The Wheeling daily intelligencer. [volume] (Wheeling, W. Va.) 1865-1903, 1875-04-22

hOMtuouy VIII uhu Vub NAl S"O"s ""SA'
the mistake was made this time, ant
there will be a new set Of fanatics go
together in the same manner, And thu
the farce will be kept up from year Z
year.
The Price Of Government Bonds
Tho various classes Of government
bonds have reached extraordinarily higt
prices. The Ten.Forties (ivo per cents,
are quoted this morning Mt 1lGi, which II
as high, or higher, than we remember
them at any time in the past even wher
gold was twice or thrice its present pre-
MUM, This high price is not regulated
even now by the ups and downs OF the
gold premium, rs isshown by the fact thai
although gold Is down little this morn
ing government bonds are up and very
firm.
1t Is difficult to assign any one very sat
isfactory reason why bonds paying such
low rate Of interest should stand 80 high
There are several causes however that op
crate To put them up and keep them up
One Of theSeis that the government Is con
tinualIy calling in certain amount Of the
six per cent gold bonds and paying
them off. This Of course constantly
diminishes tho supply Tho aim ol
the Treasury Department Ia to fund
us fast Us possible oil our six per
cents into bonds Of q lower rate ol
interest. This can only be done by keep
ing up the price Of Eve per cents to par
In gold, inasmuch as the law Of Congress
provides for placing them at par. The
Ten.Forties ut llOi are above par and
accrued interest since the first Of March
The inducements to holders Of six pei
cents to fund their bonds into the
New Fives, rs fast rs the option Of doing
so acCrues, Is all the more tempting when
they can do so ut u profit. How long the
present margin for profit will remain Is
problem that ordinary mOrtals may
not solve. II hardly looks probable that
such prices can hold. They certainly
present strong inducements to bondhOld'
crs to realize and invest in other
securities. For instance, National
Banks must be strongly tcnlptel Ia
withdraw their bonds, realize the prcml'
Inn, and 60 into tho State system. We
look to sec movements Of this sort in the
different cities OF the country. Indeed
we understand that one Of the National
banks hero llaS already issued call tC
is stockholders to assemble at an early
day and consider the propriety Of selling
It's bonds and adopting the State system
In this we think The directors have acted
wisely. We presume the sIockholderi
will concur in the movement.
Another reason why the price Of Gov
ernment bonds has been 40 firm Of latt
Ia the uncertainty that attends ever,
species Of business Investment at thil
time. Capitalists have not as much iaitl
in anything rs in Government bonds
They have been badly sold OH all other
securities, such MS Northern Pacific
and such like "wild cats" A vas
number Of railroads have dcfaultet
in their interest payments ever since tn,
panic. When the bonds Of such (Once
promising roads "a the Chesapeake 4
Ohio default on their first mortgages, II L
time to discriminate somewhat severely
And this Ia the case nL this time. ReAlll
good bonds, however, bring higher price
than they have brought for years. l'oi
instance, the fourth mortgages OF tn
Cleveland 4 Piltsburgh road sell for 07 ii
New York, although they only bear pei
cent interest. This shows that there Is I
surplus Of timid capital seeking safe in
vCstment in first class securities. And /
is this capital that ia largely invested ii
Government bonds, watching its chance
on something better at an early day
Thus. between the interests Of the Gov
ernment to fund la six per cents and th'
scarcity Of reliable and easily converti
bic securities Of another kind, the pric'
Of United States bonds are kept up Il
their present somewhat lofty altitude.