New-York tribune., 1879-04-25

The great sensation IL the financial world is
the rapid advance in the price OF United
States four per cent bonds, which sold yester-
day in London at 1914, which is about equiv
aent TO 1918. the price current here. 1t Is
barely one week since Secretary Sherman
offered $15O,OOO, 600 of these bonds for sale
at 1OOl2, with allowance of Is per cent COM
mission to buyers, and ninety days interest
TO depository banks subscribing, making the
cost virtually 09Ss. The fact that these are
the last bonds which the Government can
offer for sale until 1SS1-unless some uneX-
pected emergency should aTise-gIves TO the
purchasers all the advantages of ga corner"
IN the bond market. For there are persons
who held six per cent and five per cent
bonds to a very large amount who are by
law or otherwise obliged to hold Government
bonds in some form, but have not yet pro-
yided themselves with four per cents in
place of the bonds recently called. They
will be compelled, of course, to pay whatever
price the present holders Of the four per cents
may demand.
On Monday, Secretary Sherman issued the
ninety-nintb call, for the redemption of $685.
$685. Of ten-fOrty bonds of 1864. The
amount is exactly that which remained
uncalcd of the ten-fOrty bonds, and
represents all the bonds which were
reserved, at the recent negotiation with
the First National Bank and its assO-
ciates, for the conversion of ten-dOllar certif-
Gates. The appearance of the call at this time
does not indicate that the Secretary has an ex-
pectation that the sale of the certificates Will be
very rapid, although the transactions i'll them
on Monday and Tuesday in this city were
unexpectedly large. 1t is in accordance with
the plan adopted by Mr.. Sherman to issue calls
for bonds as far rs possible III advance of the
receipt of funds for their redemption, in or
der TO save some part Of the double interest.
If the amount reserved of the ten-dOllar GER
tifcates should rot lie disposed of during the
pcriod Of sixty days. Mr. Sleman's call will
stiH mature nearly month later, and the
offer already made and condtionally accepted
will secure the sale OF the ten-dollar certiti-
Gates in sufficient amount to meet the bonds
called. The one hundredth call, issued on
Wednesday, was only for the small fragment
OF S2GO, 900 registered fves Of 1853, and this
is the last call which it will be in the power
of Secretary Sherman to issue unless he should
continue to be Secretary Of the Treasury
beyond his present term.
The present prospect is that sales of the
certificates will not be very large, otherwise
than to the bankers interested in the four
Der cent negotiations. Comparatively few
persons have at command the means neces-
sagy to take up the certificates and hold
them until bonds can be procured for them
from Washington. To what extent the bank
ers vino are dispGsing of the four per cent
bonds may arrange to control the subscrip-
tons for certificates cannot now be antici
pated Under existing orders of the Treas
ury, however. 1t is plain that they have power
to take q very largo proportion, if not the
whole, of the certificates remaining unsOld.
Mr.. Sherman also gives further notice that
the bonds embraced in tho eighty fourth and
eighty-ffth calls viii now be redeemed, or
nav be applied by the subscribers to the four
per cent bonds against their subscriptions,
with interest to tho date of maturity of these
calls This notice is III pursuance of the plan
ado ID about the LIST Of April to facilitate the
settlement for the newly issued bonds without
embarrassment to the money market. Already
S11O,OO0,O00 of the four per cents have
been paid for since this month began, and
the ease of the money market is such as to
stimulate speculation and to give all desired
facilities for the expansion Of business.