The Pacific commercial advertiser. [volume] (Honolulu, Hawaiian Islands) 1856-1888, 1869-11-13

gold cleared through their institution. Clearing 50
millions day. which i believe is their average,
their clearing fees would foot up $1,000 daily. At
all events they have paid dividends Of ~ per cent
annually, and their stock required very long pole
to touch IL at ALL and doubt il it could be bought at
any reasonable price.
After these explanations presume you readily
see how small dealers handle big amounts Of
gold how the price Of gold is kept up and how spec
ulation Is fostered- Another point should mention,
and that Is the daily borrowing and leaning Of gold
10 co continue & my original snPPOstiOn have bought
higher than 136. hSve on hand (thar is my paper
ticket is out for 80 much) 100000 gold, which /
want to Z" carry" Consequently loan the gold at
the rate, exchanging another Of tickets
Usually long" gold pays interest ranging from one
per cent per annum up to as high as one per cent
per diem, the rates changing every day and the loans
being returned renewed day by day. That the
longs" m gold should pay interest is natural and
proper, inasmuch the borrower has the Of the
money, though you must always bear ia mind that
all these transactions fictitious and generally no
money passes excepting the differences" received
from party and paid another by the bank.
gold-those who work the supposition that the
price of gOld IS too high and must 90 ower-have to
pay interest, but such - not often the case
/ now return to my original subject and will tell
you about the great tiasco in gold which took place
last Friday. y party or clique Of spectators had
not only resolved 10 corner" " gold, but they had
the whole market under complete control. On the
previous Monday gold was quiet at l36. Tuesday
and Wednesday il advanced TO 1874 Thursday
they jumped il TO 143 amidst great excitement On
the opening Of the gold board on Friday the price
opened at $50 and before noon had gone up to l64
Words describe the fearful excitement Of that
day. IL was Supposed that in putting gold up so
rapidly the clique had Lot their sefcontrol amid the
general excitement, but this discovered not to be
the case. In the middle Of the furry elegant
coupe drove down to the vicinity of the gold exchange
gaining position by the curbstone with the greatest
difficulty, for the street one sea OF excited hu
manity One Of the crowd discovered that the vehi-
Gle contained Miss Pauline Markham, actress
greatly admired for her statuesque form, which she
exhibits nightly TO admiring throngs. bystander
happened To know her and spoke to her, when she
confided to him the information that gold going
to 1885, because Jim Fisk of the clique had told her
they going to advance the price that day to
the figure mentioned. This proves that their plans
all cut and dried to make IN enormous advance
in gold Their plans were most admirably conceived,
and up TO the mOmentous Friday capitally managed.
They had the whip entirely in their own hands;
could put up gold regularly one, two or three per
daily for long period they desired could
have daily collected their profits matters would have
gone along about usual in Wall street people
would have paid their losses and grOwled and hung
on, expecting gold to fall every day when they
thought they could have made up all their losses and
n handsome profit in addition, but the greedy fools
were not satisfied, and they fortunately killed the
goose that laid them golden eggs. They probably
argued that the price Of gold had advanced 40
panic but they forgot that in those days all transac
tons in gold were followed by actual handling
and delivery Of the coin, day. transactions proba
bly, footing two millions, while last Friday the
transactions said to up to the gigantic
amount Of five hundred millions
The head men Of the clique. such as Fisk, Belden,
Smith, Gould and Martin, are non est (not honesty
iHUsntus. Many heavy firms have failed, and no
end Of smaller fry have followed Today the heavy
stock house Of lockwood y Co, has gone under, n
concern whose name was a synonym for wealth and
=. WnGfn~ anil
Southern men take Z" flyers in gold and stocks,
either when they for n trip or by letter Ten
per cent considered ample margin ON transac-
tons but an immense fall in stocks has followed the
gold panic New York Central ten days ago
2O5-this afternoon l45, fall of 60 per cent. on
what considered rreproachable style Of secur
ity. Other stocks have gone down in proportion,
and all margins are " wiped OUT
Government securities stand il nobly, having fallen
OF only two per cent The money market is very
strngent-OHs per cent per diem beng paid in many
instances $40 is paid by weak houses to " carry
hundred shares of stock night. Such times
were never before experienced in the memory Of
Wall street The brokers offices in full blast
last Sunday and all night long every night this week
Mr.. Boutwell,, Secretary Of the Treasury, takes
great credit to himself for breaking up the gold
corner. IL II - dinner at the Loyal League
Club here in August. he said he should not interfere
in the gold market, and the clique worked that
assertion On Friday he had bushels Of telegrams
requesting him 10 interfere but he took action
until the President requested him TO order sale Of
gold. But the would never have survived the
enormous advance Of Frday-it killed itself, and Mr..
Boutwsls authorizing the sale Of four millions gold
did not hasten matters a crisis IL seems that the
eminent banking house OF Brown Brothers had pro-
cured S5,OOO,OOO gold from the Treasury by agree
ing to pay out that sum free Of commission, on ac-
OF the November interest due on u j. bonds in
Europe This gold they threw on the market in
conjunction with q similar sum sold by Duncan,
sherman S Co, and the deed was done The coun-
try lost much when t discovered that obstacles
existed preventing Nr. A. T. Stewart occupying the
position Of Secretary of the Treasury Of the United
States He IL q true fnancier, the proof Of which
is the successful manner in which he has managed
his own affairs Mr. Boutwell,, the contrary, is
very fair country nancier, but not at all fitted
for the most responsible position he now occupies
Rumors say he eGhoot with the late gold clique,
but this do not believe for q moment.
Mr.. Lyman. Of Hilo. who rowed in the Harvard
boat against the 0xfords Is here / understand he
does not purpose returning to the Islands
LEWIS.