Daily globe., 1881-02-26

The indications, says the Post, are that the
worst of the money stringency has been seen and
rates will begin to fall tomorrow. 1t depends
on whether the deposits of lawful money to
withdraw notes of circulation continue or not
There was heavy falling off in these to-day.
Secondly, it depends on the promptness with
which the holders of uncalled and per cent.
bonds present them for payment The indica-
tions in this respect are that the entire S1O,-
600, 900 will be supplied the treasury, and the
amount of new money will be in the banks be-
fore the close of business tomorrow. 1t is
also reasonable to expect that Sherman, II ne
finds $1O,OOO,0O0 not enough to relax this
stringeney, will use his entire surplus revenues
| to buy bonds. Fortunately, too, also says the
Post, for the business interests of the country,
the present Congress has only few days more
of life.
| TREASURY BOND PURCHASERS.
The treasury to-day paid out for and per
cent bonds, the purchase of which was author
lied by Secretary Sherman's order of today
S., ,694, 800 of lawful money in addition to the
amount of STA $50 deposited by the national
banks giving up their note circulation. There
| is also to be counted in to-day's deposits ST.
100000 collected at the clearing house on
checks deposited yesterday. This makes the
| total deposits of the New York sub-treasury
| since the Senate passed the refunding bill for
| the purposes named S12, ,692, ,230.
KEARMAN' S NEWS AGENCY
sends out the following Money at per cent.
per diem and interest was paid, with reports
that even as high as IL per cent, had been
paid privately This was followed by de-
cline to per cent. per diem, which was the
ruling rate for length of time. Just pre-
| vious to mid day the following telegram was
| received by Gen. Hillhouse, assistant treas
urer:
WASHINGTON, Feb. 25.-You are authorized
to purchase for the sinking fund not exceed
ing 10000, 900 of 5 or 6 per cent. uncalled
bonds of 1881 at par and accruing interest to
date of payment
(Signed) JOHN SHERMAN, Secretary.
The caused some improvement in the situa-
ton and was counted on to bring gradual re-
lief, although the opinion was freely expressed
that the secretary should have sked for pro-
posals and bought the bonds in the usual way,
instead of fixing an arbitrary price.
The balance required for the sinking fund
for this year is S6,505, 500, and the secretary
says he can purchase bonds to that amount.
To-DAY's BANK STATEMENT.
The Post says, respecting the weekly bank
statement tomorrow, it must be an uufavora-
BILE one. Very likely it will show that the
banks are below the legal limit of 25 per cent.
required by national banks. The reserve of
the banks is for use in extraordinary occasions,
and if it be found in to-morrow's statement
that part of it has been used to avert general
panic, such as would set back the mercantile
and industrial business of the country, it will
cause no surprise and should cause no re-
proach. At one time to-day it was impossible
to move by the sale of foreign bills of exchange
our exportable domestic products; to remove
much the block on the way national bank
would be justified in overstepping its reserve
line, the same as State bank now has author
ity to do, the amount of reserve which a
State bank keeps being left discretionary with
its officers or managers.
CONDITION OF PANIC.
The Express says the story of the stock
market brokers being unable to get money
freely this evening threw the stocks overheard
and not only were the lowest prices of the day
made in the last hour but the lowest prices in
many months. The market closed in condi-
ton of panic. The closing rate for call loans
at the stock exchange was per cent, plus =
az of per cent. per diem. Many leading
stock exchange houses paid only per cent
to-day, but many stock brokers, in good, fair
standing, had to pay round commission
At 3:05 O'Clock money was offered at per
cent. without commission.
ONE OF GoULD's ORGANS SPEAKS.
New YORK, Feb. 25.-The Tribune this,
26th, has an editorial on the proceedings in
Wall street, which it calls the causeless panic,
and says: "No business man need be told there
was trouble, storm, excitement and terrible
disaster. When solid mercantile houses
find it impossible to borrow money at one
per cent. premium per day, and
when the rates of exchange falls SO far that
foreign transactions are virtually arrested,
it is impossible to estimate the injury caused
to every branch of business. To holders of
securities, many of whom are forced to sell,
the losses since Friday last have been enor-
nous. 1t is astonishing that in spite of such
a fall in prices, and stingency in the money
market, no failures have occurred. And
there could not be stronger evi-
dence of general soundness of business
and solvency of dealers. This panic, it is
plain, has not been caused by any commercial
or financial rottenness, but thousands of men,
not here alone, but in every part of the coun-
of the unjust and unwise measure
framed for partisan ends, as pending in Con-
gress. No amendment of the funding bill
will restore healthy condition of business
that does not take from it the coercive features
of the fifth section. The defeat of the bill in
either House, or O distinct announce
ment by the President it will not
meet his approval unless deprived of
the unjust provisions of the fifth section
would restore confidence, stop contraction, in
duce banks to take out again their circulation
which they have surrendered, and enable the
country to recover speedily from the panic
caused by no unsteadiness in business, but
solely by the folly and dishonesty of the ma
jority in Congress.
SENSIBLE VIEW OF THE CASE.
New YORK, Feb. 26.-From the World.
The trade and general business of the coun-
try have been subjected to strain during the
past week more severe than any which has
been put on them since 1878 This deplorable
| state of affairs was brought about by selfish
conspiracy of certain number of national
| banks bent upon opposing the national will in
| the matter of establishing lower national
rate of interest, by such duly chosen
representatives of the people as
they have thought proper to adopt
Our government and the people who maintain
it have submitted to great sacrifices to afford
all reasonable support to the national banks,
but the banks have not kept within reasonable
limits their demands for compensation for
such financial service as they have been able to
render the country A few of these
banks have not hesitated to invite
| doctrtcfion Of tho whole cvSfpm and