Rutland weekly herald. [volume] (Rutland, Vt.) 1859-1877, 1872-01-04
THE RUTLAND HERALD
FRIDAY, DECEMBER 90. 1871.
Government Securities.

One gof the best evidences OF the
.fia and good management OF the
administration is the financial
IN of the government. The oonos
the United States are strong IN al
markets. The supply in our cities and
alsewhere has been greatly reduced by
expert to Europe and by the purchases OF
the government, the demand for trust
nornosas and for financial institutions
nroves snfficient TO sustain constant up
ward tendency in prices. Orders are sun
coming from Europe, although In smaller
amounts than heretofore, and as foreign
investors show no disposition to follow
the rising course of prices, very few secu-
rites of this class are sent abroad, and
from the present outlook, it would appear
that eur limit of export OF bonds had oeeh
reached. The course of German bankers
in reference to the calling in of the Five
Twenties has excited surprise in Ameri-
ean circles While less than fifty mill
lions of those bonds came from Germany
AZ ia estimated that less than ten millions
Of the new five PER cent bonds were TAX
en- in that country, which would seem TO
indicate that the Germans are not pre-
pared to take any large amount OF onlt'
ed States bonds unless they yield more than
five per cent interest. This fact, in our
Judgment is important in connection with
future Efforts to reduce the rate of inter
est upon the public debt. The Eugllsh
investors seemed ready to take the new
five per cent bonds which the Germans
decline, but their willingness to do this
in the future is uncertain.
The price Of five-twenties have now ad-
yanoed above par in gold. Secretary
Boutwell, 6nds it impossible to procure
anything beyond nominal amounts at his
weekly purchases, which leads to the I'M
preston that his weekly proposals will be
abandoned, and the expectation is render
cd more probable from the large disburse-
ments of dividends and interest in Janu-
ary, aud the ease in the money market,
which will be thereby caused, will tend
TO carry Prices still higher 1t is evident
that the s. foretary of the Treasury has
decided upon adopting that method OF
reducing the debt in place of purchasing
bonds in the open market, from the fact
that he cslls in twenty millions NOR OF
the issue of fve-tweuties of 1862 in
March next If the government r-ust
keep a surplus of seventy-fve millious per
annum for the purpose OF reducing the
public debt, it is not easily perceived how
the reduction can be Effected otherwise
than by calling in the Government bonds
for they con no longer buy them, except
at premium. Some very serious diff
culties must attend the calling in Of 80
large an amount of bonds. The govern
ment is bound by law and honor to hold
ers TO pay them off in the order in which
they were issued. Therefore the Five,
Twenties OF 1862 must be taken fret, fol-
lowing the order of numbers. -Four. ffths
Of that issue are supposed to be held In
Europe, which would involve the remit
tance of about sixty millions to the Old
World No derapgement would be caused
if Europeans could be relied upon for
buying an equal amount of governments
in market, hut as they are not taking suf-
ticient to adjust our balances abro I'd, 1t IL
out of the question to expect or suppose
that we can send more government bond
than we are now doing. There can be no
reasonable expectation that European in
vestors will take sufficient miscellaneous
securities to fill the place of the govern
ments called in, aud it Ia a question
whether there are sufficient securities OF
that kind which will be acceptable to
them to make good the falling eff in
the export of United States bonds.
Look at the question as we may, 1t if
one of serious moment as effecting foreign
exchanges. If the bonds held at home
were TO be called in, the operation would
be shorn of much of it's danger, fer il
would not involve large settlements oui
of the covntry But this would not be
Just to the public creditors, as it would
show a preference to the holders of later
issues of bonds Therefore, in money
there is much solicitude in reference tC
Mr.. Boutwell's movements. Persistence
in his course would cause drain of gold
out Of the country ss would suspend oper
ations under unfavorable if not disastrous
circumstances. There seems to be bu
two altern atives either to continue buy
ing five-twenties in open market, pur
suing the very Objectionable course o
raging over par for them, or suspend'nt
the reduction of the public.debt and hav
ing a LEES surplus of revenue. Due
weight should be attached to the fact tha
the current trade balance is more hesv,
against us than usual, and the fact mus
soon be settled, whether foreigners will
take American miscellaneous securities IL
place Of bonds which they have almos
ceased to take, deemipg them too high
These are, however, questions whicl
events will force upon public attention
and with an obvious effect upon the mar
ket.
MISSIONARY NEEDED.-Missionarie ar
needed in Alstead, N. FL. There are 6v
churches there but no ministers. and
man xur;tao to tho patarsboro TrQnScri7