The New Orleans daily Democrat. [volume] (New Orleans, La.) 1877-1880, 1877-08-03
smERMAN's FINANCIAL VIEWS.
The Four per cents To he paid I'm Gold
Atane-More Currency in the Country
than there IN any Necessity for.
tCincinnati Commercial. ]


WASHINGTON, July 2D.-The Syndicate
In Europe. IN their advertisement offer
inE the four per cents, use the following
language, Hs appears from the weekly
edition of the London Times, date 18th
inst, Wig
"These bonds are redeem
able at the pleasure of the United
States, after the 1st of July, 1907, In coin
OF the standard valueeof the United
States on said July Ia, 1870 (gold coin),"
etc,
The words "gold coin" are In paren-
thesis.
Wrhe attention OF Secretary Sherman
was drawn TO this advertisement, this
evening, with the remark that 1t would
seem likely to convey q false impress
sion, inasmuch as the standard coin In
July, 1870, included the silver dollar.
The Secretary replied that he did not
think that the Syndicate meant to con-
vey false impression, as they were
careful TO place. the words gold coin"
In brackets, II have met nobody, how
ever,' said the Secretary, who
advocates the payment OF these
bonds Ia any coin OF less value
than gold. They will certainly be paid
In gold, or coin OF equivalent value. It
Ia always understood that debt is pay
able in the currency In which 1t is con-
tracted. We have but one standard
now, and cannot be supposed to be con-
tracing q debt on a promise. to pay in
a metal which may some day be adopted
as a standard. It was favorite argu-
ment with the greenbackers that debt
should be paid In the currency In which
it was contracted. Nobody can de-
mand with sincerity that these bonds
shall be paid in debased currency"
The secretary then passed on to q
brief general discussion OF financial
matters. He La In constant receipt OF
advices from the syndicate showing that
the sale OF the four per cents is steadily
progressing in the most satisfactory
manner. In this connection he referred
to the fact that since the Inauguration
OF Hayes the annual expense on account
OF interest on the public debt has been
reduced In the suit of $3,600,000. This
was by the sale of $135 100000 OF the
four-and.a-half per cents and OF $11,-
100000 of the four per cents, which were
sold up to the 17th inst and those sold
since that time.
With reference to the cry OF contrac-
ton OF the currency he called attention
TO the fact that since he assumed the
office only "a, 10000 of greenbacks have
been cancelled, while new national bank
currency to the amount OF rs, DOC, 900 has
been issued. OF course some of the
national banks have retired the cur
rency, for which there was no market
during that time, but for this the Sec
rotary OF the Treasury could not proper
ly be held responsible.
lnspeaking OF the success OF the four
per cent loan In this country. the re-
mark was made that it seemed some
what remarkable that, with all our
hard times, people should be willing to
af ~ INF.
To this the Secretary reioined that the
country has surplusage Of currency,
for which no use can be found. For ex-
ample: The statement Of yesterday
showed that of the outstanding green
backs sixty millions have been deposited
by private parties In the Treasury
for safe-keeping. 1t draws no interest,
earns nothing, and is Of no use to any
body. There is no demand for it, and
1t is, therefore, put in the treasury
where 1t will be safe from burglars and
Secretary observed, az would issue
bonds at once to buy up this sixty mil
lions. Then, with very little more
gold In the treasury, we have
a good deal there now,-we would
ne at specie payments, anc
the country would not feel it
We would have as much currency il
actiVe circulation as we now have.
could not cancel any more greenbacks
III would. because the three hundred
million limit would have been reached
and would not If l could. The cur
rency could be increased as rapidly AZ
might be desirable, as there is no limi,
TO bank issues. l would issue the bond.
tomorrow to buy up this sixty millions
and thus reach specie payments at once
II had the power, but have not tina
power, and must wait the slower pro
cesses OF the law as it stands"
NoTIcE 10 TAxpAYERs.-Parties having any ia,
mstteis TO settle would do well to call en- W. ri
Barnett, broker, No. IS st. Charles street, oppo
cite the St. Charles Hotel, who makes a specialt,
in this line, and can furnish all necessary in
formation and make large savings to them. Mr.
d. has bought from first hands, over counter,
large amount of all the necessary scrip and war