The DeSmet leader. (DeSmet, Kingsbury Co., Dakota [S.D.]) 1883-1891, 1890-11-08

SINely ny Ine ldCJ CldG Ihc uHpOLIo VI
silver into the United States from May
/ to Sept. 80 of the present year have
exceeded the exports by $5,922, It's.
while for the corresponding period OF
last year the exports of silver exceed
the imports by $5,94S, 800, a differ
ence of $lO,S72, ,165. This accounts
for the fact that, while the government
has purchased an amount equal to the
current production of our mines the
stock has not dimished. During the
same period the shipment of silver to
India have not sensibly decreased, al
though latterly been below the usual
amount. Hence the supply for India
has been obtained III Europe, or at
least elsewhere than the United States.
So, too, in regard to the natural move
ment of silver to China and Japan
and the straits from San Francisco.
Not one ounce OF silver bullion has
been shipped to the Orient from San
Francisco since May / of this year,
while over 81, 900 900 orth was ship
ped during the same period OF last
year.
These facts OF themselves are sufh-
cient TO account for the decline which
mas taken place. Then again all sorts OF
roorbacks have been telegraphed from
London to this country to the effect
that Austria Hungary was about to
adopt the gold standard; that the
Latin union would not be renewed at
the end of this year, and that Belgium
would be forced to redeem in gold her
silver coins held by the Bank OF France;
that a large amount OF paper money
would be issued in India, thus doing
away with the normal demand for
silver for that empire; and sundry
other rumors to the same purpose,
the purpose and effect OF which was
to weaken the price of silver. This
is readily understood from an exam.
ination OF the price OF Indian exchange
as quoted in London. The price rose
from Is sd on Jan. to 1s 8 3-4d on
Aug. 23 of the present year, that is
from "a l-2 cents to AZ cents, an in
crease of Z 1-2 cents per rupee. That
is to say every English merchant who
had bill to pay in India has to pay
7 1-2 cents per rupee more for a bill
of exchange than he did on the LIST OF
January, which increased cost was
occasioned by the rise in the
price of silver brought about
by the legislation of this coun.
try. So, too, with the South Ameri-
can exchanges and exchanges on China,
the improvement in which was about
20 per cent.
1t is well known that we are in the
midst of the most active mining sea-
son. Undoubtedly the production OF
silver has been stimulated by the
passage of the new silver law. | have
just retrned from visit to the large
silver mines in the West and know by
personal observation that mines are
producing large quantities OF silver to-
day which were shut down when
the price of silver and lead
reached q very low figure. But 1t
must be remembered. that We are APP
preaching a peria winter months,
when mining is n0ceko active, and
moreover that the activity in working
mines naturally results in moro ra-
pidly exhausting their lodes.
Silver is not a product which can be
produced, like cereals or manufacture
ed goods, ad libitum, but when the
supply runs out in one place, new
finds must be made before additional
products can be obtained.
So far as my information extends
there have been new silver bonanzas
discovered. and aside from the dis
coveries of valuable silver lead prop
critics in Australia, / am not aware Of
any large deposits of silver which have
been discovered within the last year
or two, certainly none recently. So
that it is fair to assume that the sill"
yer product for any considerable per-
iod, unless There are new discoveries,
will not be materially increased by
the present active working OF the mines
No sensible person likes to make
prophesies, especially on subject
which has proved so illusive as silver,
but certainly one who "has made
close study OF the silver question"
ought to find in the facts mentioned
sufficient causes for the recent decline
without seeking for imaginary reasons
and casting slurs upon the treasury
method Of purchases. The new silver
law has been executed by the treasury
department in the utmost good faith
and in the same friendly spirit to-
wards silver which characterized the
passage OF this act, and the manner OF
it's execution has not had the most re-
mote bearings upon the recent decline
in price.