Baxter Springs news. [volume] (Baxter Springs, Kan.) 1882-1919, 1890-11-01
The DROP IN SILVER.

The Director or tho Mint Tells Why There
Has Been Decline In PrIoe-He Favors u
Law to Prevent Dealing In Money Metals
ON Margins.
WASHINGTON. Oct 29.--Director Of
the Mint Leech has made public IN
elaborate defense Of the Treasurer's sill
yer purchase policy. Speaking OF the
recent decline in the price OF silver he
, said: 'Tho causes which have operated
to produce it are so apparent that they
need only be stated that their full force
may be measured. In the first place,
the visible stock OF silver in New York
has not sensibly decreased, notwith-
standing the purchase by the Govern
ment of IL, 276, 47s ounces Of silver since
August 10. This large and undimin-
ished stock is standing menace to the
price of silver and has OF itself been
sufiic ent to shake public confidence in
silver.
IF the large Western refinerles had
allowed their product to take its usual
course, that is offered it for sale to the
Government ut current prices and sold
the remainder abroad this stock would
not have accumulated; but in the hope
OF realizing large profit they held
their silver for months prior to the
passage OF tho new law. or deposited 1t
in New York for certificates, and the re-
suit has been the accumulation OF o
visible stock of such magnitude as to
depreciate the price. 1t is very UNI
fortunate that the stock was allowed to
accumulate, especially that certificates
were allowed to DO issued on 1t and
guaranteed by q National bank and
listed on the Stock Exchange, to be
dealt on margins like other stocks 1t
has made football Of silver. to be
kicked around at the pleasure Of bulls
and bears In my Judgment there
should be law enacted against deal.
ing in money metals on margins.
1.-THE usual demand 'pr silver for ex-
port has almost entirely ceased. Not
only is this the case, but largo quanti-
ties of foreign silver have been shipped
to the United States. This is shown
conclus;vely by the fact that the i'm
ports OF silver into the United States
from May to September 30 Of the pres
emit year have exceeded the exports by
81, 92S. IT'S, while for the corresponding
period Of last year the exports OF silver
exceeded the imports by s5.94s, 900, a
difference of $40, s72, 1855. This accounts
for the fact that while the Government
has purchased IN amount equal to the
current production OF our mines, the
stock has not diminished. During the
same period the shipment OF silver to
India has not sensibly decreased, al
though latterly they have been below
the usual amount Hence the supply
for India has been obtained in Europe,
or at Least elsewhere than the United
States. So, too, in regard to the natural
movement of silver TO China Japan and
the Straits from San Francisco.
$50 far as my information extends
there has been no new silver 'bonanzas'
discovered, and aside from the discov-
cries OF valuable silver-lead properties
in Australia am not aware of any large
deposits Of silver which have been dis
covered within the last year or two
certainly none recently. So that it Is
fair to assume that the silver product
for any considerable period, unless
there are new discoveries, will not be
materially increased by the present act
i've working of the mints."