The New York herald., 1874-11-27
FINANCIAL and COMMERCIAL
An Important Feature OF the
Market.
THE ADVANCE IN GOLD.
A Plan for the Resumption of Specie
Payment.
WALL STREET. I
THURSDAY, Nov. 26, 1874. (


This being national holiday no business was
transacted on the Exchange and the only fresh
news we have to present that which may be found
in our London dispatches. Briefly reviewing the
events OF the last four days, 1t may be remarked
that the notable feature Of speculation has the
movement in gold, which has OF late shown such
steadiness az to elicit more than ordinary atten-
ton. The causes that have promoted The advance
are or both oreign ana local nature. The rise Of
the rate OF discount OF the Bank OF England, the
return OF American securities, their sale in this
market for foreign account, the nrmness OF ex-
change, the large shipments OF gold-all these
influences have combined to produce tue result
which is seen, and 1t will not be surprising II q
further advance takes place. Not a few among
the large operators base their expectations OF
THE FUTURE VALUE OF GOLD
upon the recommendations which they believe will
be made to Congress by the President and the
Secretary Of the Treasury, urging a speedy return
to specie payments. 1t is also thought that, as q
preliminary step, the last named ofilcial Will. at q
not distant day, suspend the sale OF government
gold, with view to the accumulation or coin in
the public vaults. Indeed, there are those who
profess to have seen letters from Washington
which clearly foreshadow this policy and upon
this faith are baslng their calculations as 80 the
future course OF the market. Unlike other move
ments in gold there Is not apparent al the present
time any evidence OF
CLIQUE MANIPULATION
or OF efforts to create purely speculative value
On the contrary, the purchases have been largely
made for bankers ana merchants to be held for
the purposes OF trade and in anticipation OF higher
figures. The advance thus far being natural and
not fastened by combinations Of operators, has,
therefore, not provoked that prejudice which
has been exhibited in other periods Of active
speculation. 1t may be added, however, thpt out
side OF ordinary commercial causes the action Of
Congress, should 1t iegisase on the subject, in
cord with the suggestions OF the President and
his Secretary, Will be chiefly instrumental in ad-
vancing the value OF gold and giving permanency
to the same. The accumulation OF gold Is unques-
tionably the first step toward the resumption OF
specie payments, and looking to this end the re
is no reason why such measure should not be-
come popular.
In connection with this subject we publish the
following question and answer from banker:-
Is the following plan for resumption OF specie
payments practicable, and, II not, why not2
FtrSt-Authorlze the conversion OF legal tenders
into five per cent twenty year gold bonds at par.
SecOnd-Alter July l, 1875. cancel and destroy ali
legal tenders received BY the government
Third-Aiter July l, 1878, and before January !,
1876, retire and cancel all national bank notes.
Fourth-Issue to any person depositing in the
Treasury United States bonds ninety per cent of the
bonds IN United States gold notes, redeemable in
sums of 81. 900 before January l. 1875. and in
any sums after that date the ponds so deposited
to draw only half interest while deposited. the
amount OF gold notes issued against bonds not to
exceed the amount OF legal tenders and national
nave the preference to the extent OF their circua
ton.