The Wichita daily eagle. [volume] (Wichita, Kan.) 1890-1906, 1893-07-23

rate has regulated it all through this
| century and regulates it now. The London
rate controlled the commercial value Of
silver even when the mints of the Latin
| Union were open to the unrestricted coin
age Of silver at the ratio of 1515 TO l.
| "The French ratio of to 1515 was fix
ed point about which the price of silver
moved. The London price fixed the rela-
| tive value of silver and gold in the COM
| mercial world, but the commercial value
would never vary very widely from the
coinage value as long as the mints of the
Latin Union stood ready 20 transform
gold and silver into coin at the ratio of
TO 49,"
Had the French coinage ratio any effect
after the closing Of the mints OF the Latin
Union to the unrestricted coinage of sill
ver?"
mo. from that tt me it ceased to have
any effect On the price Of silver, and that
price is now determined by the operations
of the law of supply and demand in the
London market. There is, indeed, but one
market price of silver today. The precious
metals always tend to have the same valne
the world over. London is still the worlds
market for silver, and the price in London
Is The market price OF the metal, allowing,
OF course, for transportation, brokerage,
insurance, etc. Ask banker III
Paris, Melbourne, Calcutta OR Hong
answering you he viii consult the latest
London quotations. The counties having
silver TO sell look to London. Nations
that want silver look to London for it.
There the worlds demand and supply of
the metal meet. There the price is fixed.
Now, England obtains most of the Silver
with which it supplies the markets of the
world from the United States, Mexico and
South America. The London market being
supplied by the United States, we would
naturally expect to find silver cheaper in
the United States than in London, and
when we do not so find it we can not help
inqulrlng into the cause OF SO strange a
phenomenon. 1t is because the treasury
is bound to follow the law. ] have no
doubt that the present administration
would be glad to pay $1.29 an ounce FOR
silver if it believed that was the bona fide
solid market price for the metal. The mat
ter is a very simple one. The treasury is
anxious 10 buy silver. like everything else
it is called upon to buy, as cheap as possi-
BILE
If those charged with making pur-
chases of silver for the treasury did not en-
deavor to ascertain whether the prices
offered agreed with the market price, and
If IN that endeayor they did not compare
the offered prices with The price in London,
the worlds silver market, they would be
dereict in their duty. The American
holders of silver bullion are well aware of
the importance OF the London silver quo
tations. | find this passage in the London |
Economist of July S:
"'lt would appear now as if the Ameri- |
can producers who are interested in keep |
ing up the London price OF silver, MS that |
practically governs the price at which the |
l nlted States treasury must buy It's quota
Of 4, 800, 900 ounces per month, had been |
this market, which as it
holds no large stock of metal, is cOmrara-
lively easily influenced
Now. If the London market is not TO be |
considered in this matter, as some of the
;rltics of the treasury claim, why should |
any one on our side of the water have felt
in influencing it?"