Daily Kennebec journal. [microfilm reel] (Augusta, Me.) 1870-1975, 1873-09-23
The Financial Crisis.
EASIER STATE OF AFFAIRS.

New York, %. To days experience has
shown that the measure taken by the Govern
ment and banks has averted the threatened
disaster. The trouble has undoubtedly been
limited to financial circles, the banks having
been the barrier which prevented its extern
sion TO mercantile interests. A good many
settlements are making between the brokers
OF stock exchange contracts, and the ex-
change being closed for another day the value
OF the contracts to be settled at the exchange
will be largely reduced.
On the opening of the stock exchange there
may be a fresh lot of failures of brokers, blu,
there is no doubt that the tide has turned and
that mercantile credit will not be effected.
The day closed with an established improve
ment in the general feeling. One day more
with the stock exchange closed, it is thought,
will put every body in such condition, so
tar as the exercise Of reason is concerned,
! that it will be prudent for the brokers to
again begin business.
The plan of relief adopted by the Treasury
now looks TO, be sufficient for the emergency,
the Assistant Treasurer having bought to-day
So ,339, 100 Of . 20 bonds, and paid out legal
tenders therefor.
To-day the banks drew out on the presenta-
ton of legal tender certificates, So, 7S5 900 OF
legal tenders, which is the result of the action
of the banks Saturday, and not the Govern
ment. Money lent on the street as high as
"a per cent, that rate having been paid by
distressed brokers.
Many of the richest and most respectable
stock exchange firms refused to do any bust
ness to-day in regard TO loans.
The closing of the exchange was Il practi
cal suspension of all departments of the stock
exchange business. No suspensions were re,
ported, every institution responding to the
demand with promptness.
! 1t is understood that the loan committee OF
the Clearing House has issued So 900, 900 OF
certificates, but the banks oaly required 81, )
$4,000 of them in to days business.
Tie drafts from the Sub Treasury on Sat
ur6ay and Monday make about 100000
which is just so much ease to the money
market in paymedt for 500 bonds.
! To-day. the Treasurer gave legal tenders al
par for the bonds the accrued interest and
premium being left for settlement Tomorrow.
This is being done to save time. He also re-
deemed for banks S., 1876, 600 legal tender
certificates of deposit.
The banks aye now able to use the cert-
ficates issued on deposit of assets with the
Clearing House committee, instead of legal
tender certificates issued by the Treasury.
The legal tender notes which they are now
getting will enable them to meet the demands
vi pTOsiuSu lhtN continue
the gold exchange bank
| The Clearing House of the gold room to-
day completed the clearances for the transac-
tions in gold Friday and Saturday, involving
an amount of S92 ,005 900. This was certain
ly great feat. Every one settled promptly
by certificate checks and the gold room i,
now perfectly clear of all unfinished business
This is important in view of the situation, ant
will greatly facilitate matters when the room
is again opened for business.
The operations of the gold exchange bank
to-day were as follows
Gold balance, SI,l9s, OPS
Currency balance, 1891, OPS
| Gross clearances, $4,000 O0O
One of the National banks was DELAYED in
making its settleme nts at the Clearing House
to-day in consequence of two brokers over
drawing on Saturday and not making their
account good in time. Some of the banks
have been certifying checks for quite large
amounts, but not paying out greenbacks. This
is in accordance with the spirit manifested
early in the day, the banks refusing to pay
out their currency in the satisfaction of any
run on them.
Buffalo, N. y, D. II. w. Burt & Co.,
private bankers and brokers, closed this af-
ternoon. Financial matters are feverish, but
merchants and brokers are confident that no
serious embarrassment will be experienced
here.