New-York tribune., 1879-05-28

adopted n very simple method. They yir-
tuolly cancelled the "calln which the " short !"
sellers held, by advancing the price to 104l4
Refusing To sell below that figure, they left
the spectators to fight it out among them
selves for n day or two. Meanwhile, the out
side public has the advantage of getting the
bonds at a low rate by purchases in the open
market and investors are supplying them
selves rapidly. In very short time these
purchases will exhaust the supply obtainable III
the market, and then the great operators VINO
have sold Short will suddenly tind'that the
Syndicate holds the only available supply,
and i'll order to cover" will have to pay
whatever price the Syndicate may then ask.
Before many days. therefore, this specu'a-
ton will come to grief, and the bonds VIII
again command such price as actual lnves-
tors may be willing to pay for them. Ihat
the price will not be very low may be readily
inferred from he fact that the purchases
which must still be made by National banks
olone-unlcss they are willing to surrender
circulation-lnust amount to more by many
millions than the entire amount of four per
cents vet unsod. 1t may be stated here that
the whole amount of ten-fOrties thus far
operators and banks, is only about $66,OOo,-
900. But ten-forty bonds amounting TO
SI95. 900. 900 are to he redeemed about the
middle of July. Hence holders OF nearly
S13O. 600, 900 OF these bonds, or, with allow
ance for some recent purchases OF railroad
and other securities holders of over SlOO,-
600. 600 of bonds have thus far neglected to
make any new investment of the capital
speedily TO be dislodgcd. AT large estimate,
less than one-third Of that amount Of four
per cents remains in the hands OF all dealers,
and within reach of purchasers, and the buy
ing by permanent investors reduces that sup
PLY every hour.
Meanwhile the Secretary OF the Treasury, in
order to accelerate the redemption of the ten
forties, and TO prevent any stTingency IN the
money market has issued two very jndIcious
orders. One invites all holders of ten-iorty
bonds to send them forward at once for re-
demption, and announces chat the Treasury
will pay on such bonds Immediately the
PRINCIPAL and the full amount OF interest that
will be due ut the maturity OF the call.
Under this offer the bonds will doubtless be
surrendered rapidly. Large payments from
the Treasury will remove any pressure IN the
money markets. The Treasury, meanwhile,
will avoid the overwhelming accumulation oi
business which might otherwise occur IN July.
The other order is precisely that which The
TRIBUNE suggested on Monday. The sale OF the
so certificates at all the large cities has been
stopped. The grand army OF messengers,
spectators and hired labOrers who crowded all
the avenues to the public Offices, to the disgust
and almost to the exclusion of bona tide in
vestors, may now be disbanded. The opera
tors who have hired these people, in order to
get four per cent bonds at little more than
par. will now be deprived of one other In
duccment to sell the bonds below the natural
market price. Mr.. Sherman is fully justified
in this exercise of the discretionary power
given to him; for it is notorious that the
sales to real investors have recently become
exceedingly rare in the larger cities. The
sale was degenerating INTO systematic fraud
on tie Government, and it was high time to
stop IT,