The New York herald., 1877-02-04
PRESIDENT GRANTS MESSAGE.
Dssrablty Of Making the Paper Currency
Equal in Value to Gold Coin.
HOW IT MAY BE DONE.
Hopeful Views of the Financial Situation
of the Country.

WASHIS0TON
The following Is the Presidents Message on the sub
ject Of tho resumption OF specie payments
To TIE SENATE AND HOUSE OF REPRESENTATIVES,
BY the act OF Congress, approved January Ia. 1872
"To provide for the resumption OF specie payments
the lst OF January 1879, is fixed as the date
when such resumption TO begin. II may
not be desirable to nix earlier date whom It SHAH
actually become obligatory upon tho governments 10
redeem Its outstanding legal tender notes Ia coin on
presentation, but II IS certainly most desirable
and will prove most beneficial to every pecu'
mary interest Of the country, 10 hasten
the day when the paper circulation OF the country ana
the gold coin shall have equal values ta later DAY,
II currency and coin should retain equal values It
might become advisable TO authorize or direcs
resumption. believe tho time has como when by
SIMPLE act tho legislative branch OF the government
this most desirable result can be attained. am
strengthened in this view by the course trade has
taken the last two and by the strength OF the
credit Of the United States at homo and abroad
THE coURsH TRADE.
For the fiscal year ending June 80 1876 the exports
Of the United States exceeded the imports ny
$40 2l3 102 but exports include $40 500 OIL OF
specie and bullion excess OF the imports OF the
same commodities For the six months OF tho present
fiscal year IRON July l. 1885, to January l. 1877 the
sxccss OF exports over imports amounted to
bO7 544 $685. and the imports OF specie and bullion cx-
seeded the exports of the precious metals by
k, l92, LAT in the same time
spRALTuY IMITATION"
The actual excess OF exports over imports Tor tho
six months exclusive OF specie and bullion amounted
Sl13 1871 04O showing for tho time being the occu-
mutation specie and bullion in tho country amount
ing to more than $6,0o0,OOo, IN addition to
the national product OF these metals for the
PERIOD total increase OF gold aud silver Tor the
six months far short OF $50. 100000 IL is evident
that unless this great increase of tho precious metals
can be utilized ut home In such way as TO make II
In somo manner remunerative to holders II must
seek = foreign market as surely as would any
other product Of the soil or manufactory Any legis-
ation which will keep coin or bullion at home will, in
my Judgment, soon bring about practical resumption
and will add tho coin ofthe country to the circulating
medium, thus securing healthy ''inaaton" of a
sound currency to tho great advantage OF every cg
Innate business interest
GOLD AND A HALF PER CENT BONES.
The act to provide tor the resumption OF specie
payments authorized the Secretary OF tho Treasury TO
bonds OF either of the descriptions named in the
act Of Congress approved July a. 1870 entitl 81 "An
act to authorize the reiunding OF the n onal
debt" for not loss than par in gold With
the present value of the four and half per cent bonds
In the markets Of the world they could be exchanged
n par Tor gold, thus strengthening the treasury 10
meet nnai resumption and 10 keep the excess Of
coin the demand pending its permanent use as
circulating medium ut home. All that would further
be required would be to reduce the volume Of Legal
sender notes In circulation.
POUR
To accomplish this would suggest act autnoriz-
ing the Secretary Of the Treasury to issue four per
bonds, with forty before maturity. to
be exchanged for legal tender notes whenever pre-
sentcd in sums Of $50, any multiple thereof tho
whole amount OF such bonds however, not to exceed
Sl50O0O, 900. To increase the home demand tor
such bonds would recommend that they be available
for deposit In United States Treasury banking
purposes under the various provisions of The law
lating to national banks Iwould suggest further that
national banks be required retain certain per
OF the coin received by them from the bonds
deposited with the Treasury thor circulation
LIMITING SILVER CIRCULATION
would also recommend the repeal OF the third
ton Of the joint resolution for the issue OF silver
coin, approved July D. 1876, limiting the
subsidiary coin and fractional currency to
$50, 100000 Satisfied that II Congress
will enact such law will accomplish the de.
sired end suggested. they will give reefto the coun-
try instant in its effect, and Tor which they will
ceive the gratitude Of the whole people.
U. S. GRANT.
ExEcuTrvE MANSION, Feb. ., 1877