The New York herald., 1879-10-31

House is about So 00O 900. At time there were
$50 900 900 of this medium. and the reduction has
been brought about by cancellation. The certd-
Gates are only payable to members OF the Clear
ing House Association and banks having large
amounts of them on hand and being short of cur
rency have sent the certificates to the subrreasury
for redemption and cancellation. thus defeating the
very object of their ssue-to avoid the labor and
risk of transferring great sums of currency. The
amount of circulating medium necessary to the
transactions of the Clearing House estimated by
Mr. Camp at S30000.O00 thus leaving $4,000 600 to
be made up OF gold or legal tenders. which with the
certificates are the only mediums OF Clearing House
exchange permitted by law.
GOLD CREEPING IN.
The average daily balances at the Clearing House
are $4,000. .O00-that is. $5.000,00O to pay out and
$5O00 100 receive. The receipts, prior October,
were in certificates and legal tenders only; but in
the early part OF this month gold coin began taking
the place of legal tender. The for the sub
stitution was explained by Mr.. Camp as follows:-
South and West for cotton, wheat and
other staples until New York's supply became
exhausted. and gold, about 900 OF which had
come here from Europe, naturally took its place.
The SubTreasury first began paying gold IN settle
ments at the Clearing House Almost all its drafts
are paid through the Clearing House. and the con-
Treasury Treasury daily. The banks banks o,la soon after Ute be-
GAN sssns sars IN aGs Sod ust Of G she
received by the Clearing House is in gold
Even it the banks had certificates they sometimes
room, while the certificates were easily stored.
Yesterday there was only half million OF gold paid
In but on the day before there three times that
amount. During the reporters visit great piles of
it, in neatly labelled canvas bags being passed
over the counter to men who put four five thousand
dollar bags into canvas satchels and carried them
down stairs to truck at the door.
LOCKING UP.
About the 10th of October much of the yellow
metal made the tour OF the Clearing House daily
that it resolved to put it away, at least pending
the return OF currency from the West and South,
which. according to Mr.. Camp, usually happens
about this time. He thought, however, that there
would not be SO much OF it returned in former
seasons, since the Western farmers were out of
debt, and, finding themselves ahead by the amount
of cash received for crops, make up their minds
to keep 1t and stay ahead il possible. Arrange
ments made with the Bank of America a
State institution to relieve the Clearing House Of
gold, and issue in receipt therefor its certif-
Gates in amounts of $4,000 and $4,000 each. These
certificates much the those issued by
the Treasury for Clearing House uses. aud to-day
being paid OUT out in settlements with the different
banks. AS fast these certificates shall be can
celled the gold will become the property of the
Bank of America While speaking in reference to
editorial which appeared in Wednesdays HERALD
favoring the destruction of currency fast the
increase of gold would permit. Mr.. Camp expressed
a belief that such policy ought to have begun some
time ago. and believed it would have done much to
prevent the inflated condition of affairs that now
exists.