Holmes County Republican. [volume] (Millersburg, Holmes Co., O. [Ohio]) 1870-1895, 1873-09-25
THE STOCK PANIc-GETTING THE
ANCHORS DOWN.

1uC CNcutS VI CdluIudl III " al
street remind the outside observer
of ships crew, who, after attempt
ing to weather a dangerous coast
and being very nearly driven on the
rocks, begin to get their anchors
down and their canvas reefed ready
to ri.le out the storm where they
stand. The morning opened rather
quietly. Every one was tried of the
turmoil and hoped that the worst
had passed. Had it not been for
two circumstances Saturday would
have undoubtedly brought marked
improvement in the situation. As
it was, however, the Vice President
of the Union Trust Company,w
mad remained open an hour later
than usual the day before, paying
checks as fast as the tellers could
handle the mone;, went to convert
a million of dollars of registered
government bonds into currency but
for some reason-probably the diff
ficulty of fixing price upon the Sc
curities in the midst of such crisis
this negotiation failed and the COM
pany at half past ten closed its door
with the announcement that it
would resume on Monday. About
the same hour the Bank OF the Com
monwealth, State chartered insti
tuition upon which a run had been
in progress since Friday morning
was obliged to suspend from sim
liar cause, the inability to convert its
securities into money. At the same
time it was learned that the ten mil
lions of bonds authorized by the
government to be purchased, could
not be made Available on the mo-
ment by reason of the formaiities
necessary to he observed in such
negotiations. These two suspensions
and the delay of government aid,
threw the street into a panic again.
The Stock Board opened amid a
perfect storm of excitement, which
time the officers of the Stock Ex-
change comes to the rescue by de
claring the Board closed until fur
ther announcement by the President
and prohibiting all stock negotia
tions on the street by any member
under penalty of expulsion. The
promptness with which this move
ment checked the whirlwind showed
how purely this crisis is an affair OF
the stock market and not feature
of general business. Had the board
been closed on Friday noon it would
have saved much of the trouble.
The moment the Board was closed
the bear clique, which had beeu urg
ing on the panic by spreading wild
rumors and creating runs on the
banks, found their game blocked.
They could reap no further harvest
from the ruin they were creating,a and
from that moment ceased to have
any further interest in breaking
down stocks. Fifteen firms..in all
had been obliged to suspend during
the morning, but they were, with
few exceptions, small concerns, and
the exceptions mostly promised to
resume on Monday. From midday
the situation began to improve. The
bank presidents met and decided to
issue ten millions in loan certificates
and with this additional strength
they propose to stand by each 9th
er and face what remains of the
storm in solid phalanx. Secretary
Richardson and President Grant
have gone to New York and will this
morning be on the ground to take
such steps as may be necessary to
stop the panic. Had the Secretary
of the Treasury been in New York
on Saturday to accept bids for bonds
the ten millions of the government
would have been available. AS it
was the bids had to be telegraphed
to Washington, acted upon, and the
reply transmitted, as usual, IN such
cases. All this consumed so much
time that before these formalities
could be finished the Stock Board
was closed and the crisis of the day
was. over. Upon all this scene of
excitement and turmoil Saturday
night and Sunday have come like a
truce in the midst of battle. Thirty
six hours of rest will give the blood
of the money men time to cool.
There were fewer men than usual at
church in New York yesterday, and
there was undoubtedly a great deal
of hard thinking and close consulta-
tion going on throughout the day
behind the closed doors OF Wall and
Broad streets. This morning will in
all probability dawn with brighter
skies and purer atmosphere. The
bears are muzzled by the close OF
the Stock Board. The government
is ready with assistance in case oil
extreme need, the banks have ready
their ten millions oflOan certificates
and have determined that the sense
less panic shall go no further. As
confidence returns the securities OF
the distressed banks will become
convertible, and the deposio trs who
rushed like madmen on Friday and
Saturday to crush the banks by de-
manding their deposits, will come
bringing them back for safe keeping
again. Except Philadelphia,no 9th
er city of the country has felt the
shock. Baltimore, Boston, Chicago
all the Western cities have gone on
with their business, their banks sim
ply shortening sail and keeping
their resources well in hand against |
possible emergencies. Millions Of
dollars have lett Boston and the
Western cities to gather in the de
preciated stocks when the board re-
opens. There will be little buying
on margins or through brokers'.
Those who have had ready money
have gone to buy the shares, pay for
them, return home, and await the re-
turn to legitimate values when the
storm subsidies. What the bulls of
Wall street have lost will he largely
by men outside ofNewYork
who rarely touch such investments.
las remained remarkably steady
throughout the entire crisis, show
ng that the great business motor,
he standard of real values, has not
'een touched. In short, there is
very reason to trust the sagacity OF
he London Times and Telegraph,
which papers said on Saturday morn
ng: -s ~aHe-lrl ..e !
Sin view of the extraordinary pros
nff - -. \