The Charleston daily news. [volume] (Charleston, S.C.) 1865-1873, 1869-09-27
q THE SENSATION IN eoLDa
WALL STREET IN A EERMENr,
frantic uo,.g. In the eo,d-Room.
SCENES AND INCIDENTS.

The New York papers teen with accounts OF
tho scenes in Wall street at the stock and gold
exchanges during the exctements Of the cor
nor in gold nd combinations in stocks that
have been going on for thepaat three or four
days. The scenes of Thursday, it would seem,
wereilustrated by greater excitement even than
on the previous day, when the "street" was
sudddenly startled by the rapid descent in the
price OF Central Railroad stock, and the equally
rapid advance in tho quotations Of gold.
THE GREAT ADVANCE OF FRIDAY.
The New York Evening Post Of Friday has
the following very interesting editorial:
The large advance in the price of gold during
this week is duo entirely to speculative Causes.
The wealthy combination thst holds nearly all
the coin in this city purchased it, indeed, when
| therefore, q reaction to some extent was natu-
raj. Besides, the condition of our relations
with Spain Is such that they may have had some
small e', pope col 81 war alarm, which would enable
plain that their schemes have been laid with
skil1, independently OF such chances; and that
they mean to make euro profit out Of other
speculatoIs. whether assisted by events or not.
The plan is not difficult to understand.
There are hundreds Of men in this country who
are in the habit Of selling gold for future deli
when it falls their profit is made by buying 1t at
the lower price and delivering it, in fui6lment
OF their contract, at tho higher. But somo.
times it rises instead OF falling; they have to
pay more for 1t than they get, and the result ia
oss In either case, duriug the interval be-
tween the sale or contract OF sale and the pur-
chase for delivery, tho speculator is properly
| SAID to be 'short Of gold;" he has mono, and
must obtain it In ordor to fill his contract.
Instead OF contracting for delivery at q def
mite future time, as three or thirty or sixty
to cell tho gold Tor immediate delivery, and
| then TO borrow 1t, until the seller wishes to
cover" that is to buy it blck. By far the
greater part Of oil tho transactions in gold arc
OF this nature; that is to say, they are bots on
the future prico OF coin. Tho proportion which
these bets bear to what is called the "legiti-
mate business" that is. to the transactions Of
merchants who bny and cell gold in the ordi.
nary course OF trade, is startling to those who
have not considerable: The daily transactions
OF tho Gold Exchange Bank aie from $780,
700 o9o to FOO goo, GOO; that is to say Tho book
transfers OF gold bought and ao'd amount to
these Sums, while tho actual amount OF coin
and coin certificates nsed in those exchanges
| is from 81 600 600 to $9 900 0I0
1t ls q fair estimate OF tho mercantile bust.
ness OF the gold room to reckon it at tho sum
OF all the imports and exports OF the port, and
OF the dulles y paid i L., on them. These amount.
but such transactions have been almost entire,
IT, suspended for some days past. On the other
hand, the speculative business OF yesterday
cannot have been less than "a. 600, 600; and st
is, on the average, at least SIXTY times as great
as that which represents the trade OF tho
/ country: '''r-''-'
Now the whole amount of gold coin owned
| By the banks. bankers. merchants aud specu-
1 .lators OF New York rarely exceeds $40 900 600,
and but part OF this can bo brought into
Wal!-stieet' for speculative 'ideliveries. II q
| combination OF capitalists, therefore, but buy
up that amount, then all who have gold to de-
liver must buy or borrow OF them. II they
bny not only that amount, but much more.
then. they have the latter at their mercy, and
caI raieo the price. for the time, at their will,
\ compelling all who are 'short" to pay them
the difference Of price. The advance from, 1877
I'm Thursday morning 70 155 this morning,
Represents difference OF more than forty mil
/ lions on the transactions Of yesterday alone;
and ii tho combination which has invested
perhaps thirty millions OF dollars in the "cor-
ner' can secure even twentieth OF this DIFF
ference for themselves, they. are likely TO close
their accounts at last with large profit.
| common degree; but Ii rs plain that tho ring
now at work are not wanting in these. All
mercantile morality apart, 1t is as impossible
TO watch the slow deve;1pmens OF their plans
admiration, as it is to read tue exploits OF jack
Sheppard aud keep in perfect sympathy with
the tbief-catcher. Indeed, the most ardent
detective will scarcely claim that Jonathan
Wild is, of himself, more admirable than. his
lawless foe; and, however the ''beats" in gold
may Rrowl and cry for government interference
tho public that they are worthier animals than
the bulls" It-is q case In which the govern
ment and the people may look on With perfect
indifference, aud admire dexterity and cunning,
since nothing eIso that is admirable IS likely 10
| appear.
1t is true thst some merchants cannot be
quite indifferent, Tney have foreign bills to
negotiate, and all business in them is stopped
by the irregularities OF the gold market. they
have imported goods to pay for IN coin, and
can neither buy nor borrow 1t at any reasonable
rate. They have food or cotton TO ship on
commission, and their markets are. seriously
lderapgGa. The money market, too,l is affeoi-
i ed. the gold gamblers paying suoh rates for
j'funds as defy The competition Of business bor-
and Of our currency seems to &c attacked; for
i lgreenbAcks have tiominally deprecated nearly
itep., per cent: within three days. These are
evils, and give ceIialn plsueibi!:ty TO the
come to their re lief. ;lslJ Li< t,..Ss. u
But look forward o little. II the treasury at.
I tends to,tts own business, aud leaves the gam.
blers TO Sight their own battle, what viii bs the
result The eFinconyenlences Of the situation,
at worst, can ;last bit q Few days. Gold viii
come from Europe. or tho combination will
81 ba Nancy or
iators will stop selling. ''shorts.n snd the mo-
tive for holding 80 much capitali idle win cease
| In no case sanlthe embarrassment OF trade lsst
compensate for the short interruption. The
| only sif6erory will be those who have riske6
their money on the great roulette wheel OF the
On The other hand. il Mr. Boutwell, saboula
step ilto the ring, In obedience to the demands
q the "bears" and their journals, what will be
the result? The treasury will be again sur.
| Of public policy abApdoGed. A, contest will
ensue between thesearetary, whoso resources
are precisely known to every one, ami secret
conspiracy OF CAPITALISTS, whose resources are
fbee9Ine strong enough Is buy, what Mr. Bout.
VIGIL can sell, and, II s0 the treasury will eimniy
be depleted ana defeated and ita Credit ti ioipf.