fO at least Mr.. Boutwell, IL
the ndncary agent Of the people OF the United
states. II he can cOntrive to sell the govern.
ment gold TO such advantage he need not fear that
his conduct VIII be questioned either by the people
or Congress. IL, while the great gambling chques
are thus fighting In Wall street, the Secretary Of the
Treasury could execute SO profitable financial coup
he would receive the thanks Of the whole nation.
lie would thus escape the charge OF aiiiiation with
either clique and would be acting the best Int
rests Of the country. The range Of the gold market
was as f0lows:-
10 A. M; ...... l4l% Up. M............. l43}.
10:l4 A. M.......... 14l9s 2l7P, M........ 144ti
IL a. M............ I42 3P. M.,.. 143lt
I'm. ............ l42I 4P. M........... I43
+. M............ is34 $3.50 r. M. l43ss i43h
An understanding of the situation in gold tells the
tale for the other departments Of Wall street, Tue
great bear cliques IN gold are rendering money
tight Ia order to ''squeeze' their opponents. The
latter while 'long" Of gold are ''short, OF stock,
and have made princely fortune by the recent
panic therein. In going short Of stocks they heged
their operations In gold and their very enemies
subservient tO their plans. They have made money