New-York tribune., 1878-03-19
A PROPOSED NEW SYNDICATE

CONFERENCE WITH SECRETARY SHERMAN
A BID FOR $10,O00O0O OF 1i2 PER CENTS NoT
ACCEPTKD-THE FIGURES WHICH The sEcRE-
TAEY WANTS his VIEWS OF TnE FC1URE
PRICES or BoNDs-sALEs OF GOvERNMENT Sc
CURITIEs
4 new Syndicate has been organized for the
prchase Of Government bonds, which includes members
of the late -Four and Fourand ha Per Cent Syndicates
Last week Secretary Sherman requested visit from
representatives the syndicate t. make bid for the
500 600 42 per cents in the Treasury and Francis
O Fr.nrh OF the First National Bank, and Jacob H.
Schif Of the banking firm Of Knbn Loeb d Co., were
selected TO go to Washington. They went on Friday
member the syndicate said yesterday In regard
10 thc matter:
When our representatives visited Secretary Sherman
he said that while the bond market at New-York was
very active and sales had been made IN single week OF
sIOOOOOOO Government bonds. the Treasury Depart.
nent was doing comparatively nothing, and there was
no sale TO speak of for per cents aud he had decided to
renuest them to make bid for $lO,OO0,0O0 OF 4l4
cents After cons Itatlon Mcssis. French and schh
proposed to take $fO,o00,O00 at rate il per
cent above the price the London markets that day and
Il per below The price in the American market or
at $iOI 70. This offer Secretary Sherman declined stat
Ing that would not sell th ll9 per cents except at
price based On par coin for tue per cents, and even
at hat price he did not care to sell more than SlooOo
600 The price ON that basis would $1O5as. per
and higher than paid for this class Of bonds
Secretary shermans argument was that the bond mar
ct was strong and the bonds sent here from
abroad account OF the silver agitation were disposed
o. as they soon would be- there would be sharp rise in
the values Of Government securities, and they would
reach the value he had placed upon them.
"The New-York representatives declined this oner
ana the conference was terminated Four per cents
now selling at about par in coin, and the 4l2s for which
the Secretary demanded 1863 are selling at about
1Ol in coin. The greatest danger to be apprchended
low is heavy importation Of Government bonds, which
would necessity bring exchange 10 the point 81 when
export Of gold would begin England does not ho'd any
of tho ! per cents, but sne has Il large
amount Of 4l2s aud 81. Should these he thrown
anon the American market, as Is quite prOD03e, IL
viii result III the Withdrawal of gold from this country
IN January, 1879. This tendency the Secretary has
opportunity check by the oer made by the syndcate
on saturday II our offer had been accepted or the sec
rrtary had submitted PROPOSITION that we coull nave
agreed TO- should have been abo so 10 interest the
London holders stop the importation OF bonds aud
turned the tide OF gold To ths country Tue Weheit con
dtion OF the matet "a that the Same Offer would
not TcnewedsOme Of the bankers interested cypress
mg satisfaction that the proposition was declined"
Among the banks ana banging houses comyo'ing the
new syndicate are the First National Bank, the Amer
can Exchange Bank, Messrs. Kuhn, Loeb Co., ana
prominent banking house with Important interests IN
London. 80.
The sales of Government bonds yesterday, IN this
city, considerably In OF 81 ,OOO0 GOO tho
order, from Boston alone amounting to about $JVOooo
The Boston demand, n Is said comes from de'sitofs
have drawn Their earnings from savings banhs ana
who desire invest them In Government securities OF
small denomination. Heavy orders also received
from Philadelphia aud the West. principally fpf per
cents During yesterday 100000 now per cent bonds
changed hands at 1O4. The BoweTy Savings Bs:k aud
the Metropolitan Savings Bank ON Saturday purchased
$3.50 900 Government securities for Investment, and
100000 o per cDts were purchased yesterday by the
trustees OF argc estate