The daily dispatch. [volume] (Richmond [Va.]) 1850-1884, 1881-04-06
New York Herald, 5tb. !

LOWER RATE OF INTbhEsI tNIib coN"snS'
New York Herald, 5tb.J
The new Secretary Of the Treasury re-
turned TO Washington yesterday morning
at 10 O'Clock In the limited express. He
had intended 10 make another visit 10 the
custom.house TO confer with Collector Sler'
rift once more, II be had remained through
The day, but as II was he went direct from
his hotel 10 the RAILROAD depot.
The principal object OF Mr.. Window.
visit to New York, as Ia generally known,
for the Secretary himself proclaimed it, was
10 consult with representative bankers as to
the redemption OF the outstanding bonds
and the manner in which the remaining
sl0i, 600, 900 in ~ per cent. bonds author
lied under the refunding bill shall be
issued. TO obtain the views OF bankers and
fnanciers Of all shades Of opinion, the Sec
rotary held long conferences ct The Sub.
Treasury, at which the utmost freedom and
informally OF discussion prevailed. But
the head OF the Treasury Department, as
be told the Herald reporter, wos himself
only a listener. He heard all that the
bankers had 10 urge for their favor
ite theories OF finance, and then said
nothing. He was as dumb as an oyster.
Upon subject OF such vast importance
very naturally there Is great interest, not
only in Wall street, which is the money GEN.
ire OF the country, but in business and even
political circles, 10 know what the policy OF
the new Administration will be as to the ma
tional finances. Whist the views OF Senator
Window were on the financial question are
pretty well known; but what will be the
policy OF Secretary OF. the-Treasury WINDOW
Is quite another thing, for he was careful 10
say: II have my own opinions, OF course,
but intend to be guided by the views OF
others; il il matter which will require
much thought and careful consideration.
He further said hat he would digest the
opinions with which the New York bankers
had favored him, suggest them at Ca0inet
meeting to be held upon his return to W ASH
ington. and then decide upon the policy 10
be pursued.
FAYORABLY CONSIDERED.
II Is learned on excellent authority, not
withstandlng the SPcretary's reticence, that
his fayorite plan will be the one which was
suggested to him by three or four prominent
fnanciers during the Sub-Treasury confer
ence,, and which was more extensively dis
Gus. ed than any other. There were some
individual differences rs 10 the precise rate
of interest, but in general the plan j. TINS
The ) and per cent. bonds now held by
the banks are TO be extended until Congress
meets, at The rate Of 3. 3 30 or . per cent.
the rate OF interest TO be definitely decided
on after further consideration. The banks
now held nearly 6ftv millions OF G's and
one hundred and sixty millions Of IS
This plan would. therefore, take care Of
over two hundred millions OF bonds Tempo
rariIy al a low rate OF interest As TO the
49, still 10 be issued under the funding bin,
they amount, a is well known, 10 Sl0i,
900. 900. In dispOsing OF these it Is thought
that the Secretary would probably get a
rate which would b. equivalent 10 the
buyers to 8 10 per cent. There would be
say 500, 900, 600 from the sinking fund and
surplus revenue with which To redeem
bonds. This would make in all S400, 900
Of bonds taken care Of. The important
point in this plan is the proposition to ar.
range with the banks that the IS and G'S
which they hold now shall be continued by
agreement at the low rate OF from 3 10 .
per cent. until Congress passes funding
bill. OF course this plan could be extended
to the general public who are holders OF the
IS and 6's also, by stamping such bonds
with the agreement, ii the Treasury Depart
ment was prepared TO force such holders TO
the set terms OF the agreement by threaten
ing them TO call in their bonds II they re-
fused.
The Secretary's plan OF operations will
probably be made public during this week.
1t is believed in influential quarters that he
gives every promise OF pursuing cOnser- |
vative course, but one that will tend to
make the money market easy. "The bull
speculation in As and AS is the only thing |
which appears to be appreheHded with any
dread, as far IS the money market is con-
said Wali.street magnate yester- |
day. "If the market price OF this class OF
bonds should go much higher, it is to be eX-
Dected that bonds will be drawn here from |
Europe, and that the national banks which |
have this class Of bonds pledged at Wash
iDgtOn 10 secure note circulation will with |
Iraw them and sell them. at the same time |
giving up their note circulation. or course |
IS soon as the banks withdraw the security |
'or their notes they are obliged to deposit |
awful money at Washington with which |
% redeem their notes a presented. Ii will |
be remembered that the recent strngency |
N the loan market here, pending the con-
,ideratlOn OF the refundng bill, was caused |
Dy lawful money deposits at Washington, |
he same having been drawn from bank re- |
serves. Ii Is not regarded as likely that |
INV effort will be made by the banks to |
bring about a repetition OF that stringency. |