The Durham daily globe. (Durham, N.C.) 1889-1894, 1892-12-29
proper place in the world where right
gets to the front, and to such as grope
in darkness it points the way.
TIL FINANCIAL SITUATION.

THE FINANCIAL SITUATION.
There appears TO have been no sufh-
cient cause for the recent financial furry
ia Wall street, but none the less the
country will be treasured by the state
ment Of the secretary of the treasury
that there is no longer any prospect of a
panic. What valid reason there was for
the least apprehension of a panic Is not
apparent. II is true there were scne
shipments Of gold at the beginning OF
last week, and indications that they
would be increased as the week ad
vanced, but this hardly justified the per
turbation in the money market that was
responsible for the depression in stocks
and the alarm that came very near cul-
minating in a panic. Why the loss Of a
few millions of gold, as observed by a
shreWd writer on current financial affairs,
from a total currency amounting TO over
a thousand millions, should create so
marked a scarcity Of money a. there APP
peared TO be last week, is explainable
only upon the theory hat fear is worse
than fact. There was really no substsn
tial ground for the late excitement in the
eastern money market, as subsequent
circumstances have fully demonstrated,
panic may be brought about through a
sudden fear.
In referring 10 the financial furry the
comptroller of the currency suggested
that the apparent stringencY may be
intended solely for its effect on congress.
This is by 40 means improbable. There
is a practically unanimous sentiment
among eastern %financiers that the silver
purchase law ought to be repealed, and
| tney may be expected TO lose no oppOr-
tunity to make it appear that the con-
~tinuance of this law is a menace to tinan
cial stability. The party that will com
into control of the government after
March 1, next is pledged to the repeal Of
the act requiring the monthly purchase
| bv the government of 1000, 900 ounces of
silver and bills for this purpose have
been introduced in the present congress
The time is therefore ripe for impressing
upon congress that the silver policy OF
the government is driving gold abroad
and drifting the country TO a silver basis.
1t is true that European governments
have been accommodating gold and while
this process goes on they will get their
supply largely from this country, but 1t
is by 10 means clear that their move
ment is a consequence of our silver pol
icy. Meanwhile the secretary Of the
treasury sees nothing alarming in the
fact that the country has recently lost a
few millions Of gold and expresses the
opinion that it will soon be returned,
with interest, through the regular chan
nels Of trade. But if it should not be
the loss ought not to produce a panic,
since the stock Of gold in the country,
according to the last report Of the secre-
tary Of the treasury, is over $650,000, 900
It would seem that however much more
active the scramble for gold may be
come in Europe, Under the influence Of q
desire TO provide against a possible panic
demand, The drain from this country can
not be so large as to imperil our financial
system. AT any rate, there is good rea-
son for confidence in the assurance given
by SECRETARY FOSTER that there is moth.
ing alarming in the situation. The legiti-
mate business interests of the country are
IN no immediate danger Of being dis
turbed by It financial panic.