The Wheeling daily intelligencer. [volume] (Wheeling, W. Va.) 1865-1903, 1880-01-02

Fernando Wood, chairman Of the FL
nance Committee in the House OF Repre-
Sentatiyes, being asked whether he had
read the letter of Secretary Sherman ad-
dressed to Senator Morrill, respecting the
refunding Of the Government bonds to
mature in 1851, said he had, aud regretted
that the Secretary had prcdicated much
Of his reasoning upon false premises, The
bill referred to as having been presented
by himself December 81 had no reference
TO the reiunding OF the fives and skies
comprehended in the bills OF Senator Nor
rill in the Senate and General Garfield in
the House. He Wood had not present.
ed his bill yet, but he should do SO imme-
diately on the reassembling Of Congress.
In that bill would be found features which
would render 81 per cent bond an ex-
tremely desirable one, quite as much so,
Il not more so, than the present per
cents, which the Secretary appears to
think possess such very remarkably "pop-
ular" characteristics. To the argument
that the increasing business demands for
money will raise the rate OF interest, and
thus make n 81 per cent bond impossible
OF sale, it Is only necessary to reply that
the business demands for money have
been active for year, and yet per cents
have been steadily increasing in value.
They are now worth a premium and in
good demand. They yield to the investor
but little over 8! per cent interest on tho
investment. The Secretary, Wood said,
does not appear to realize the fact that u
divorce has taken place between business
capital and investment capital. A tight
money market effects stocks and trade:
but not United States bonds, because the
money thus invested has been withdrawn
absolutely from the hazards and specula-
tons incident 10 business. The 4 per cent
bonds aie even now, hilemoney is worth
and per cent on the Stock Exchange
and on business paper, and while fur
ther issue OF per cents Is advocated by
the Secretary OF the Treasury, selling at o
price at which they will pay but little over
- per cent per annum for the unexpired
term, with the re.investment OF the $780,
900, 900 to be dlsbursed In January for in
terest and dividends. With the ease in
money which will prevail during the next
few months and with legislation by Con-
gress which would put final end to any
hopes or expectations that more per
cents were to be had from the government,
there can be no doubt whatever that they
would Immediately advance to premium
at which they would not pay anything
over 81 per cent. -.
With this state OF things existing, said
Wood, and, with the features nay bill will
contain to render the proposed long 8!
per cent bond attractive and desirable, |
have no fear that they would not be taken
as rapidly as could be desired. In reply
to the question what he thought would be
the effect OF the Secretary'sletter and posi-.
ton upon Congress, Wood said it would
have no effect at all, that in his opinion
Congress would act independently OF eX.
ecutive influence upon the question, and
that when his bill was introduced and
Thoroughly canyassed Congress would be
satisfied that n 81 per cent bond, accom-
panied by certoin adjunCts he should at
tach to it, would be sustained, Hethoughl
the last per cent bonds this Government
would ever issue were now in cxistance
and that the new and lower rate would bt
permanently established. OF course hi
knew the lenders OF money would clamol
for higher rate, but he did not see why
parties thus interested should govern
great question like this.