The New York herald. [volume] (New York [N.Y.]) 1840-1920, 1871-09-22
THE GOLD EXCITEMENT.
The TREASURY SELLS SIX MILLIONS.
Gold Declines from Ia 3-4 to ll3 7-8,
but Rallies to ia IL.
Terrific Combat Between the bulls" and
''Bears"-Thc ''Bulls" Beat the
Treasury and the Syndicate.

An extraordinary complication In the currenS
speculation IN the gold market was developed
yesterday. Mr.. Boutwell, endeavored 10 smash the
gold clique by selling It six millions OF gold, or two
millions more than SUFFICIENT TO "break' tha
famous Gould Fisk 'corner' OF 1869; but the clique
absorbed the gold at trining decline, and then
advanced the market above the price which Mr..
Boutwell, obtained for his gold. In 1869 the sale OF
four millions occasIoned decline OF IS per cent the
same day. Yesterday The sale OF six millions OF
gold affected Tie market less than y per cent me
advertised to be sold was only two millions,
ana the bids fled asked Tor 1855, 0oo
HISTORY OF THE CLlQUEs.
The combinations which have been In existence
on the street for The past two months are TWO In
number and have been organized for two diuerent
purposes. clique has been formed with the OBJ
ject OF locking up greenbacks and Thereby making
money tight, 30 as TO influence the stock market on
the bear side. THIS clique ioined hands with
clique In gold whose object was TO lock up all the
cash coin, thereby advancing the premium ana
compelling borrowers to pay usurous rates for the
use OF gold. The bear clique In stocks hoped, by
Keeping up the squeeze on the market, to induce
the Secretary OF the Treasury to sell ut least four
millions OF gold yesterday and thereby withdraw
from the banks that amount OF greenbacks wnich
would assist the money squeeze next week.
THIS WAS PLAN,
and both cliaues worked earnestly for its accom-.
| plishment. On Wednesday the Secretary partially
| defeated the scheme OF the bear clique in stocks
| by purchasing three millions OF bonds; then BY
putting that amount OF legal tender notes into no
banks I'm payment for them. Yesterday the excite
ment In the Gold Room was intense all the morning.
for the operators concluded that the Secretary IN
tended to sell larger amount OF gold than he had
advertised TO do, ana the great numoer OF tneM
"suoRT" OF THE MARKET;
| so that by noon at least four millions was dis
counted In the ROOM The bul! clique was there,
| prepared for the emergency. AT noon nlty bids,
S We're opened BY the 1ssstan. treasurer and
| when 1t was seen tnat the average bida
sumed that the Secretary would not sell more than
$4,000 0oo he did that and therefore old the price
collected in the sub.Treasury q large throng Of
| operators anXiOusly awaiting the announcement OF
| the awards. Suddenly the room was cleared by the
| PROCLAMATION FROM MR.. WHITE,
| the cashier, That The Secretary would acceps
Which sa at the OF the most
| tremendous excitement almost equalling that ol
Black Friday IN s6g The most tim!d OF inc 61 nos
to $500, 600 were offered and taken In twinking.
| Everybody seemed to be selling and but rev were
| buying, and In consequence
| THE PRICE DROPPED
in less than i've minutes to 1l37s, and thereafter
| nuctuated wildly between that price ana ll4h.l
| Changes were SO rapid that the registrar could
scarcely record them, and was Obliged to Obtain
| assistance while he manipulated the Keys OF the
telegraph. One moment the PRICE would be up and
another 1t would all, and for the space OF a!mOse
minute. The centre OF tho room was packed with
and seeking to make himself heard above the DIM
Some Ieaped upon the railing OF the ring, and, with
| both hands raised, sought 70 make themselves 80
prominent that their oilers would be needed, ana
an were most frantic In their gcstlculations. Bat
the principal leaders or
| THE "BULL' MOVEMENT STOOD FIRnLY
AT their posts and bid for large blocks at 70 below
the market, ami TOOK Immense sumS--one II Was
said loading mp ~ 900 900 of the gold thrown over
BY aisoouI aycu' operators.
Men who had bought an hour before for 114I sold
at la and retired satisfied. but, giving glance at
the Indicator rs they were going out, would return
TO the contest, and, finding that the price had
| vanced TO 114j4, would buy again. In this way the
| eXcement continued all the afternoon, and by the
time the market was closed tho price mad reached
| to ll43S BID and was considered strong ut that.
There were various runlor5 about the street dur
ing the late hours Of the afternoon regarding Sec
! rotary Boutwelps Intentions. One was that he
| would accept
THE BONDS OF 1862.
In payment OF the SIX millions gold sold by him yesd
| terday, and thus circumvent the schemes OF tho
| bears IN stocks, who were understood TO contem-
| plate squeeze In money to-day. Another statement
was that the secretary was all the time during tina
reading or the bids quietly sitting In the Asslstanr
| Treasurer's room. ana thereafter consulted with
hun respecting the amount which should be-
awarded. IL was asccraned however, that
THE SECRETARY WAS NOT IN TOWN l.
or within reach OF the telegraph yesterday after.
nOon ana 1t was said that Assistant Treasurer Hill
day ming, giving him discretionary power.