The Weston Democrat. [volume] (Weston, W. Va.) 1875-current, 1875-04-05
SpECULATING IN GOLD.
How the Price or t;nld was Raised TO It.
Prrscut Figures by brokers.


Prrscnt Figures by BTpkrTs.
The rise in gold in the United States
within the last few weeks IL, accordingto
the New York Sun, purely artificial
ole. Tint pnper explains tue whole
thing, rs follows:
To begin with, the amount OF gold
held by tho nation is small, aud the pro-
ducts Gxchangeable with foreign lands
are NIL raw, manufactured, and CONGO
quently cheap articles; while the ex-
trayaganco Of the people surpassrs all
reasonable limits. Everybody wnnts
everything from Europe, and tho United
States accumulhtes in this why every year
debt Of over $3.50, ,000, 600 with specie
paying countries, Then, again, all the
freight aud passenger money goes to
foreign countries, The gold which
France sends to England and Euglandto
France returns again. Tho velvots and
silks Of Lyons, md tho wines Of Bor-
deaux Are paid for in London in tho
samO coin and to about the same amount
Rs Manchester and Sheffield goods are
paid for on the other side OF the chant
mel while in this country wheat and sui
pork nre almost the only articles the
country Inns to pay with for MI the Euro
pcan products absorbed by its fast and
extrayagunt population.
The position OF the United States in
the money market Of the world is about
as bad as that Of Russia, and by fur
worse than that Of Austria or Italy, Yet
in none Of these lalf.bnnkrupt countries
do people entertain any expectation Of
returning to specie payments within the
living generation. III round numbers
there arc somO $500, ,000,000 Of paper
money in circulation against some S?0,-
600, 900 Of gold in this country, exclusive
of California. The interest on debt Of
Sl,7l5,0OO, 900 Inns constantly to DO paid
In specie, and absorbs almost all TINT
the resources Of the Union Gun be rea-
sonRbly expected to produce. By re-
cent statement Of tho Treasury there
were s7S, 600, 900 in gold in tho hands OF
the government, OF which S43, 900, 600
were deposited on certificates, leaving
balanoo Of S5J,OOO,0 900, which is just
enough 10 cover tic bonds called in and
tho May interest. II TO these natural
circumstances Of tho case are added the
strong gambling procliyities Of the COM
munity, the prevailing practices OF sell
ing short and borrowing gold, and the
reckless wny in which oil business is car
ried on, the fact Of gold not having long
ago risen much beyond its present quo
tation becomes matter Of sur
prise. II cannot help going up
to twenty per cent. premium,
TINT is to sny to about tho same Lowell
upon which Il stands in the empires Of
Alexander aud Francis Joseph.
Dasing themselves upon thesc general
considerations, q number Of men, head
ed by Drew and Robinson, organized u
pool, bought and locked mp about six or
seven millions Of gold coin in theirsafes,
aud are quietly waiting till it goes up.
Tho foreign bills aro 10 be paid sono-
how, the CustOm-housc duties take daily
about half million, and tho banks have
all Of them not more than million or
two in their vaults. 1t mightbesupposed
that merchants would begin borrowing
gold from England, but tho moment
movement of this sort begins, the Bank
Of England will raise its ratO, and render
expectations of metal impracticablc. De-
sides, England holds no endof American
bonds, and when asked to lend gold, she
will send out these bonds instead of
metal. The gold pool thus anticipates
tiint It's stcceSs is assured, and argues
that tho higher the gold bC, the more
grecnbacks tho foreign merchant will OBJ
tain for his sovereigns and the more will
ingly he will como to this market. They
propose thus to fllltlOir own pocEetsand
to confer blessing on the country.
That is m illusion, but Illusions are sucll
pretty things that it is n pity to destroy
them, especially ut n time when they are
80 rarely 10 be met with.