The daily state chronicle. [volume] (Raleigh, N.C.) 188?-1891, 1890-11-16
PANIC AVERTED.
THE FINANCIAL SITUATION
ABROAD.
The Great and Valuable Services of the
Bank of Engiand.- Relief OF House
Whose Failure Would Have Shaken
the Financial World.
lBT United Press. }


(By United Press.}
LONDON, Nov. 15.-The Times refer
ring to the financial situation says:
The city has passed through a crisis
verging upon panic. Suth time has
not been known since the suspension of
Overend, Guerney & %. We rejoice
that we are able to announce that
the worst is over. The bank
OF England has added. to its
historic services to the State and the
commercial community by its prompt
action in averting what would have been
tamentable catastrophe. The admin
istlation of the bank not only provided
| vast reiD fOrcementS to its stock of gold
| to meet exceptional demands in the
| event of a panic, but also stepped out Of
| the ordinary routine Of business to rre-
vent the downfall Of one Of the greatest
and most respected English financial
houses, which had for some days been
imperilled, and which, if il had fallen,
would probably have brought down IN
widespread ruin a large number of small
Ter but important firms.
|
been emoarras sed for the past few days
and their failure was imminent to day,
until relief, which would have shaken
the financial world. This relief came
from the Bank Of England and the
Rothschilds. The amount Of the Bar
ings' paper guaranteed is $75, 900, 900.
The Barings' assets on a deprecated
value show a surplus of $40, 100000.
LONDON, Nov. 15-With the close OF
this week eliminated a financial crisis
which has been gradually coming on
for months, although its extent was
hardly foreseen, even by the shrewdest
capitalists. The mad rush to withdraw
money for ali sorts Of investments
abroad, some Of them good and many Of
them bad, and all involving at the best
the tying up Of many mil
lions Of pounds heretofore held al
low interest in Great Britrin, o.
invested in consols, is at the bottom ol
the great disturbance. The initiation
eliminated about six months ago an(
OF late there has been as ardents desire
to realize as there was formerly to invest
Your core spondent has the best author
ity for saying that the worst is over, ant
that the financial fabric Of Great Britain
is mistaken. The bank of Englant
which raised its rate some tim
ago in order to protect it
5 revenue is able and ready t
guard the credit Of our really substau
tial firms and institutions, and tn
directors at a special meeting to-day re
l solved to take such action as circum
G stances night require to prevents a panic
I There is no genuine cause for appreher
: sion. 1t has been inevitable that certai
embarrassments would occur, and th
end is perhaps not yet. But genera
panic is not even within the possibilitie
WASHINGTON, D. c., Nov. 15.-Secr'
tary Window this afternoon declined
say what effect if any the embarrasmer
{ of Barring Bros, of London, Woul
l. have on American securities or on tt
t financial situation. Comptroller Lace
said that the latest advices from Ne
. York showed the national banks in th
u city to be in sound condition. He a
y ticipated no bank failures in this cou
n try as consequence Of financial fur
If in London.