New-York tribune., 1891-05-18
MONEY IND BUSINESS.

When about S1s 900, 900 gold has gone out Of
the country in sixteen days, it is wise to take full
note of the fact that domestic money markets are
nowhere strained, that commerce is undiSturbed
and the prospects of industry are distinctly i'm
proving, and that the country Is showing wonder
full and unexpected strength in meeting such a
strain The prudent will not rush to the illogical
conclusion that, If loss of $i0,000,000 gold has
caused no embarrassment, a loss of $50 1000, 900
would cause none, and yet there is great reason
for congratuatiOn in the steadiness and sturdiness
of American finances thus far. Neither the for
eign bankers whose enlghtening interviews dur
ing the past week tell us that Russia is taking the
gold, but is not going to war, nor the American
fnanclers who predicted cessation of gold ex-
ports more than Week ago, but have since been
discreety silent are able TO state how long the
outgo will continue. The motives and intentions
of Russia are not buletned to the world with
absolute candor every morning.
H. as some papers assert, Wall Street was
amazingly befooled about Saturdays bank state
ment it was entirely because people refused to
use sources Of information open to them. The
daily reports of the Treasury showed that it paid
out 81 500, 900 more money last week than it took
in, besides issuing 100000 new Treasury notes.
The returns published by The Financial Chron>
icle" on Saturday showed that known banks had
gained S4,l0S,0 600 in receipts from the interior.
These additions to the supply amounted to So 6O8,-
600, against gold exports amounting for the week
to S1,750, 900, so that net loss of 1,10O, 900
might have been anticipated. 1t is only an acci-
dent that the statement of averages told the truth
so nearly in this instance the gold exports on
Saturday, the 9th, counting about as little that
week as the shipments on the 10th counted in
Saturdays statement. Evidently the actual re-
serve must be considerably lower than the state
ment indicated. But interior mon, markets are
comparatively easy, and there is reason why
many millions may not be drawn to this centre
before July without causing disturbance. The
Treasury reserve may be drawn down by further
exports, but it still includes over $270,0 900
gold
The suggestion is again made that the ship
ments of gold TO Europe mean, in part an eXpecta-
ton of the silver standard and desire to profit
by that change. This is not highly probable
explanation, for why should anybody export gold
for that purpose when he trade in foreign eX.
change 20 any extent he peases, can simply
buy contracts to deliver gold in any future month 2
The new issues Of Treasury notes are also mis-
represented by many, because these not re-
deemable in silver only, but are treated by the
Treasury Department exactly as the old legal-ten-
der notes are treated. the new law expressly re-
curing the Secretary to maintain the parity of
gold and silver coinage and paper. Nobody wants
gold in exchange for the old legaltender notes. or
would hesitate any more TO hold the new Treasury
notes. If it were understood that they were on
precisely the same footing.
Foreign trade for two weeks of May has shown
q slight increase in imports at New York, and IA
decrease Of 81 800, 900 in exports from New-York.
but the cotton movement. which is still heavy, is
mainly through other ports. In May thus far
| l45,2l0 bales have gone out, against only 52 "a
for the same time last year. difference OF about