The Manitowoc pilot. [volume] (Manitowoc, Wis.) 1859-1932, 1879-03-13


July, 1864. 1t averaged for this month
1851 per cent, and It's highest point
was 1S5, at which time the greenbacks
were worth about 50 cents on the dol
lar, and bonds bearing gold interest
stood, averaged for the month, at only
II in gold, but trife higher than the
Notwithstanding notes. They were
not salable in Europe at any figure,
though Turkish, Spanish and South
American bonds were quoted in LON
bard street and on the Paris Bourse
The gold premium fell to 1o7.2 per
cent III October, but rose to 1873. ) per
cent. in November, and then fell con-
tinually to 80. 6 per cent. in May. 1865,
when the war was over The gold
premium advanced from May, 1865, to,
December of that year, when 1t stood
at 46.2 per cent. 1t fell to 81 per
cent. in May, 1866, and then rose to
5l.6 per cent. tw months later, when it
fell again to 81 8 per cent. in January,
1867. In September and October it
stood about IL per cent, but ended the
year at almost the same figure at which
it began it.
What is known as the ''nine-hundred-
million-loan act" became law March 3,
1863. 1t authorized third issue of
one hundred and fifty millions, two
thirds Of which had already been issued
under resolution. 1t authorized the
issue Of forty millions treasury notes.
These notes were not to be OF any de-
nomination less than ten dollars, were
payable at the option Of the Govern
ment at any time within three years,
bore interest not to exceed 6 per cent.
(they were issued at ) per cent, } and
were legal tender for their face value
excluding interest. At the close of the
fiscal year of 1861 there were out
standing of these notes S153. All, 45o.
\ year later there were only So, $685.
10 out, and the amount has since been
trivial.
The act also authorized the issue of
fractional currency to an amount not
exceeding fifty millions, and the nego-
tiation Of 1o-4o bonds at an interest
not to exceed g per cent, most Of which
was in lieu of securities already issued
The act increased the bonded debt only
sevcnty-fye millions. Further sales of
bonds under this act were stopped by
an act passed year later.
In his first report to Congress after
the close of the war 1S65,) Hugh Nc
Culloch, Secretary of the Treasury,
recommended policy of contraction to
facilitate the preparation for resumption.
| Congress authorized him to withdraw
ten millions within six months, and to
continue contraction thereafter at the
rate of not more than four millions a
month. The greenbacks had been re-
duced in amount iorty-four millions,
there was something like a stringency
IN the money market, and on February
4, 1865, the contraction Of the currency
was stopped by act of Congress.
In the spring of 1869 Congress passed
the wcll-knoWn ''act to strengthen pub
lie credit" which cecame a law on the
18th of March Of that year. 1t reads
! rs tIItA
GeF S any GCG0r as 10 nf
obligations to the public creditors, and to settle
laws bv virtue Of which i' such h obligations have
ID ee91raStgd it is 5 hereby PrSyded and dsGlar
pledged to The payment in coin or lis equivalent,
bearng interest 81 as t t ned safs not
and Of the Understanding obligations OF the
thorfzing the issue of such obligations has eG
PreScriIy provided that the same may be paid IN
silver BGt none Of off, said impf Ter obga
before maturity, unless at such time United States
M "e DC @ n neb Gi m f BOMB @f U Of 6
United states bearing lower rate Of interest than
coin. And the United States also solcmnIy Pied
~ ~ ialh 10 max provisions OF me earnest pos
States notes IN coin.
The mamie Of Sentcmher. 1874 fonn5
the volume of LEGAL tenders three hun
dred fftv-six millions. President Grant
and Secretary Richardson reissued
eighteen millions Of the creenbacks that
had been withdrawn. In the following
session CONGRESS- localized this action
making the volume three hundred and
! eiohtv-two million.
In the spring Of 1874 4 measure to
increase the currency to the amount of
| four hundred millions was passed by
Congress, but was vetoed by President
Grant. A bill fixing three hundred
and eighty-two millions as the maxi
mum was then passed received the
signature of the President and became
law.
In 1860 the snnram. Conrt Of tbo
Irn;to5 Stotos n tba oaso ~ Haahnrn
- Gr;swol5 dac;Jod tbat tbn fonai
I'd aa. ao.. ,'.'' ~.
anin;on - +ba CNnrt Ia. a. CUE
Instioa Cboso ,rba w. Saaro 80 ~ t4 tI,d
Troosnr,( bad ,n~orsaa ,La ToroI Tan-
der oct IS essential - tho saITot;on If
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