Grant County herald. [volume] (Lancaster, Wis.) 1850-1968, 1870-03-15
Influences which Affect the Gold Pre-
miums.
tNsa York Cor cinoIpnAti Commentary

A (Nsa York Cor Cincinnati Commercially
The past ten days have been very
exciting days in Wall street, and es-
peoially in the Gold Room, which
has been the center of interest not
only for spectators, brokers, and the
"gods OF the gallery but for the
mercantile class and all sorts of bust
ness. men.
At tEls time there certainly seems
to be many strong reasons for the
present low price of gold, If not for q
still lower price.
The influences which affect the
gold premiums are but few.
l. So far as legislation is concern
ed, there is nothing to fear. Since
the recent expression Of opinion in
the Senate against expansion of the
currency, there is no chance of any
measure of imitation being passed by
Congress. If Sherman's Funding
bill becomes law, we will perhaps
be able 30 get portion of the new
loan taken abroad on cheaper terms
than we now pay. But lift does not
become law, the Secretary of the
Treasury has other efficient means
of action in his hands.
2. SO far "a our credit abroad af-
tects the gold market, we are in q
better way than ever we were be-
fore. The one thousand millions of
Government bonds held in Europe
have steadily risen in value year by
year since their expectation, till now
they are all on the very verge OF par,
some Of them having actually reach
ed the par value. The markets OF
Europe show their faith in our credit
BY taking our paper, in constantly
increasing quantity. at our own val
uation. Congress gave them reason
for thia faith last session, when it
repeated the declaration that the
principal as the interest of our bonds
was pax able in coin. 1t seems, too,
that the dicision ct the Supreme
Court has streug' hencd their assor-
ancc Of our financial morality
8 So lsr az the price of gold is
affected by our commercials exports
and imports that is, ny our foreign
eXchanees--wc have not for eight
or ten years been in such hopeful
condition as we are at the present
time. Our cotton exports for the
year will be greater than for any
year since the :opening of the war,
and tor this single article we will get
more money taan we ever got in any
previous year While the value of
our imports have diminished, and, as
consequence, our commercial ex-
changes are in a better way at this
time than for long time past,
4. So far az the price of gold is
affected by the condition Of the Ma
tional Treasury that is, by the public
income and expenditures, we certain
ly cannot look FOR a high premium.
1t is familiar story to everybody
how tie revenue returns have in
creased during the last year by q
more faithful collection Of the taxes,
and how the expenditures of the
Government have been diminished
by more economical administration
of the public service it is known TO
everybody how the Treasury has a
large surplus Of gold constantly on
hand, 50 that it is able to sell three,
or six millions per month, according
to its pleasure. And it is also known
how the Treasury is able to buy up
$40, 900 900 or $50, 600, 900 of its own
bonds every month, and place them
to the credit Of the Sinking Fund
1t is known, in short, that the fnan-
cial condition is in all respects strong
and hopeful.